Representative 30.9% APR
Typically, students can find it trickier to purchase a car on finance. This can be for a range of reasons, including having a limited credit file or income while studying. Many mainstream lenders won’t work with students because of these reasons, which is where we come in. However, that’s not to say that students can’t get cars on finance.
At First Response Finance, we look beyond a person’s credit score to get a real insight into your financial picture. Perhaps your income as a student is supplemented by a part time job? Maybe you’re only studying in the evenings around your existing employment? There’s no one size fits all approach, so if you’re a student wondering if we can help you, why not get a quote today?
There are lots of options on the table when it comes to car finance, and you may see acronyms like HP, PCP or PL floating about while you’re doing your research. At First Response Finance, we offer Hire Purchase (HP) car finance to all our customers, but we’ve explained the differences between these three main finance types below and you can read more about this over on our blog.
Hire Purchase can be one of the easiest ways to manage the cost of a car. You'll normally (but not necessarily) pay a deposit on the car, with the rest of the price being split into fixed, regular payments. Once you've made the final payment, the car is legally yours!
There's no big lump sum at the end to worry about, just steady, predictable payments that fit around your budget. This makes it a great option if you're looking to fully own your car while keeping costs manageable.
HP can also work well if your credit history is limited, which it could be if you're a student. This is because the car acts as security, so lenders can be more open to approving applications compared to other finance types.
Personal Contract Purchase (PCP) is a flexible way to finance a car, and is often what is used for newer (or new) cars. You'll typically pay a deposit and your monthly payments will almost always be lower than they would be on Hire Purchase. At the end of the deal, you'll have the choice to either: hand the car back, pay a larger 'balloon payment' to keep it, or trade it in for another car.
With PCP, you're mostly paying for the car's depreciation (how much value it loses) rather than the full price. It's a good choice if you like the idea of lower monthly costs and swapping into a new car every few years. However, if you'd rather have the certainty of owning your car at the end of your agreement, HP may suit you better.
For students with little to no credit history, PCP can be harder to get approved for, as lenders may look for stronger credit scores.
A personal loan from a bank or lender lets you borrow a lump sum so that you can buy your car outright. You then pay it back in instalments over an agreed time, almost always with interest.
Through using a personal loan, the car would be yours from day one, meaning you'd be free to sell it or make any cosmetic/technical changes whenever you like. You also wouldn't have to worry about any mileage limit that may be imposed when taking out other forms of finance.
If you're looking to buy a vehicle from a private seller, this will likely be the best option for you. This is because the money you have borrowed isn't secured against an asset (the car). However, because of this, lenders can be stricter about who they approve. This means if you don't have much credit history, or your credit score isn't great, it can be harder to get accepted - and if you are accepted, your interest rates may be higher.
All of our car finance agreements at First Response Finance are Hire Purchase (HP), which means you’ll pay for your car in fixed, manageable instalments.
When you apply, we’ll look at your regular income, credit history, and a few other details to decide if we can offer you finance.
If your application is approved, here’s what happens next:
You may not always need to pay a deposit – this will depend on the car you choose and your agreed credit limit.
Get a quote today to see if we can help.
Ultimately, it really depends on your personal situation. If you’re fortunate enough to have a regular income while studying, whether from a part-time or full-time job, you’re likely to be in a stronger position when applying for car finance. This is because it shows to potential lenders that you can manage and afford regular repayments.
If your only income comes from your student finance or student loan, that can make things a little trickier. Some lenders may see this as less reliable, which then makes approval harder. On the other hand, if you’re studying part-time and working full-time, that’s often viewed more positively.
The key is to find a lender who looks at more than just the application and finds out more about their customer directly. At First Response Finance, we take a people-first approach where we consider your full circumstances to see how we can help get you on the road.
It’s entirely possible but will rely on your own situation, as mentioned earlier. Many students understandably don’t have much credit history yet, and that’s completely normal. Some lenders rely on strict credit scoring application criteria, which can make it harder to get approved. But others, like us at First Response Finance, take a more personal approach by looking at your overall circumstances instead of just your credit file.
If you’re able to show a regular income – even from a part-time job – and can comfortably afford the repayments, your chances of being approved are much higher. This means that in making the repayments to us, you're not at risk of any financial difficulties. We will never lend to a customer if we believe that this could be the case.
Once accepted and on the road, your financial agreement with your lender will also begin to improve your credit file for the future, as you’ll be able to evidence that you can maintain, and ultimately pay back, a credit agreement.
The cost of car finance for students is different for everyone, and is dependent on a few things, including:
Being a student doesn’t automatically mean you’ll pay more for car finance. However, if you have limited or poor credit history, your interest rate may be higher. You can use our calculator tool below to get an idea of what your monthly payments and total costs could look like.
There’s no commitment when you get a quote and it won’t affect your credit score at this stage.
Select the option that best describes your credit rating.
There are no additional fees
Representative
28.9% APR
We're SAF Approved by the Finance & Leasing Association (FLA), which means that all of our customer-facing employees have passed the Specialist Automotive Finance (SAF) Expert test. This ensures our team members have all the relevant knowledge to advise you on available finance products and help find the right one for you!
Applying for student car finance is super simple and takes just a few minutes. All you need to do is follow our usual application process below.
Complete our online quote form. We'll be able to give you an instant decision on your eligibility and give you an indication of how much your repayments might be. There's no commitment and no impact to your credit score at this stage.
We’re authorised and regulated by the Financial Conduct Authority (FCA).
We're committed to treating customers fairly and giving clear, honest information so you can trust us to put your best interests first every step of the way!
Some lenders have strict rules in place that can make it difficult for students to get approved for vehicle finance. At First Response Finance, we do things differently. We take the time to look at your full situation, not just what a score tells us. That means taking a look at your income, spending, and what you can realistically afford.
There's plenty of other reasons to choose us, too:
Unsure if a Hire Purchase agreement would be suitable for you? Check out some of the benefits and potential drawbacks.
This page was last reviewed in October 2025.
First Response Finance is a responsible vehicle finance lender, and all decisions are made in the best interests of the customer; based on credit scores, status, and income at the time of application. We'll never approve an application if we believe you might struggle with repayments.
Get independent advice on money, finance products, debt management, and budgeting through Citizens Advice and MoneyHelper.
