Yes, you can apply for car finance if you’ve recently started a new job, but some lenders may view this as a risk due to the lack of income stability.
Can I apply for car finance if I’ve recently started a new job?
Yes, you can apply for car finance if you’ve recently started a new job, but some lenders may view this as a risk due to the lack of income stability. Most lenders prefer applicants to have been in their current role for at least three to six months. This provides them with evidence of a steady income and job security.
If you’re in a new job, you may need to provide additional proof of your employment and income to reassure the lender. This could include an employment contract, a letter from your employer, or recent payslips. If you’ve had only one or two pay cycles, the lender may also consider your previous employment history, particularly if it demonstrates stability in the same industry.
Some lenders are more flexible and cater to applicants in new roles. For example, if you’ve moved to a higher-paying job or have a history of consistent employment, this can work in your favour. Having a strong credit score also helps, as it shows you have a history of managing credit responsibly.
In cases where your job is probationary, you may need a guarantor to support your application. A guarantor with a solid financial profile can give the lender additional confidence in your ability to repay.
To improve your chances of approval, consider applying for a lower loan amount or making a larger deposit. This reduces the lender's risk and demonstrates your financial responsibility.
In conclusion, starting a new job doesn’t disqualify you from car finance, but you may need to provide more evidence of your financial stability to secure approval.