Applying for finance can be a worry if you're retired. In most cases though we should be able to help you get accepted for a car loan even if you're retired.
The main reason that people worry is because they assume that not being in full time employment means they won't be able to prove an income. Although a lender would need to see some form of income, this doesn’t have to be from employment. For example the income could be from a pension, investment or property rental.
Many of the retired customers that apply to Creditplus are actually in a very good financial position and this is a big benefit for their finance application. For instance many of our retired customers own their house outright and have very good credit histories. In this instance we're highly likely to be able to help.
In order to aid your application you may want to consider putting a bigger deposit down on the loan. This will show the lender that you're willing to share some of the risk associated to the purchase of the vehicle.
Generally, people who are retried will be slightly older than the average car finance customer. If this is the case the lender may also want to shorten the term of the loan. Again this will be in order to limit the risk of the loan.
Our retired customers that tend to be more concerned about gaining an acceptance are those who perhaps do have some issues on their credit file, and therefore have a lower credit score. In this instance proving that you still have an income, such as a pension, will be vital.
If you have a really poor credit history you may need to use a Guarantor in order to be accepted for car finance.
If you're retired and applying for car finance you don't necessarily need to prove your income. However, if you have a pension then this may well aid your application. To find out more about this, please read about pension incomes.
If you can’t find the topic you’re looking for here, please take a look at the rest of our Help section on employment or talk to one of our Customer Advisors today by using our LiveChat service.
If you require further assistance, our team of Customer Advisors are here to help. We're open six days a week - you can view our opening hours here - and we're more than happy to answer your questions.