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Car finance made easy

We make getting car finance simple so you can be on the road in no time with over 17 lenders and 70 products compared.

  • Get a free no-obligation quote - no impact to your credit file
  • Purchase any vehicle from any dealer or privately
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  • Found a car? Check the history & value for free
Price calculator

Car finance calculator

I would like to borrow
£1,500
To pay back over
3.5 years

Representative Example: Borrowing £5,500 over 48 months with a representative APR of 19.8%, the amount payable would be £163 a month, with a total cost of credit of £2,283 and a total amount payable of £7,783.

How old can a used car be to finance?

If you’re looking to buy a used car through finance, it’s worth finding out what kind of cars can be covered.

If you’re thinking ‘how old can a used car be to finance?’, the answer is cars of no more than 10 years of age with mileage of no more than 100,000 are about the limit for finance agreements. For a standard car loan, however, vehicles closer to seven years are more commonly accepted. There are lenders on the market, nonetheless, who will specialise in finance agreements for older cars.

Exceptions to the rule

It’s always worth getting in touch with lenders when you find a vehicle older than 10 years for which you’re seeking finance, because there may be exceptions to the rule. If you’ve got your heart set on a classic car, for example, or just a car that’s older than 10 years, they may be willing to work out an agreement for you.

Financing a classic car

If you’re looking to obtain a finance agreement for a classic or vintage vehicle, while conventional car loans are not the best option, finance isn’t impossible to find. There are a number of lenders who offer specialist finance for classic cars, allowing car buyers the option to purchase their dream vintage vehicle.

Walking the line

While used cars are often a much more affordable option for many car buyers than buying brand new, it’s worth bearing in mind that the older a car is, the more difficult it may be to secure finance or an extended warranty.

Advantages of used cars

There are multiple advantages for car buyers in choosing a used vehicle over a brand new one for their purchase. The cost of a new car is considerably more and you may be limited in terms of make and model, or even additional features, due to what you can afford. With the lower price of used cars, you can often obtain a far better car than you could if you bought new.

In the first two years of owning a new car, the vehicle will depreciate in value by 20 to 30%. If you buy a used car, someone else will take the hit, as vehicles that are used do not depreciate anywhere near as rapidly.

Cars that were used or second hand were once considered to be inferior or possibly faulty, but this is no longer the case, with many owners trading in their vehicle after two to three years. Many lenders today offer extended used car warranties, offering those buying used cars a measure of protection in the event of mechanical or electrical failure.

Regular servicing

If you do decide on an older car for your purchase, it’s important to keep your vehicle running as efficiently as possible. Make sure you get your vehicle serviced regularly and change the engine oil twice a year as a minimum. Over time, engine parts will get worn and this essential oil keeps everything lubricated so that the engine doesn’t harm itself. An engine that runs efficiently will also save you money on your fuel costs.

Financing older cars

As experts in the auto industry, at Car.co.uk we are proud to provide a resource for car buyers. If you are looking for a finance agreement for an older car or specialist vehicle, you can get in touch and arrange a call back. We’ll endeavour to find you a suitable lender wherever possible.

Other related FAQs

Looking for more related content to this? We’ve picked a selection of related topics that you may find helpful

Car finance agreements don’t tend to include insurance as standard, but there are packages available that do.

The simplest way to find out how much is left on your car finance agreement is to contact your lender. Alternatively, you can calculate this figure yourself.

Your ‘settlement figure’ is the amount that the car finance company require to pay off your finance in full. Since this changes as interest is added and as payments are made, requested settlement figures are usually only valid for a short time.

In general, you cannot simply transfer a car finance agreement to someone else. However, there may be other options available to you that meet your needs.

Don’t worry if you can’t remember who your car finance is with. You can find out by checking your paperwork, looking at who you make your payment to through your bank, or calling the dealership you bought your car from.

Car loans can be secured or unsecured, depending on the type of agreement you get.

Car loans for used cars vary in length. Terms are typically between 12 and 60 months.

When you’re applying for finance for a used car, it’s useful to have the relevant supporting documents such as information on your vehicle of choice, your financial details and proof of address and income. You may also need a deposit.

Buying a used car with a finance agreement can be a good option. As with any financial agreement though, it’s always important to check the details carefully and to consider the pros and cons.

In most cases, car finance providers pay for or provide your vehicle after you pay a deposit. Then, over the course of an agreed repayment period, you’ll pay off some or all of the price. The product you choose will decide what happens at the end of the agreement – but common options include taking ownership of the car, handing it back, or upgrading it.