Since the initial UK outbreak at the start of 2020, COVID-19 has affected our lives in various ways. People have had to work from home, many have been furloughed or even lost their jobs, and we’ve all had to adapt to a more remote way of living.

Needless to say, this has had some direct and knock-on effects for car sales, as this post will explore.

The direct impact on car sales

The initial impact of COVID-19 on car sales came through the forced closure of dealerships. In the first lockdown, imposed from 24th March 2020 onwards, dealerships were deemed non-essential and forced to close. This brought car sales to a halt, with many dealerships not prepared for non-contact and online sales.

Over time, car sellers have adapted their processes so they can provide plenty of information online and offer click and collect services or deliver cars to customers’ homes. That minimised the impact of following lockdowns, including the national one imposed at the start of 2021.

Knock-on effects of COVID-19

While the ability to buy cars and apply for finance from the comfort of your home has minimised the direct impact of COVID-19 on car sales, there have also been some indirect effects.

People being furloughed or losing work has naturally led to fewer people being able to afford a new car – or at the very least, they’re looking at more affordable cars.

Some borrowers may have been forced to miss payments or make late repayments on their loans, which will have a knock-on effect for their credit score. Fortunately, some providers have offered ‘holidays’ on loan and mortgage repayments, which has minimised the impact on those who have been affected – at least in the short term.

Post-COVID car finance

If you’ve been left with a poor credit score in the wake of COVID-19, My Car Credit is on hand to help. We provide car finance for poor credit score applicants, so you can still spread the cost of a new or used car. To find out more, email or call us on 01246 458 810.

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!