Best zero deposit car finance deals - December 2024

A 0 deposit car finance deal means you pay nothing up front, so if you want car finance without hurting your savings account, here are the best offers we've found.

The increasing cost of living means that it’s harder for many to get the money together to buy a new car outright, or to put down a deposit to sign a finance agreement. However, help is at hand if you find yourself in this situation - zero deposit car finance.

A 0 deposit car finance deal means you pay no deposit, simple as that. As with all car finance, there are trade offs. Here you’re getting the convenience of not having to save for months or dig into existing savings to put up a large initial sum, but are effectively passing the costs on to yourself further down the line through increased monthly payments.

With a PCP or car lease you usually pay a deposit or initial rental, and the higher this is, the lower your monthly payments become.

However, if you do go for the zero deposit option, you’re effectively using finance to cover the whole cost of the car, rather than paying some of the cost up front with your deposit. This means larger monthly payments, often over a longer time period, and the likelihood of attracting larger interest payments, too.

One thing to look out for is zero deposit finance with a deposit contribution from the car manufacturer. This means you get an effective discount on the overall car price, meaning you have less to finance and thus less to pay each month.

Everyone buying a car on finance has to have their credit history checked to ensure they can pay back the loan. As a zero deposit loan is a little riskier for the finance companies, you need to have a great credit score to be accepted for this kind of deal.

It’s also worth bearing in mind that this type of finance deal is very expensive to end early, so you need to be sure the deal is right for you, and you can afford it throughout its duration, before signing up.

After more deals on new cars? Check out our round-up of all the best new car deals around. 

Zero Deposit Finance Deals - A-Z by Car Maker

Here's a list of zero deposit deals being offered by carmakers right now. Not all carmakers offer zero deposit finance, but if a deal pops up, we'll feature it here.

0 Deposit Car Finance Deals

Our round up the best new car finance deals with zero deposit to pay that are available right now. We update this page every week to make sure we bring you the best deals. 

Is a 0 deposit car finance deal a good idea?

Zero deposit car finance can be a great way of getting behind the wheel as you don't have to dip into your savings to pay a deposit. Instead, you just need to have enough money to cover the monthly payments and running costs of your car.

However, by not paying a deposit, your monthly payments will be slightly larger, although this may be more manageable for you depending on your finances.

It's worth looking for deposit contribution deals, perhaps on less popular cars, or models that are due to be replaced, as this means the car company covers some or all of your deposit, leaving your monthly payments more reasonable.

If you do decide to opt for a zero deposit deal, it's worth remembering that your finance application and any late payments can lower your credit score.

What’s the difference between zero deposit car finance and 0% car finance?

Zero deposit car finance means that you don't pay anything towards the deposit when you start your finance agreement. There may still be a deposit contribution paid, but that comes from the carmaker or car dealer's side.

0% APR finance on the other hand means that you don't pay any extra interest over the term of your agreement for the car you're financing than the cost of the car itself.

It's quite rare, but it is possible to find PCP deals where you pay no deposit, there is a deposit contribution, and there's 0% APR on the agreement, too.

What do I need to get a 0 deposit car finance deal?

Unfortunately, a zero deposit deal won’t be available to every buyer. That’s because there is a greater risk for the lender to take into account. Every person signing up to a finance deal will have their credit checked. However, it’s likely that a more thorough credit check will take place, including proving your income, to make sure you’re good for the repayments. You may also be asked for a guarantor to ensure that payments will be received if you can’t afford them for any reason.

What types of finance are offered with no deposit?

Zero deposit car finance is usually offered with Personal Contract Purchase (PCP). This is the most common way people finance cars in the UK, and means you’ll pay monthly with the option to own the car by paying the outstanding amount at the end of finance agreement.

The monthly payments are likely to be higher to take into account the fact that you didn’t pay a deposit to begin with, therefore it's worth looking out for PCP deals that include some kind of manufacturer deposit contribution or discount to help keep monthly payments reasonable.

Which cars are available with no deposit?

Many carmakers offer zero deposit finance deals, meaning that you’ll have plenty of choice in getting the exact car that meets your needs. They’re available on brand new cars, so you can specify the car exactly as you want it, although delivery times are worth checking right now, as these are still longer than usual given supply chain difficulties.

It is possible to get used cars with zero deposit finance, too, although it's worth checking exactly how much you'll end up paying overall, as these agreements can prove quite costly. It's always worth getting a quote tailored to you before you sign up to any deal, as this will spell out all the costs and obligations you'll need to cover.