If a lender offers you pre-approval for car finance, it’s a good provisional indicator that they will lend you a pre-determined sum of money according to terms and conditions.

But what is pre-approval for a loan, and how can you secure it?

What does it mean to get pre-approval for car finance?

If you’re pre-approved for a loan, it means the lender conditionally agrees to lend you the money according to the preliminary information that you’ve given them.

This information can include personal information, details about your employment, and your address details. Once this information is provided, the lender will perform a car finance soft credit check, which won’t impact your overall credit score. They will then decide whether or not to offer you a pre-approved loan.

Receiving pre-approval for a loan is a good indicator that you’ll secure car finance. However, it’s not a guarantee.

After the initial soft credit search, the lender will perform a hard credit check. This involves a deeper dive into your credit profile, as well as confirmation of your ID and documentation checks. Be aware that a hard credit check does impact your overall score.

Depending on the results of this search, the lender can decide whether or not to pre-approve you for car finance. If you are pre-approved, the lender will outline the terms and conditions of a potential loan.

Does everyone get pre-approved for car finance?

Not everyone will get pre-approved for car finance. Whether you are pre-approved or not depends on your personal circumstances, as well as the lender’s review of your credit rating and the ID documents you provide.

If you aren’t pre-approved for car finance, it won’t show up on your credit score. You can also take a few simple steps to help improve your chances of securing pre-approved car finance should you choose to reapply. This can include everything from improving your credit score through to reducing your loan amount and researching lenders to find one that works for you.

What are the benefits of pre-approval?

Greater confidence

If you’re pre-approved, it’s a good indicator that you’ve been deemed creditworthy by a lender.

As such, you can go into your search for car finance with greater confidence and reduced stress. It also reduces your chances of getting rejected and harming your overall credit score.

Greater clarity

Once you know which kinds of loans and interest rates you qualify for, you can better compare lenders and establish which finance agreement meets your needs.

Better bargaining

You may also be able to improve your bargaining options over the price of a vehicle, because you’ll know how much you can afford to spend.

Depending on the lender, you may also be able to secure better interest rates, too.

Find car finance with My Car Credit

If you’ve still got questions about the pre-approval process for car finance, get in touch with our friendly team today on 01246 458 810 or email us at enquiries@mycarcredit.co.uk.

Rates from 9.9% APR. Representative APR 12.4%

Evolution Funding Ltd T/A My Car Credit

My Credit Rating


  • You are a home owner
  • You have been on the electoral role for a long period of time
  • You have current credit arrangements and mortgage with no defaults
  • You have no CCJs, credit arrears or missed payments
  • You rarely apply for credit
  • You are employed or self-employed


  • You are on the electoral role
  • You are a home owner or long standing tenant
  • You have a stable employment history
  • You have current credit arrangements with occasional missed payments
  • You have no CCJs


  • You are or have recently been on the electoral role
  • You may have recently changed address
  • You may have occasional missed payments
  • You may have an old CCJ
  • You may have regularly applied for credit


  • You may have had frequent changes in address
  • You may not be traceable on the voters roll
  • You may have exceeded credit card limits
  • You may have missed payments on current agreements
  • You may have had a CCJ in the past


  • You may not be traceable on the voters roll
  • Your credit cards are over their limits
  • You have recent CCJs
  • You may have been refused credit elsewhere
  • You may be in a debt management plan

X monthly repayments of

Typical rate

Loan amount

Total payable




*for illustration purposes only

No impact on your credit score*

Representative Example

Borrowing £7,500 at a representative APR of 12.4%, annual interest rate (fixed) 12.36%, 47 monthly payments of £196.44 followed by 1 payment of £206.44 (incl. estimated £10 option to purchase fee), a deposit of £0.00, total cost of credit is £1,939.12, total amount payable is £9,439.12.

Evolution Funding Limited, trading as My Car Credit, is a credit broker and not a lender.

Please ensure you can afford the repayments for the duration of the loan before entering into a credit agreement.

*Initial application is a soft search. Should you progress, some lenders may perform a hard search on your credit file.

Require more help?

Got a question you can’t find the answer to, or need some advice and guidance around taking out car finance? Our Car Credit Specialists are friendly, experienced, and here to help so get in touch today!