Bad Credit Car Finance NZ

Bad Credit Car Finance Compare car finance
Bad Credit Car Finance Compare car finance

Have bad credit and thinking about applying for car finance? We’ll answer all your questions here regarding applying for car finance with bad credit in New Zealand.

What is bad credit car finance NZ?

To have bad credit means that in the past a person has failed to meet their debt payment obligations and it has been recorded on their credit history. In New Zealand we have a number rating from 1 to 1000. If your rating is 1000 you’ve got a perfect rating and car finance would be easier to secure.

Unfortunately if your rating is at the lower end, say 150 and you’ve had some debts that didn’t get paid off on time, your credit rating will be poor and the likelihood of getting car finance will be lower.

If you were to secure car finance, your interest rate may be a lot higher than someone with an excellent credit rating.

back to top

Can I get car finance with bad credit in New Zealand?

Yes you can, but expect it to be tougher! You’ll need some good stats on income, time of employment with your current employer, low expenses and things like credit cards paid off or close to zero.

You’ll want to work on your debts and tidy your accounts up before you apply for car finance with bad credit. Keep reading and we’ll give you some more tips on what you can do to give yourself the best opportunity for car finance approval.

back to top

Can I get low interest car finance with bad credit?

Unfortunately it is highly unlikely you’ll secure low interest car finance with a bad credit rating in New Zealand – Sorry!

You’ll be deemed a high risk customer and your interest rate will be higher than average, likely starting from around 15% plus.

If you have a good income and low expenses, that will halt the interest rate increase but still not give you the lowest interest rate available.

back to top

Low car finance interest rate application

See if you qualify for an Interest Rate of 5.99%

Get pre-approved today with Simplify Car Finance and you’ll be one step away from your next car!

I have unpaid debts, can I still get car finance?

Technically, yes, you can get car finance with existing unpaid debts, however your interest rate would be high and it may not be the best idea to secure finance when you are still paying off other debt. 

A high interest rate, for example, may be 17.95% with bad credit/outstanding debt.

Over 24 months $20,000 car finance at 17.95% would cost you $998 per month.

Over 24 months $20,000 car finance at 9.95% would cost you $922 per month.

So the total extra cost from 9.95 to 17.95% interest rate would be $1,824

You would be best to focus on paying your existing debt off completely before considering applying for car finance.

back to top

How can I check my credit rating in New Zealand?

Your credit rating can be accessed free of charge using any of the below options.

Your credit score is a number between 1 and 1000 that gives lenders an idea on how likely it is you will pay back the loan amount. So, for example, if your credit score is 900 then you will pose less risk than if your score was 120. The higher your number the better your credit score is.

Take your pick from the following to get your credit score report for free:

back to top

New Zealand Car Finance Providers

Get car finance quotes from multiple lenders and compare your interest rates. Your quotes from these lenders won’t affect your credit score so shop around and find the best rate for your financial situation

Simplify Car Finance

We make finance easy

• Quote in 2 minutes
• From 6.5%
• Unsecured Loan
• No early repayment fees
• A++ service & reputation

Lending Crowd Car Finance New Zealand

The clever new way to borrow money

• Peer to peer lending
• From 5.03%
• Secured Loan
• No early repayment fees
• Finance anything with wheels!

Stadium Finance Compare Car Finance New Zealand

Wheel get you a great deal!

• 100% online
• From 7.95%
•Decision in 24hrs
• Min Earn $500/wk
•Secured car loan

CarFinance2U Low Interest Rate Car Finance New Zealand

Quick Approval, Low Interest Car Loans

• 100% online
• From 8.95%
•No deposit finance
• Min Earn $500/wk
•Bad credit finance ok

Unsure Who You Should Get A Quote From?

Let Compare Car Finance do all the hard work for you and match you with a local lender ready to approve car finance for you today. Get Started Now!

Compare Car Finance New Zealand icon

See if you qualify for car finance at 6.95%

Search Thousands of Cars Available For Finance Right Now!


Please complete your details below. We'll give you a callback to answer any questions you may have and proceed with your vehicle finance application.

Apply Contact