CCJs, Arrears, Defaults and Car Finance

Worried about CCJs, arrears or defaults? You may still be able to access car finance.

What are CCJs, arrears or defaults?

Facing financial problems can be tough, but sometimes dealing with the aftermath can be even harder. If you have had financial struggles that have caused you not to be able to make car repayments on time, then you may have defaulted on your payments. Defaults sometimes lead to your car being taken back by the lender - this is especially likely if you default on several payments and are officially in arrears. Being in arrears sometimes means that the lender will pursue legal action, especially if they cannot repossess a vehicle to settle the debt. This legal route is known as a County Court Judgement (CCJ) and legally binds you to repay the debt.

How do they impact future finance options?

It doesn't matter how much the debt is. Being unable to maintain payments tells the lender that there will be more risk if they decide to lend the desired amount to you. The best way to fix this is to pay off the debt as soon as possible. This can potentially improve your credit score and reassure the lender that you do pay off your debts. Having previous CCJs, arrears or defaults on a car finance agreement can make lenders wary of accepting an application for future finance, if possible, applying for guarantor finance might be more suitable for you. It's important to remember that your guarantor's credit history will be affected if you fall behind on payments.

How can Autozone help you?

If you have previously had CCJs, arrears or defaults on financed cars, Autozone is here to help you. Life can be unpredictable, and financial problems can happen to anyone. Our expert advisors can discuss your situation and look at other criteria that might make you more eligible for car finance than you might think. We are here to support you with an excellent range of cars to suit all budgets and experience helping those with poor credit.