Short answer: sometimes, but it depends on the lender. There is no law stopping you financing a Cat N car. In practice, many lenders and dealer finance providers set their own rules and some will not lend against a car with a write-off history. Cat S cars are treated in much the same way.
Many car finance agreements, such as hire purchase, are secured against the car. The lender owns the car until you finish paying, so it cares about the car’s value and risk. A write-off history can mean a lower and less certain value, so some lenders decline or add conditions.
Lenders set their own criteria, so one may refuse while another accepts, and we cannot give a single rule that applies to all of them.
Dealer finance. If you buy from a dealer, ask whether their finance panel will lend on a car with a write-off history, before you fall for the car.
Specialist lenders. Some lenders deal with cars that mainstream lenders avoid. Check they are authorised by the Financial Conduct Authority and compare the total cost.
Personal loan. A personal loan is usually unsecured, so the lender is lending to you rather than against the car. The loan terms depend on your credit, and you own the car from the start. Compare the interest rate against car finance.
Saving or part-paying. If neither works, buying with savings or a smaller loan can be safer than taking on expensive credit.
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Total cost. Compare the total amount payable, not just the monthly figure.
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Higher rates. Riskier lending can come with a higher rate.
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Insurance. You will usually need insurance before driving. Check you can get cover first, as in our guide to insuring a Cat S car.
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Resale. A lower resale value can leave you owing more than the car is worth.
Check the car before you borrow
Finance adds a second reason to check the car’s history. Before you sign anything:
1.
Confirm the write-off category so you can tell the lender the truth
2.
Check the car has no existing finance of its own. A car with outstanding finance can be repossessed even after you buy it, as we explain in buying a car with outstanding finance
3.
Check stolen status and mileage
4.
Get an independent inspection
Frequently asked questions
Can I get car finance for a Cat S car?
Possibly. The same issues apply: some lenders decline, others lend on different terms.
Is a personal loan better than car finance for a write-off?
It can be simpler because it is not secured against the car, but the rate depends on your credit. Compare the full cost of each.
Do I have to tell the lender it is a write-off?
You should answer any question the lender or dealer asks honestly.
Should I buy a Cat N car at all?
That depends on price, repair evidence and your plans. Read Can I buy a Cat N car?.
Start with a free check at carverified.co.uk, or see what our write-off check and finance check cover.