What is a credit check? Does car subscription require a credit check? We explain how credit checks work - and how you won’t need one to start your Onto car subscription.
If you’ve applied for a traditional lease, you’ll know that a credit check is usually part of the application process. The financing company will want to ensure that you have a history of being able to make consistent payments, so they’ll use the information in your credit history to determine this.
In this article, we’ll explain how the credit check process works, what information your credit history could include, and how a car subscription with Onto offers access to electric cars - without a credit check.
A credit check is a look at your credit history. There are two primary types of credit checks: soft credit checks and hard credit checks.
Generally, soft credit checks are done before you make an application for financing - they can give an estimate of what you could qualify for. Hard checks are completed when you decide to apply for financing for definitive assessments of your eligibility.
We’ve summarised the main points of the two types of credit checks below:
A car subscription with Onto does not require a credit check. Instead, as part of your eligibility for registration, you will be required to pass our affordability background check.
Dealers use hard credit checks as part of the financing process. A car subscription is not a form of financing, so we don’t use the same kinds of checks.
When you register with Onto, you’ll be able to book your first electric car and take advantage of your all-inclusive subscription - all without a traditional hard credit check.
For an all-in monthly fee, enjoy all the benefits of car ownership, but none of the hassle.
