As you get older you are going to need a car to ensure you can still get around. You don’t want to be standing out in the cold waiting for public transport and the idea of the walk to and from the stop is going to be less and less attractive. A car is going to be more of a need than a want and as a pensioner you may find that you don’t have the same sort of income that you had when you were in employment.
As a pensioner you are not going to be able to access the sort of finance an employed person would. Sadly you will be looked upon as a ‘high risk’ client, as after taking your age and health into consideration, it may be concluded that there is a chance the loan may not be fully paid back. In this case your only option would have to be getting a secured personal loan. We will always try to lend and help out as many people as we can but at the same time, it is important that Budget Auto Finance is also repaid.
At Budget Auto Finance there is a set criteria that you will have to follow. Most of the time you will have to provide more of a deposit and this is for a couple of reasons. Firstly, an analysis will be carried out to determine what percentage we will be paying for the car, which is usually fairly high for pensioners due to the ‘high risk’ factor. However, this can be beneficial at the same time as you will be left with a lower weekly or monthly payment as a result.
If possible present a copy of your credit file and as long as there are no defaults and you have not been refused by other lenders we will be able to begin negotiations with you. If it turns out that your record has other issues other than you living on a pension it could be best to deal with rebuilding your credit rating before making your application.
You will need to provide a fair amount of paperwork and one of the main items to cover will be the deposit. It is a requirement from us that the deposit has come from savings and not another loan that also needs to be repaid. Proving savings are legitimate will further confirm your ability to live without that money and give us further confidence in you.
Your loan as a pensioner will be covered by the Uniform Credit Consumer Code and this will make sure that you are not given a loan you cannot repay as you don’t want to create more stress for yourself by creating more debts.
We will take into account the need for you to have comprehensive insurance and in many cases this cost can be incorporated into the loan, but keep in mind your eligibility for this will be confirmed before anything is agreed.