There are a whole host of reasons why you might want access to your own set of wheels.
And if you don’t have a nest egg saved to buy a car outright, getting a loan could help you spread the cost of your new pride and joy over time so you can hit the road as soon as possible.
But the important question is, will you be able to get car finance?
Let’s start with the most important point: you should never be discriminated against for having a disability.
That being said, the limitations living with a disability can place on your income and employment opportunities can make it harder to qualify for a loan. You might also be restricted in the modifications you can make to your car during the loan term.
However, you don’t need to be employed full-time (or at all) to secure car finance. If you claim benefits, you might even qualify for additional support from both the government and charitable organisations.
Ready to learn more? Join us as we explore getting car finance as a disabled driver.
The short answer is yes, you can get car finance as a disabled driver – but it isn’t always easy.
While your disability shouldn’t impact your ability to secure a loan (in fact, it’s illegal for you to be discriminated against), the effect it has on your life could limit your options.
It’s all about income. If you’re unable to work, have a reduced income, or claim benefits, lenders might be concerned that you won’t be able to afford your monthly repayments.
That doesn’t mean you’ve reached the end of the road; there are several lenders who specialise in helping people with a range of different circumstances get the right finance deal for them.
Some lenders will accept benefits as a source of income whilst others will accept it when included alongside other sources of income such as a pension or a salary from employment. If you claim Disability Living Allowance (DLA), Carer’s Allowance, Personal Independence Payments (PIP), income support or tax credits, you can typically use these to help fund part of your repayments.
Different lenders can have different eligibility criteria, but most will consider a range of factors, including:
Most lenders will ask that you have a regular form of income, no matter whether that comes from full or part-time employment or benefits. That way, they can trust you’ll make your monthly payments in full and on time.
While you don’t need to be employed to qualify for car finance, you’ll need to let the lender know if some of your income does come from an employer, how much you earn in an average month, and how long you’ve been doing the same job.
As lenders don’t have access to a crystal ball (or at least we don’t), they tend to use your credit score to predict how you might act as a borrower. If you’ve managed loans well in the past, it’s a reasonable bet that you’ll be able to do again. On the other hand, if your score could do with a little TLC, it might be harder to find a loan.
The amount lenders believe you can afford to borrow will be based on the money left over from your monthly income once all your essentials have been paid. Typically, the more disposable income you have available to spend, the more you’ll be able to borrow.
Some lenders will have restrictions on the type of car you can buy as well as how much you can borrow. If you have your heart set on an older model, you might struggle to find finance if it’s more than 10 years old or has more than 100,000 miles on the clock. Lenders may also be reluctant to offer you a loan if your chosen wheels have been written-off in the past or have significant damage.
Whether you need hand controls, an access ramp, or modified seat belts, financing a car that has already been adapted might be easier than trying to make changes to an unmodified car.
That’s because if you choose Hire Purchase (HP) or Personal Contract Purchase (PCP), you won’t be the car’s legal owner until the loan term ends (and you’ve paid the balloon payment in the case of PCP finance). Any modifications that could impact the car’s value will need to be approved by the lender so it’s worth getting in touch with them before submitting an application to understand whether this is possible.
If you’re buying a car that has already been modified, you can apply for finance as usual as the car’s purchase price will take the existing modifications into account.
As a disabled driver, you could have options worth exploring that go beyond standard car finance.
The Motability Scheme is a charity operating in the UK that can help people claiming the higher rate mobility allowance. Under the scheme, you can swap your allowance for a car lease (and top up the payments with your own savings if you want a higher-spec model). You’ll typically be able to buy a brand-new car on a three or five-year lease. Motability can also make adaptations for free as well as offering bonus perks like free insurance, breakdown assistance, and repairs.
You may also be able to access grants and funding to buy a car from organisations like Access to Work, the MS Society, the MND Association, and the British Legion if you’re an ex-serviceperson.