UK car finance is an affordability test. Lenders divide verified monthly income by the proposed payment plus existing credit. Statements prove the income half.
HP and PCP differ at the end, not at approval. Both need three months of statements showing income arriving, bills leaving, and surplus for the payment.
Existing credit counts first. Credit cards, overdrafts, Klarna and Clearpay balances all reduce the room for a car payment. Clear small balances before applying.
Conduct flags stop applications. Gambling transactions, returned direct debits, and payday advances trigger manual review at most lenders.
Check the ratio yourself. Total monthly credit payments plus the car payment, divided by verified income. A bank statement analyser computes it in one pass.