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How to get Cars on Finance with No Deposit

Posted on 20/05/2016

Cars on finance with no deposit is a brilliant way of securing a great car finance plan without having to save up beforehand.


What is no deposit car finance?


Car finance is a great option to consider when purchasing a car as it spreads the cost of your repayments and can help to maintain your finances, whilst improving a bad credit score. Car finance is essentially a quick and easy way for people who don’t want to pay for a car upfront or are unable to. Most repayment plans will require a deposit upfront or a part exchange, before monthly repayments are made over a period of between 12 and 60 months. However we understand that trying to get a deposit together for a car can be a daunting task and for many customers it is the stumbling block in the process.  Many car dealerships won’t offer customers with bad credit a car finance deal with no deposit, as the risk for them is significantly higher, but at Refused Car Finance we liaise with a wide range of lenders and can guarantee we will find you the best possible deal to meet your requirements.

Refused Car Finance’s No Deposit Plan

At Refused Car Finance we want to make the process of buying a new car as easy as possible and by offering cars on finance with no deposit we take the inconvenience of saving for a deposit away, even if you have no current vehicle to part exchange. There are various ways in which car finance can be obtained but in order to get car finance with no deposit, the most common way is via Hire Purchase. Hire Purchase is essentially where you hire the car until the final payment has been made, after which you will own it. One thing to bear in mind is that with no initial deposit, your monthly repayments are likely to be higher than if you were to put an initial deposit down. However at Refused Car Finance we make sure that you can afford the monthly payments before taking out your repayment plan. We will discuss your budget and any other monthly expenditure will be taken into consideration before repayment terms are agreed on to give you the most convenient and suitable payment plan.

The other way in which to get car finance with no deposit is by what is called a Personal Contract Purchase. This is similar to a Hire Purchase agreement but once you have completed all of the monthly payments, a lump sum is required before ownership of the car belongs to you. This plan is most suitable for those who don’t necessarily want ownership of the car at the end of the payment plan but will have the opportunity to start a new payment plan on a new car if you desire.

Our team of experts will work to find the best possible rates for car finance with no deposit options – we believe that everyone should have the chance to drive away in their dream car no matter what their circumstances are.

Even if you fit into any of the categories below let us know. We will work with you and our exclusive lenders to find you an appropriate repayment plan, with no deposit and a car of your choice.

Claiming benefits


Low Income



Registered with Information Commissioners Office ICO Registration Number: ZA132327

UK Car Finance Limited. Registered in England
Registered number 9397657.
Registered Office Lakeside House, 30 Northumbrian Way, Newcastle Upon Tyne, NE12 6EH

Refused Car Finance is a trading style of UK Car Finance Limited and is acting as a licensed credit broker and a lender, we are authorised and regulated by the Financial Conduct Authority, registration number 714966. All finance is subject to status and income. Applicants must be 18 or over, terms and conditions apply, guarantees and indemnities may be required.

Written quotations on request. Certain exclusions for NI residents.

Note: We cannot be held responsible for specification errors, and price errors, we use Motortrade software which is not always 100% accurate. Copyright 2017 Refused Car Finance.

Refused Car Finance can introduce you to a limited number of finance providers based on your credit rating and we may receive a commission for such introductions.

*Representative Example
Cash price – £8,500.00, Deposit – £0.00, Amount of credit – £8,500.00, Rate of interest – 16.24% per annum, Amount of interest – £6,912.00, Lender Documentation fee – £0.00, Lenders option to purchase fee – £10.00, Total charge for credit – £6922.00, First repayment – £256.70, Followed by 58 Monthly repayments of – £256.70, Final repayment – £266.70, Total amount payable – £15,412.00, Representative APR – 29.9%

*Last month, over 51% of Refused Car Finance customers that had their loan arranged were offered an APR of 29.9% or lower

In the first 3 months of this year, UK Car Finance Ltd received 2140 unique applications, of which we were able to offer 2136 applicants a line of credit, subject to the applicant being able to provide acceptable proof of affordability, being free from insolvency and or/a supporting guarantor fitting the lenders eligibility criteria, this represented 99.8% of applicants in this period.

Rated No.1 for car finance in the North East of England collated from Google Business Reviews