FAQ FRIDAY: Leasing for the Self Employed

By Kevin | 11th December 2015 | Category: Blog | Leave a comment


According to a report in The Guardian in 2014, "self-employment in the UK is at its highest level since records began almost 40 years ago, according to the Office for National Statistics. There are 4.6 million people working for themselves, with the proportion of the total workforce self-employed at 15% compared with 13% in 2008, and 8.7% in 1975."

If these businesses need transport of some kind, at Nationwide Vehicle Contracts, we offer options on both Business Leasing and Personal Leasing to get them moving.

Business Leasing

If you are self-employed, it is your financial situation that determines whether you fall into the Business or Personal Leasing category as well as what you are looking for from your new vehicle. If you’re unsure which option to go for, ask your sales advisor – they will be happy to help.

For example; If yours is a new business and you are unable to provide 3 months worth of bank statements for your business, you may be able to lease a vehicle on a personal basis instead.

It all boils down to the fact that, in order to lease a vehicle through Nationwide Vehicle Contracts, your business will need to undergo a credit check as part of the finance application process.

What we need to know about your business

We ask you to fill out an online Business Finance Application Form, where we ask about your company and the business that it does.

This includes:

  • Company details – including name, address, company registration number and annual turnover
  • Director details – including name, date of birth and marital status of all directors
  • Business bank details – including bank name, account number and sort code

In certain circumstances, especially if your business is less than a year old, or you’ve previously been denied vehicle finance, you will be asked to provide additional information that will include 3 months’ business bank statements, and may include a copy of your Management accounts and/or a director’s guarantee

If you want to find out if your business is likely to be accepted for finance, take our brief interactive questionnaire. 

If you’ve taken our quiz and are find that you are likely to be eligible for finance, why not take a look at some of the latest offers that we have available https://www.nationwidevehiclecontracts.co.uk/leasing-offers/ before contacting our representatives.

Alternatively, if the business eligibility quiz suggests that you may not be right for Business Leasing, then you may find that Personal Leasing may be a better option for you.

Personal Leasing

Once again, as with Business Leasing, in order to lease a vehicle through Nationwide Vehicle Contracts, you will need to undergo a credit check as part of the finance application process.

You will be asked to fill out an application form online (Personal Finance Application Form) where you will be asked to provide the following information:

  • Personal details – Including marital status and number of dependants
  • Address details for the past five years – This information is used to verify your identity and may also be used to determine the credit histories of anyone you are financially connected with. Previous residents to which you have no financial association are not considered
  • Employment details for the past three years – This information is used to determine how your present income and expenditure is likely to evolve over the period of your lease (especially important when it comes to your self-employed status)
  • Your bank details – This information is used to determine how you have managed your existing accounts and your ability to make payments on time. Although the details must be provided for the account for which you will be setting up a direct debit should your application be accepted, no money can be taken from your account without your permission
  • Your monthly income and expenditure – This information is used to ensure you are comfortably able to afford the finance deal for which you have applied

When it comes to self-employment, information about employment history, monthly income and expenditure and future prospects are very important to determine whether or not you are able to afford the lease you have applied for.

Take our brief interactive questionnaire to find out if you are likely to be accepted for personal leasing finance, and once that has been completed (and you find that you are eligible), contact one of our representatives to discuss further.

In the meantime, why not take a look at some of the latest offers that we have available https://www.nationwidevehiclecontracts.co.uk/leasing-offers/ to whet your appetite.

For more information on both Personal and Business Leasing, and for more answers to frequently asked questions when it comes to leasing from Nationwide Vehicle Contracts, take a look at our FAQ Page.

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