Getting approved
What Checks Are Done for Car Finance?
Credit file, affordability, ID and address — exactly what a lender looks at, and what a search does to your score.
Car finance lenders run four main checks: a credit search, an affordability assessment, identity verification and address confirmation. A full application uses a hard search, which is visible to other lenders, while a quote often uses a soft search that isn't.
Knowing what's checked lets you prepare and avoid surprises. To see what you could borrow first — with no check at all — use the free eligibility estimate, which leaves no mark on your file.
What checks are done for car finance?
Lenders check your credit file, your affordability, your identity and your address before agreeing finance. Each one confirms a different part of the picture.
- Credit search: your history of borrowing and repaying, plus any defaults, CCJs or missed payments.
- Affordability: your income against your regular outgoings, under FCA rules.
- Identity: that you are who you say you are, usually from your licence and electoral-roll data.
- Address: where you live now and your recent address history.
Soft search vs hard search: does it hurt your score?
A soft search doesn't affect your credit score; a hard search does, and other lenders can see it. Many lenders offer a soft-search quote before you commit.
One hard search has only a small, short-lived effect. The bigger risk is several in a short window, which can look like you're desperate for credit. Learn more in soft search vs hard search.
| Soft search | Hard search | |
|---|---|---|
| Visible to lenders? | No | Yes |
| Affects your score? | No | Yes, a small dip |
| When it's used | Quotes, eligibility checks | A full application |
Documents you'll need
Have your ID, proof of address, income and bank details ready to speed up the application. Most lenders ask for the same things.
- A valid UK driving licence (and your licence number).
- Proof of address, such as a recent utility bill or bank statement.
- Proof of income — payslips, or accounts if you're self-employed.
- Bank account and sort code for the direct debit.
- Your address history for the last three years.
How much could you borrow?
Before any search hits your file, estimate what you could borrow from a monthly budget. It's the safest first step.
The eligibility estimate runs no credit check and gives an indicative figure to plan with. Pair it with what credit score you need to judge where you stand before applying.
Frequently asked
What checks are done for car finance?
Does applying for car finance hurt your credit score?
What documents do you need for car finance?
What is an affordability check?
Can I check eligibility without a credit search?
Work out your next step
Independent calculators — pick the one that fits your situation.