Those who rely on our car to get to work or manage the school run know how disruptive unexpected repairs can be. Leaving your motor at a garage for an oil change is bad enough, but what if you have a breakdown or your MOT finds a major issue?

You know it's going to cost a lot. And let's face it — you probably haven't set money aside.   

If you're in this situation, a car repair loan can be a great way to finance the bill. But what if your credit rating isn't great? Can you still get a car repair loan with bad credit? 

The good news is: 'probably yes'. Let's look at what a car repair loan entails and how to secure bad credit car repair loans. Scroll down to start learning now. 

What is a car repair loan?  

A car repair loan is a loan or credit line designed specifically to cover car repairs.  

Most of the lenders specialising in car repair loans recognise that major repairs often land without warning, so they make sure they have a solution.  

Can you get a car repair loan with bad credit?  

Yes, there are car repair loans for bad credit. Though most lenders offering financing would prefer that a customer has good credit, there are loans for people with poor credit, too.  

If you opt for a car repair loan for bad credit, you may have to pay higher fees or take on a less attractive interest rate. But on the upside, you'll be able to pay your bill and keep your car on the road.  

It's also worth looking into the car repair loans manufacturers now offer. Just bear in mind that not every dealership signs up to participate. And when they do, you may have to go in person to complete an application.    

After that, the number of payments you can spread the cost over is often restricted to two or three. For repair jobs above £2,000, the approval processes and credit checks can be more stringent.   

Why is it difficult to find bad credit car repair loans? 

Finding loans for auto repair with bad credit can be challenging but not impossible.  

This is because lenders deem lower credit scores to have more risk, as they typically come with a history of late or missed payments. Lenders are less likely to give loans to individuals with bad credit to protect themselves and ensure they get their investment back. 

From opening a new credit card to defaulting on payments, credit scores can drop for many reasons. However, once it lowers, it’s hard to build back your score and secure a car repair loan — especially if you need one ASAP.  

It often seems like the credit system is designed in favour of the lender. However, it protects individuals, too. If you have bad credit, these regulations restrict how much you can borrow, but this also protects you from higher interest fees and penalties if you miss payments.

5 ways to raise your credit score 

If you need auto repair financing for bad credit, you likely need the cash as soon as possible. While these five tips won’t raise your credit score this second, they will help you apply for more credit in the future. 

• Keep your credit card balances low compared to credit limits  
• Pay off balances in full every month where possible 
• Keep old accounts open to maintain a longer credit history 
• Use credit responsibly and avoid risky financial behaviour 
• Make sure you’re on the electoral register

Get your FREE credit report with Checkmyfile to see what lenders may see when they check your report. Try it FREE for 30 days, then £14.99 a month. Cancel anytime.

Can a car loan credit check lower your credit score? 

Yes, car loan credit checks can potentially lower your credit score.  

This is because you have a hard credit check every time you apply for a loan. Hard checks are visible to all lenders and drop your score from 1 to 5 points per check. Luckily, they’re not permanent, and you can raise your score after a few hard checks.  

However, it’s best not to shop around for car loans without considering all the options first. 

Do non credit check car repair loans exist? 

No. No credit check loans don’t exist in the UK, as lenders are required to complete credit checks to assess the borrower’s risk.  

Companies that advertise no credit check car repair loans will still need to check your credit history. However, they might be able to accept applicants with lower credit scores. These tend to come with high interest rates, though. 

Alternatives for bad credit car repairs 

Credit is a popular option for last-minute car repairs. However, if you have bad credit or are avoiding taking out more loans, you might want to consider alternative payment options.  

Here are some alternatives to car repair loans for bad credit: 

• Borrowing money from family and friends 
• Using emergency savings  
• Negotiating payment plans with the garage 
• Selling old items/clothes to cover the repair costs 
• Take on temporary or part-time gig work to cover the cost 
• Use government assistance programs  

While no credit check car repair financing is popular, it’s not your only one. So, check out all the options before making a decision. 

How to get car repair loans with bad credit 

Today, getting a loan for auto repair with bad credit is quick and simple. 

As digital technologies continue to transform how we buy and pay for services, 'buy now, pay later’ (BNPL) platforms are giving consumers more options to pay for things flexibly.   

In the automotive sector, Bumper is the leading BNPL platform. We let you split a hefty repair bill into smaller, easy-to-manage, interest-free payments. To find a car repair loan provider near you, follow our easy step-by-step guide. 

Step-by-step instructions for bad credit repair loans 

Ready to secure auto repair financing for bad credit? Here’s how you can get started today. 

It’s easy, and it works like this: 

1. Enter your vehicle registration number and postcode  
2. Select a local repair centre from our network  
3. Complete a simple credit application for up to £5,000  
4. Receive your unique Bumper Code  
5. Book your appointment  
6. The whole process takes a matter of minutes.

When agreeing on the cost of the repairs, just give your garage the Bumper Code. They’ll send a link to your smartphone, where you can choose how to spread out the payments. Pick the number of months and fix a date to complete the payments. You can even use Apple Pay or Google Pay to set it up.   

Bumper ensures you never pay more for servicing or repairs when spreading the cost. And the maximum credit limit you’ve been offered is never shared with the garage.  

So, if car repairs suddenly become necessary, consider your financing options.  

Car repair loans for bad credit - Final thoughts 

Navigating a last-minute car problem is never pleasant, especially if it comes with an extortionate bill. However, it doesn’t have to be stressful or limited by your credit score. Hopefully, this blog has helped you find a solution for your financial needs.  

Take the worry out of unplanned repairs  

At Bumper we’re committed to giving car owners more financial flexibility by taking the worry out of unexpected car repair costs and helping bring the automotive aftermarket into the digital age.  

Want to learn more? Visit our How It Works page and try the online calculator.  

Author - Joseph Law

Joseph has been writing about cars for over seven years and writing for Bumper for over two, blending his passion for automobiles with a talent for storytelling.

Joseph has written about engineering and cars for Autozilla, Komaspec, and several engineering manufacturers. When he's not writing or tinkering with one of his five cars, Joseph dreams of owning an Alfa Romeo 33 Stradale.