Joint application

Definition

A joint application is when you apply for joint car finance with another person, using both your personal details to support your application.

A decision is made by the lender, based on the income, debts and credit histories of both parties.

Does Creditplus offer joint car finance?

Yes. We have a wide range of lending options available, including joint vehicle finance.

Call 01202 684898 today to discuss your joint car finance with a friendly customer consultant.

How joint applications work

Let’s say you and your partner make a joint car finance application. The lender will run a Soft Credit Search on both your credit profiles to check your joint affordability.

Unlike a hard credit search, this will not leave a mark on your Credit File or impact your Credit Rating.

Once you’re approved and your agreement is in place, you and your partner are both legally responsible for maintaining the monthly repayments.

At the end of the agreement, once all outstanding payments have been cleared, you both own the car.

Why apply for a joint finance application?

If you can’t qualify for credit on your own merit, a joint application can often increase your chances of approval.

For example, you may have good credit but insufficient income - while your partner has a weaker credit history, but higher income.

Getting approved individually could be tricky; but combined you may be viewed more favourably by a lender.

What do I need to apply for a joint application?

To be considered for joint application car finance, at least one joint applicant will need a full UK driver’s licence, as well as 3 years’ address history and employment details.

Disadvantages of a joint application

Applying as a joint applicant means that both parties are jointly responsible for the debt.

For example, if one applicant defaults on their part of the finance agreement, both parties credit file will affected.

The agreement is not split in half, so you should be aware of the negative effect on your credit file, if your joint applicant is unable to maintain their payment.

Who owns the car in a joint finance agreement?

During your finance agreement, the car legally belongs to the finance provider.

Once all outstanding payments have been made, the legal ownership rests with you and your partner.

A vehicle can be registered with two, but it can only have one registered keeper.

The registered keeper is normally the primary user and is the first point of contact for police queries relating to the vehicle, motoring offences, parking tickets etc.