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Car finance ›
Can you finance two cars at once?
Updated: Monday, 18 September 2023
Owning two cars is more common than you think – particularly for families. But purchasing cars can be expensive, which is why most car owners choose car finance over buying their vehicles outright.
But can you finance two cars at once? And is there anything that could increase your chances of getting approved for a second vehicle finance agreement?
If you find yourself asking these questions, this guide is for you. This article will explain the ins and outs of financing two vehicles at the same time.
Is it possible to finance two cars at once?
When you take out a vehicle finance agreement, it’s important to read the lender’s terms and conditions.
For a single applicant, finding a lender that allows two cars financed under one name might be challenging. But you might be able to take out finance for multiple vehicle types – such as a car and a motorbike – instead.
Some lenders allow you to make a joint finance application if you’re looking to get a second car on finance.
How many vehicles can I finance in my name?
Each lender is different. Some lenders will allow you to finance multiple vehicles at once, whilst others won’t.
With Moneybarn, you can apply for multiple vehicles on finance as long as you fit within our multiple vehicle criteria and your application passes our affordability checks.
A single applicant (meaning you are the only person on the application) can have a car, motorbike, or van all on finance with us. You are not, however, allowed to finance two cars on a single-applicant application.
Getting approved for a second vehicle finance agreement
Several factors come into play when lenders evaluate your car finance application. These include:
Income
Naturally, a lender will want to make sure your income can cover the costs of repaying your vehicle finance repayments. This is because they need to know that you won’t miss payments.
Most lenders will want to see that you have money coming into your bank regularly and can afford to make vehicle finance repayments.
To get finance with us, you’ll need monthly earnings over £1,000 (after tax).
Credit history
Lenders often look at your credit file to determine whether they should approve you for a finance agreement. This might include examining your credit history and seeing how you’ve managed previous credit.
If you have a bad credit score, you might find that some lenders won’t approve you, though some may provide car finance for those with bad credit.
If you’re unsure of what your credit score looks like, take a look at Experian or ClearScore, where you can view your credit score for free.
Or if you need to improve your credit score or just want to find out a bit more, discover our other guides:
How you might increase your chances of being approved
There are some things you could do that might increase your chances of securing a finance agreement for a second vehicle.
Put down a larger deposit
If you can afford to put down a larger deposit upfront, this may lower your monthly payments for the additional vehicle. This could then help you afford the combined monthly payments for multiple vehicles.
We’ve created a guide on car finance deposits to help you decide if putting down a larger deposit is the right option for you.
Build your credit score
You can also take some time to rebuild your credit score. A lot of lenders are more likely to accept applicants with a stronger credit score. So, it might be a good idea to work off any outstanding debts and keep up with your current payments to improve your score.
If you’re experiencing financial difficulties and struggling to make your repayments, get in touch with your lenders to discuss the different options available to you. Or, you might want to consider reaching out to a not for profit debt advisory service like StepChange or MoneyHelper.
Stagger your applications
If you’re applying for multiple vehicle finance agreements simultaneously, your credit score might drop. Some lenders could see it as you being reliant on credit, and view you as a higher risk to offer finance to.
For more information, check out our guide on how to increase your chances of getting car finance.
Does having two vehicle loans affect your credit score?
You might see an initial dip in your credit score once you’ve been approved. But if you make your repayments on time and don’t default, your credit score should quickly improve as long as you don’t take out multiple loans in quick succession. If you are looking to get two vehicles on finance, you might want to spread the finance applications out. This is because there may be hard credit checks which impact your credit score.
Repaying your car finance agreement on time and in full each month will help to improve your credit score over the long run.
Owning two cars is more common than you think – particularly for families. But purchasing cars can be expensive, which is why most car owners choose car finance over buying their vehicles outright.
But can you finance two cars at once? And is there anything that could increase your chances of getting approved for a second vehicle finance agreement?
If you find yourself asking these questions, this guide is for you. This article will explain the ins and outs of financing two vehicles at the same time.
Is it possible to finance two cars at once?
When you take out a vehicle finance agreement, it’s important to read the lender’s terms and conditions.
For a single applicant, finding a lender that allows two cars financed under one name might be challenging. But you might be able to take out finance for multiple vehicle types – such as a car and a motorbike – instead.
Some lenders allow you to make a joint finance application if you’re looking to get a second car on finance.
How many vehicles can I finance in my name?
Each lender is different. Some lenders will allow you to finance multiple vehicles at once, whilst others won’t.
With Moneybarn, you can apply for multiple vehicles on finance as long as you fit within our multiple vehicle criteria and your application passes our affordability checks.
A single applicant (meaning you are the only person on the application) can have a car, motorbike, or van all on finance with us. You are not, however, allowed to finance two cars on a single-applicant application.
Getting approved for a second vehicle finance agreement
Several factors come into play when lenders evaluate your car finance application. These include:
Income
Naturally, a lender will want to make sure your income can cover the costs of repaying your vehicle finance repayments. This is because they need to know that you won’t miss payments.
Most lenders will want to see that you have money coming into your bank regularly and can afford to make vehicle finance repayments.
To get finance with us, you’ll need monthly earnings over £1,000 (after tax).
Credit history
Lenders often look at your credit file to determine whether they should approve you for a finance agreement. This might include examining your credit history and seeing how you’ve managed previous credit.
If you have a bad credit score, you might find that some lenders won’t approve you, though some may provide car finance for those with bad credit.
If you’re unsure of what your credit score looks like, take a look at Experian or ClearScore, where you can view your credit score for free.
Or if you need to improve your credit score or just want to find out a bit more, discover our other guides:
How you might increase your chances of being approved
There are some things you could do that might increase your chances of securing a finance agreement for a second vehicle.
Put down a larger deposit
If you can afford to put down a larger deposit upfront, this may lower your monthly payments for the additional vehicle. This could then help you afford the combined monthly payments for multiple vehicles.
We’ve created a guide on car finance deposits to help you decide if putting down a larger deposit is the right option for you.
Build your credit score
You can also take some time to rebuild your credit score. A lot of lenders are more likely to accept applicants with a stronger credit score. So, it might be a good idea to work off any outstanding debts and keep up with your current payments to improve your score.
If you’re experiencing financial difficulties and struggling to make your repayments, get in touch with your lenders to discuss the different options available to you. Or, you might want to consider reaching out to a not for profit debt advisory service like StepChange or MoneyHelper.
Stagger your applications
If you’re applying for multiple vehicle finance agreements simultaneously, your credit score might drop. Some lenders could see it as you being reliant on credit, and view you as a higher risk to offer finance to.
For more information, check out our guide on how to increase your chances of getting car finance.
Does having two vehicle loans affect your credit score?
You might see an initial dip in your credit score once you’ve been approved. But if you make your repayments on time and don’t default, your credit score should quickly improve as long as you don’t take out multiple loans in quick succession. If you are looking to get two vehicles on finance, you might want to spread the finance applications out. This is because there may be hard credit checks which impact your credit score.
Repaying your car finance agreement on time and in full each month will help to improve your credit score over the long run.
For a better road ahead
Moneybarn is a member of the Finance and Leasing Association, the official trade organisation of the motor finance industry. The FLA promotes best practice in the motor finance industry for lending and leasing to consumers and businesses.
Moneybarn is the trading style of Moneybarn No. 1 Limited, a company registered in England and Wales with company number 04496573, and Moneybarn Limited, a company registered in England and Wales with company number 02766324. The registered address for these companies is: Athena House, Bedford Road, Petersfield, Hampshire, GU32 3LJ.
Moneybarn’s VAT registration number is 180 5559 52.
Moneybarn Limited is authorised and regulated by the Financial Conduct Authority (Financial Services reference No. 702781)
Moneybarn No. 1 Limited is authorised and regulated by the Financial Conduct Authority (Financial Services reference No. 702780)
