ASDA Car Loan
Compare ASDA car loans
If you need funds for a new car or to pay off an existing finance deal, an ASDA Affordable Loan could help. ASDA take pride in offering a “fairer way of borrowing” and may be able to help those with no credit or bad credit, even if they have been turned down by other lenders.
ASDA Affordable Loans are offered on an unsecured basis, meaning you do not have to put up your home as collateral. They are relatively fast and straightforward to apply for and are a good alternative to other forms of short term borrowing, which can negatively affect your credit rating.
When considering an ASDA Affordable Loan to buy a new car, there are some important details that are worth bearing in mind.
Benefits of ASDA car loans
ASDA Affordable Loans customers benefit from:
- Borrowing £50 to £5,000
- Repaying over 3 months to 5 years
- Fixed monthly repayments
- A quote within as little as 5 minutes
Restrictions on ASDA car loans
If you decide to apply for an ASDA Affordable Loan, please remember:
- You must be 18 or over
- ASDA Affordable Loans are currently only available in certain parts of the UK
- Loans are fulfilled by various “community lenders” so the amount you can borrow and other terms and conditions may vary according to location
- The APR you are offered will depending on various factors
- Fail to stay on top of your repayments and your credit score could be harmed
- Defaulting on your loan may see your account referred to a county court who can appoint a bailiff to recover the outstanding balance
Alternatives to ASDA car loans
For loans over £25,000, secured borrowing is likely to be a better fit. By securing a loan against your home you are likely to be able to borrow more and for a longer time. You may also be able to get a better APR than with an unsecured loan, although many different things influence this.
Ultimately, how much you can borrow and the kind of interest rate you are offered will largely depend on your loan-to-value (LTV) ratio. This is a way of expressing, as a percentage, how much money will end up leveraged against your home, if your loan application is accepted, versus the market value of the property. The lower your LTV, the better APR you will tend to be offered.
When taking out a secured loan, it is important to understand that your home could be at risk if you do not make the agreed repayments.
Get the best rates on car loans
ASDA are one of a variety of providers offering loans for car finance. Getting the best deal means being able to see how the various brands’ offers stack up next to each other. Our car loan calculator, found at the top of this page, allows you to quickly compare and assess the best deals from across the market to find the best match for your needs and financial situation.