Do I qualify for car leasing?
Leasing a car is an increasingly popular way to finance a new vehicle in the UK. If you need a brand new car but don’t want the initial outlay and hassle of selling the vehicle on, leasing is the way to go. But how do you know if you qualify for a car lease?
Many leasing companies have their own application criteria that they expect customers to meet. A good credit score, a decent credit utilisation rate, and a low debt to income ratio are key elements that car leasing companies look for.
If you have a poor credit rating, you may find it difficult to lease a car. A bad credit rating can cause companies to see you as a lending risk, suspecting you would struggle to keep up with monthly car lease rentals.
Is there a minimum age?
The minimum age for leasing a car is usually 18, although you may find it difficult if you have little or no credit history. Leasing companies use your credit report to determine your creditworthiness and whether you are likely to keep up with car finance rentals. If you have never been in debt, it is hard for you to prove how financially responsible you are.
“At Eureka, we run a soft search on your credit file when you apply for a lease car. It does not affect your credit rating and is not visible to third parties.”
How do I check my credit rating?
You should check your credit report annually and at least one month before you apply for a car lease. This gives you time to dispute and rectify any errors in your file and gives you an idea of whether your application will succeed.
You can obtain a copy of your credit report for free with Callcredit (Noddle) or you can opt to receive your full statutory credit report from any of the three credit reference agencies for a fee of £2. It may be worth contacting all three credit reference agencies as each agency holds varying information.
Can I lease a car with poor credit?
Although leasing a car with poor credit can be challenging, it is still possible. At Eureka, we provide access to a range of the latest models even if your credit rating is less than perfect. Not only can we help you drive away in a brand new lease car, but our leasing deals also help to improve your credit rating, provided you keep up with your rentals.
We understand that your circumstances can change and if you are keen to repair your credit rating, we are here to help.
“Check your full credit report at least once a year to ensure you spot any errors and rectify them promptly."
Am I eligible for a poor credit car lease?
Multiple credit applications over a short period can damage your credit rating. However, our easy online application form runs a soft search on your credit file, which can only be seen by you. It is not visible to any third parties and will not affect your credit score.
Browse our latest models and apply now. One of our friendly team members will then give you a call to talk through your options and requirements.