Trying to get car finance is hard enough for most people, especially in light of the recent financial events which have brought even the largest corporations and financial institutions to their knees. With more people than ever carrying the burden of poor, weak or downright awful credit histories with them, getting any type of cheap car finance or car loan is becoming very much harder.
But there is one group of potential car buyers for whom it has become almost impossible, and thoughts of getting car finance, a car or anything else other than a bus ticket seem to be growing more unlikely by the day.
Young people, students, and those who have previously had no credit history of any kind are now facing a difficult situation. With lending institutions, banks and car credit finance companies looking ever more closely at the details within people's credit histories, taking risks is simply not an option.
A few years ago credit companies seemed to take risks left, right and centre, allowing almost anyone to take out credit. Getting a car loan or cars on finance was relatively easy, but today credit histories are like locked doors, stopping people from getting anywhere near their dream car.
For those with poor credit histories marred perhaps by such things as late payments, missed payments, arrears, defaults and even CCJs, getting car finance has proved almost impossible.
But if you have no credit history because you have never previously taken out any form of credit or financial arrangement, what are your options? It can often seem that if you don't have a credit history, or perhaps have a credit history but which is very brief and contains very little data on which to base a reliable decision, it can feel a little as though you're being treated as a sort of criminal.
The feeling seems to be that you are guilty as charged unless you can prove you're innocent, but how can you prove your innocence, and prove your credit worthiness, if no one will lend you the credit in the first place? It is the ultimate catch 22 situation - you can't get credit because you have previously never had credit.
How do you escape such a situation, and how do you get your hands on a car finance deal that will set you free of walking everywhere, standing in the rain waiting for a bus or spending a fortune on taxis which may or may not turn up?
For many young people starting out having a car is essential for work. You've finished your education, got a job, and now you need a car to be able to get about, get to work, carry out your job, or simply manage your new young family. You can hardly transport a young baby, a pushchair and a week's groceries on a bus, and with taxi fares being so high, this is not an option many young families can seriously consider.
Cheap car finance is the best option, which is why it is all the more frustrating when you can't get the finance you genuinely feel you deserve, and which you can afford.
If this all feels rather familiar, and you've been experiencing the frustration which comes with trying to get cars on finance or a car loan whilst having little or no credit history, then the good news is that a solution exists which can solve both problems for you at the same time.
Guaranteed car finance deals are available from some firms which will allow you to get the car finance you can afford. Because guaranteed car finance firms look at your current circumstances and your ability to pay, rather than your history, it means that for those with little or no credit history, all you have to do is show that you can afford the repayments, and you're sorted.
But the second advantage of such a car credit finance arrangement is that as long as you keep up the repayments the car finance firm will record your payments every month in your credit history. This means that month by month you're building up a credit history full of positive information, which will mean that next time you're looking for any form of credit, you'll have a credit history to prove your worth.
Author Resource:
Car Finance | http://www.carloan4u.co.uk/ | Car Credit Finance
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