Bad news for bad credit car finance dealers
The largest financer of bad credit car finance has withdrawn funding from hundreds of independent car finance dealerships to focus on its own outlets.
It could mean that thousands of drivers looking for cheap car finance on a car will be disappointed.
Welcome Car Finance, which specialises in finance for cars to those with a poor credit history, insisted the move did not reflect any lack of funding because of the credit crunch.
Most of the bad credit car market relies on Welcome, so many dealers who rely on Welcome- perhaps 60-70% - will find this a devastating blow.
Consumer choice will also suffer. Whereas those with a bad credit rating could previously turn to hundreds of car dealers, they will now only be able to chose between the dozen Welcome dealerships.’