Bad Credit Car Loans for Pensioners

Living on a government pension? We’ll pair you with an understanding lender able to work with your income stream.

Why pensioners choose Bad Credit Car Loans

You shouldn’t have to spend your life getting lifts just because you live off a pension and your credit score is imperfect. We work with pensioners with bad credit looking for car finance every day to get them back behind the wheel, even if their situation is a little more complicated.

Our consultants can help you access a car loan with bad credit if you’re receiving Centrelink payments, such as single parent pensioners, disability (NDIS) pensioners or aged pensioners.


Specialist lending partners

We work with a range of lenders willing to give pensioners and Centrelink recipients with bad credit a second chance at car finance.

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Expert advice

Our consultants have decades of experience getting the trickiest of applications approved and will guide you through the process.


Hassle-free process

Applying for your car loan with us is quick, straightforward and takes the headaches out of comparing deals.

Bad credit car loan features for pensioners

Flexible income streams

Whether you’re living off a government pension, employed casually or not at all, our lending partners will work with you on a suitable deal.

Fixed repayments

What you’ll be paying is locked in from the start, so there won’t be any unexpected shocks or increases across the life of your loan.

New and used vehicles

Your new set of wheels can be brand-new or second-hand, giving you ample options when searching the auto market.

Borrow 100% of the car’s value 

You can finance the full price of your car with no need to pay a hefty deposit if you don’t have the savings to do so.

Pre-approval available

Your borrowing limit can be locked in with loan pre-approval, strengthening your hand when it comes to negotiating car prices with sellers.

No early repayment fees 

Forget costly break and discharge fees; some of our lenders will let you pay back your loan early, minus the extra expense.

How our approval process works

Accessing car finance can seem impossible for pensioners with bad credit. However, it’s far from it. Our headache-free application process takes just minutes to complete online, no matter your circumstances.

If you’re a retiree, a carer, living with disability or a single parent and want a car loan but have bad credit, we can help you. To get the wheels in motion, familiarise yourself with our step-by-step, simple application process.

Submit a free quote

Your consultant will be in touch to discuss your financing options once you’ve lodged an obligation-free quote online.

Apply for your loan

After applying for your loan, your consultant will use our technology to pair you with a suitable lender.

Get approval

You’ll likely get same-day approval on your formal application after your consultant prepares and submits it on your behalf.

Sign your documents

Your consultant will send over a digital loan contract and a credit guide. Upon returning the documents with your signature, your funds will be released.

What you need to do before applying for a loan

The eligibility criteria for a loan such as this is that you must be:

  • Aged over 18 years old
  • Earning a regular income
  • A permanent Australian resident or Australian citizen

When it comes to weighing up your regular income, a whole range of Centrelink benefits can qualify you for a bad credit car loan, including:

  • Aged pensions
  • Disability support (NDIS) pensions
  • Veterans’ affairs pensions
  • Carer payments
  • Parenting payments
  • Child care subsidies
  • Family Tax Benefits A and B

Your consultant can help you with a rough estimate of your expenses and liabilities to work out what you can reasonably afford to borrow. Lenders want to see that a new loan won’t cause you added financial headaches and that you’ll be able to easily manage the repayments.

Your financial track record is still a vital component of the approval process, even if you apply for a bad credit car loan. Lenders will look more favourably upon an application if the borrower has worked to resolve outstanding debts or unpaid defaults.

Having your personal information well-prepared will fast-track the approval of your application. Our consultant will ask you to supply the following documents:

  • A driver’s licence (front and back) or a valid passport
  • Centrelink income statements
  • 90 days of bank statements
  • Two recent payslips
  • An application form, consent form and a credit guide supplied by your consultant

Top tips to get your loan approved

Display a strong residential history

Having long-term living arrangements shows lenders you have some stability over your rent and utility costs.  Borrowers who are constantly moving house face fluctuating rent that could make it hard to demonstrate you can meet your repayments over the coming years.

Avoid job changes

Lenders will also want to see your income is unlikely to change, so having a strong employment tenure is important when applying for a loan. Changing jobs frequently or long periods of unemployment or underemployment will increase your risk profile.

Show evidence of savings

Being able to prove you have been a bit of money in the bank will also help increase your chances of approval. Having savings shows a lender you are not living beyond your means and have good spending habits, important when considering taking on new debt.

Pay off outstanding debts

Even though you’re considering a bad credit car loan, your credit report and track record will be important in the approval process. As such, it’s always a good idea to try and pay outstanding debts or defaults. This will save you money in the long run and also show you’ve learned from past mistakes.

Questions about bad credit car loans on pension payments

No – a pension is a fixed income. Unemployment bridging measures, including JobSeeker or NewStart, are temporary payments until the recipient finds work.

You can borrow upwards of $5,000, but loan limits are applied on a case-by-case basis.

No – all loan applications are subject to credit checks. While no credit check car loans aren’t offered if you’re a pensioner or anyone else, shouldn’t worry too much if you’re looking for car finance with a bad credit rating, as some lenders are very flexible. We’ll review your file and make sure you’re matched with a suitable lending partner. This varies from case to case, but applications usually take between 24 and 48 hours to complete.

Yes – our lenders are more interested in what you’re currently able to manage than your past. Your consultant will be able to talk you through the process and help you consider your options.

Yes – we work with non-permanent residents and those living in Australia on temporary visas who earn part of their income through Centrelink. 

Yes – your car can be up to 20 years old on the date you purchase it. If you intend to purchase an older vehicle, we can also help you finance its purchase with an unsecured car loan.

Yes – you can look at refinancing with other lenders if you’ve kept up to date with the repayments. You will need to prove to your lender that your financial position and budgeting have improved. 

Temporary support measures that don’t qualify as accepted income include:

  • Youth Allowance
  • JobSeeker payments
  • Austudy
  • Abstudy