🚗 Can You Buy a Car on Finance in the UK on a Visa?

Relocating to the UK often means starting fresh, a new home, a new job, and new transport needs. For many newcomers, the ability to buy a car on finance in the UK is essential for commuting, family life, and settling in quickly. The short answer is yes — it is possible to buy a car on finance in the UK, even if you’ve only recently arrived, don’t yet have a UK credit history, or are driving on an international licence.

Many car finance companies in the UK now offer solutions specifically designed for visa holders, expats, and new UK residents. From used car finance in the UK to flexible HP and PCP agreements, there are options available even if you’re still building your financial footprint.

This guide explains how car finance in the UK works for foreigners, what lenders look for, and which finance options are most suitable if you’re new to the country, helping you make an informed decision without unnecessary stress.

💳 What Is Car Finance in the UK? (HP, PCP & Car Finance Calculator UK)

Car finance allows you to spread the cost of a vehicle into monthly payments instead of paying the full price upfront. In the UK, the two most common options are Hire Purchase (HP) and Personal Contract Purchase (PCP).

If you’re new to the UK, using a car finance calculator UK is one of the easiest ways to compare these options and understand what your monthly payments might look like before you apply.

Hire Purchase (HP)

Hire Purchase is often the simplest and most accessible option for new UK residents. You finance the full value of the car (minus any deposit), make fixed monthly payments, and once the final payment is made, the car is yours.

Because the vehicle acts as security for the loan, lenders are often more comfortable approving HP agreements for people with limited or no UK credit history. This makes HP a popular choice for expats, visa holders, and people who have recently arrived in the UK.

Personal Contract Purchase (PCP)

Personal Contract Purchase usually comes with lower monthly payments because you’re mainly paying for the car’s depreciation rather than its full value. At the end of the agreement, you have three options: return the car, trade it in, or pay a final balloon payment (also known as the Guaranteed Future Value) to keep it.

PCP is popular with people who want flexibility or expect to change vehicles regularly. It’s also common in major cities like London, where some of the best PCP deals in the UK are offered through dealer finance.

Most car finance companies in the UK provide a car finance calculator UK so you can test different car prices, deposits (including £0 deposit options), and repayment terms before applying.

Example: £10,000 Car, £0 Deposit

Here’s a simple example showing how HP and PCP can differ. These figures are illustrative only — actual payments depend on the lender, APR, credit profile, and visa status.

Car price: £10,000
Deposit: £0
Term: 48 months
Estimated APR: 12%

Hire Purchase (HP):
You might pay around £260 per month, with a total repayable of approximately £12,480. At the end of the agreement, you own the car outright.

Personal Contract Purchase (PCP):
You might pay around £165 per month, with a final balloon payment of roughly £4,000 if you want to keep the car. At the end, you can return the car, trade it in, or pay the balloon amount.

A car finance calculator UK helps you estimate monthly payments before committing to a finance agreement.

• For HP, the calculator spreads the full car price (minus any deposit) across the loan term.
• For PCP, the calculator focuses on the amount you repay before the final balloon payment, resulting in lower monthly costs.

Using a calculator allows you to quickly compare HP and PCP, adjust deposits, test different loan lengths, and see which option best suits your budget — especially useful if you’re new to the UK or financing a car on a visa.

🌍 Can a Foreigner Finance a Car in the UK?

Foreign nationals can absolutely finance a car in the UK, and this has become increasingly common as more people relocate for work, study, or working holiday schemes. Lenders are used to working with applicants who don’t yet have a UK credit record. Whether you’re on a Skilled Worker visa, Graduate visa, or have arrived as a healthcare professional, there are lenders who specialise in helping new arrivals.

You don’t need permanent residency, settled status, or years of credit history to apply. What you do need is proof of identity, income, and legal permission to live in the UK.

Even if you’re new to the UK and have no credit history, you can still be approved.

🛂 Can I Get Car Finance in the UK on a Visa?

es, some car finance companies in the UK accept visa holders. Eligibility usually depends on your visa type and the remaining length of your permission to stay in the UK.

While some mainstream lenders may be cautious, there are specialist providers who regularly work with visa holders and new UK residents, making it easier to secure car finance even without long-term UK address history.

General rule:

Visa Type	Can You Get Finance?
Skilled Worker visa	✔ Yes
Health & Care Worker visa	✔ Yes
Youth Mobility (Working Holiday)	❌ No
Ancestry visa	✔ Yes
Student Visa	❌ No
BNO visa	✔ Yes
Graduate visa	✔ Yes
Tourist / Visitor visa	❌ No

⏳ How Long Do You Have to Live in the UK to Get Car Finance?

Many lenders prefer you to have lived in the UK for at least 3 to 6 months, but this varies.

There is no strict minimum time requirement, but most mainstream lenders prefer applicants who have been in the UK for at least three months. This gives them a UK address, recent bank statements, and evidence that the applicant is settling into the country.

However, several specialist car finance companies can approve you as soon as you arrive, especially if you have a job contract or sponsorship in place. In nearly all cases, lenders also prefer that you have at least 12–24 months remaining on your visa, as this helps them assess your ability to complete the agreement.

🚘 Can You Finance a Car With an International Licence?

Yes, many lenders accept international driving licences, especially if:

• Your licence is valid
• You can legally drive in the UK under DVLA rules
• You have a passport and proof of address

Using an international licence can be a perfectly normal part of the application. Lenders are mainly concerned with identity, income stability, and visa length. They may ask you to convert your licence later, depending on your nationality, but this varies by lender and is not a universal rule.

For many new arrivals, securing a car early helps them settle into work routines, childcare arrangements, or travel between towns, so the ability to finance using an international licence is especially helpful.

💷 Car Finance Options for New Arrivals

If you’ve recently moved to the UK, it’s important to know that car finance isn’t a one-size-fits-all system. Different lenders assess applications in different ways, and some are far more flexible for new UK residents, expats, and visa holders than others. Whether you’re looking to buy a used car on finance in the UK, need a £0 deposit option, or are worried about bad credit or no UK address history, there are routes available. Below are the most common car finance options for newcomers, along with what to expect from each.

🚗 Car Deal Finance (Dealer Finance)

The most common type, the dealer arranges HP or PCP directly for you.

💳 Car Finance Bad Credit Specialists

If you’ve just arrived or have poor credit, specialist lenders can still approve you by assessing affordability rather than credit score.

🆓 0 Percent Finance Car Deals

These deals exist, but usually for brand-new cars, and you often need excellent credit.
They are less common for visa holders or newcomers, but not impossible.

📉 What If You Have Bad Credit?

Many new arrivals worry about car finance bad credit because:

• They have no UK credit history
• They’ve moved from a country where credit doesn’t transfer
• They’ve just opened a UK bank account

Specialist lenders look at income and visa stability rather than scoring you solely on UK credit.

Approval is still realistic if you:

• Show stable employment
• Have a UK address
• Provide proof of income
• Offer a higher deposit (optional)

📝 Documents You Need for Car Finance in the UK

Even if you are new to the UK, the documents required are straightforward. Most lenders will request:

• A valid passport
• Your visa or proof of right to work/study
• Proof of income, such as payslips or employment contracts
• Proof of a UK address
• A UK bank account

Some may also ask for bank statements showing salary deposits or savings. Overall, the documentation process is simple and similar to applying for finance in most other countries.

📈 Tips to Improve Your Approval Chances

✔ Apply with a specialist lender (better for visas & newcomers)
✔ Provide a higher deposit (optional but helpful)
✔ Get proof of income ready
✔ Register on electoral roll (if eligible)
✔ Build UK credit with a mobile contract or credit card

🚘 Need Help Securing Car Finance in the UK?

Finding car finance when you’re new to the UK can feel confusing, especially if you’re on a visa, don’t yet have UK credit history, or aren’t sure which lenders will consider your application. While it’s absolutely possible to arrange finance on your own, many newcomers find it easier to speak with someone who understands the challenges international residents face.

That’s why we recommend working with a specialist car finance provider that regularly supports expats, visa holders, and new UK residents. Fleet UK is one such provider, with experience helping people secure car finance even when they’ve recently arrived in the country.

If you’d prefer to speak to someone directly, Ben at Fleet UK is available to assist with questions around eligibility, documents, and suitable finance options based on your visa status and time in the UK.

📞 Phone: 02392 245577
📧 Email: ben.murphy@fleetuk.com

There’s no obligation, and having a quick conversation can often save time and avoid unnecessary applications with lenders who aren’t suitable for new arrivals.

❓ FAQ: Buying a Car on Finance in the UK on a Visa (2026)

🚗 Can a non-UK resident buy a car in the UK?
Yes. Non-UK residents can buy a car in the UK and many can also buy a car on finance in the UK, provided they have a valid visa, proof of income, and a UK address.

🛂 Can a foreigner finance a car in the UK?
Yes. Car finance for foreigners in the UK is widely available. Specialist lenders work with visa holders, expats, and new UK residents who don’t yet have a long UK credit history.

📆 How long do you have to live in the UK to get car finance?
There is no fixed rule. Some lenders prefer at least 3–6 months of UK residency, but others offer car finance for new UK residents who have only just arrived, especially if they have a job contract and time remaining on their visa.

⏳ Can I get car finance if I’ve lived in the UK for less than 3 years?
Yes. Many people assume three years of address history is required, but car finance without 3 years address history is possible through specialist lenders that focus on income and visa stability instead.

🌍 Can I get car finance in the UK on a visa?
Yes. Most lenders accept visa holders, including those on Skilled Worker, Health & Care Worker, Graduate, Ancestry, and BNO visas. The key factor is usually having at least 12–24 months remaining on your visa.

🎓 Can international students get car finance in the UK?
It can be more difficult, but car finance for international students is sometimes available, particularly with a guarantor, part-time income, or a larger deposit. Options are more limited compared to work visa holders.

🚘 Do I need a full UK driving licence to finance a car?
No. Many lenders accept international or EU driving licences, as long as you are legally allowed to drive in the UK. Some may ask you to exchange your licence later, depending on your nationality.

🆓 Is 0 deposit or 0 percent car finance available to new UK residents?
Car finance with 0 deposit is available, but monthly payments may be higher. 0 percent finance car deals usually require excellent credit and are more common for brand-new cars, so they are less common for newcomers but not impossible.

💳 Can I get car finance with bad credit or no UK credit history?
Yes. Car finance bad credit options exist, especially for people who are new to the UK and haven’t built a credit profile yet. Lenders may focus on affordability, employment, and visa length rather than your credit score.

📍 Is car finance easier to get in London or other big cities?
Larger cities like London often have more dealerships and car finance companies in the UK offering flexible options, but approval depends on your personal circumstances rather than location.

🤝 Who is best placed to help new UK residents get car finance?
Specialist providers that focus on car finance for expats, immigrants, and visa holders are often the most helpful. They understand overseas income, limited credit history, and shorter UK address records.

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