Keeping your credit score healthy is important because it determines whether or not you’ll get the best finance deals, and car finance is one of the easiest ways to drive away in an affordable new or used vehicle.
Just because you’ve never needed to borrow money before that doesn’t
necessarily mean you’ll have a good credit score. Lenders like to see that
you’ve built up a good reputation over time and proved yourself to be a responsible
borrower so not having any credit can make you appear to be more of a risk. If
you’re going to drive away in a car worth thousands of pounds then lenders want
to know that you’re able to stick to the terms of your contract and make your
payments on time.
Having a good credit score will open you up to the best interest rates and
packages, because proving that you can manage your finances and stick to
agreements will allow for more flexibility when choosing your car.
Less-than-stellar credit will make acquiring a new or used car more difficult
but there are lenders and brokers available who specialize in helping customers with bad credit.
Understanding how your credit score works can ensure you take the necessary
steps to repair it. Even something as simple as registering on the Electoral
Roll will help as this is where lenders will find your address information.
Following the steps outlined in the info graphic below will ensue you stay on
the road to good credit.
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