CCJ
car finance

Can I get car finance with a CCJ?

Yes, getting car finance with a CCJ (County Court Judgment) is possible, even if you have a bad credit history. A CCJ remains on your credit file for 6 years unless you pay it within one month, in which case it can be removed. A CCJ does indicate bad credit, making it harder to secure approval with traditional lenders.

Specialist brokers can help you navigate these challenges. Carboom conducts a soft credit search initially (which doesn’t affect your credit score) to assess your eligibility without further damaging your credit history. Once this is completed, they typically provide a response within 24 hours.

To better understand your potential repayments, use an online car finance calculator. This tool gives you an estimate based on your circumstances, helping you plan your budget effectively.

What is a CCJ?

A CCJ (County Court Judgement) is a legal court order issued in England, Wales, and Northern Ireland to enforce repayment of outstanding debts. If you fail to meet agreed payment terms, the creditor can apply for a CCJ against you. Before this, you'll receive a 14-day warning letter, giving you a final chance to settle the debt.

Once issued, a CCJ significantly affects your credit score and remains on your credit report for six years, even after being marked as satisfied. However, if you pay the full amount within 30 days, the CCJ can be removed from your credit file, minimising its long-term impact.

How to get car finance with a CCJ

Carboom connects you with lenders who understand your circumstances, simplifying the process. The application process mirrors standard car finance steps, even with a CCJ. Start by requesting a finance quote to explore the terms and monthly repayments available to you.

Lenders assess your credit history, income, and ability to repay. Possible outcomes include full approval, conditional approval with requirements like a guarantor or deposit, or rejection. Once approved, you must follow the agreed monthly repayments to maintain your finance agreement.

Will a CCJ stop me from getting car finance?

A CCJ does not automatically block access to car finance, but it can make the process more challenging depending on lender criteria. Some lenders focus on helping individuals with CCJs, while others may decline applications outright. Researching lenders or working with a credit broker familiar with your circumstances can make a significant difference.

Rejections may not always result from the CCJ alone; incorrect or incomplete application details can also cause issues. Providing accurate and up-to-date information is essential to improve approval chances. With the right lender, it is possible to secure car finance despite a CCJ.

Can I get car finance with bad credit and a CCJ?

Yes, it is possible to secure car finance with bad credit and a CCJ, but it often comes with challenges. CCJs usually indicate a poor credit score, which makes lenders view you as a higher risk. As a result, approved applications may come with higher interest rates.

While the process can be more difficult, specialist lenders and brokers can help you find suitable finance options. At Carboom, we connect you with authorised and regulated lenders who understand your situation, making car finance achievable despite bad credit and CCJs.

Can I get car finance with CCJs and defaults?

Yes, you can still access car finance even with both CCJs and defaults on your credit file. Although they differ—defaults occur when you miss payments for an extended period, while CCJs are legal court orders for unpaid debts—both negatively affect your credit score and overall creditworthiness.

Specialist finance lenders understand these challenges and assess applications on a case-by-case basis. At Carboom, we work with trusted lenders who provide personalised solutions, making car finance possible for those with CCJs and defaults.

Can I get car finance with a satisfied CCJ?

Yes, you can get car finance with a satisfied CCJ, but some obstacles may still arise. Even when satisfied, a CCJ remains on your credit record for six years, which can affect how lenders assess your application. Satisfying a CCJ demonstrates responsibility and improves your chances of approval.

Providing a larger deposit can strengthen your application. A larger deposit reduces the amount you need to borrow and lowers the risk for lenders. Regular payments on existing accounts, such as credit cards or utility bills, also show reliability and improve your credit profile.

If lenders require additional reassurance, a guarantor may assist. A guarantor agrees to cover repayments if you fail to, making it easier to secure approval.

Carboom helps individuals with satisfied CCJs by offering access to tailored car finance options through trusted, regulated lenders. This ensures you receive the best possible support for your circumstances.

Ways to improve your credit file after a CCJ

Improving your credit file after a CCJ requires focus and consistent action. Follow these practical steps to rebuild your credit profile:

• Register on the electoral roll: This helps lenders verify your identity and boosts your creditworthiness.
• Keep credit utilisation below 30%: Use only a small portion of your available credit to demonstrate responsible borrowing. For example, limit usage to £300 on a £1,000 credit limit.
• Maintain regular payments: Ensure all bills, credit cards, and loans are paid on time to show financial reliability.
• Monitor your credit report regularly: Check for errors or updates to address issues promptly and keep your file accurate.
• Practise budget management: Stay within your financial limits to avoid further debt and maintain control over your finances.