If you’re looking for finance for an old car, we could help! We work with a panel of lenders and they can provide loans for used cars up to 15 years old at the end of your agreement.
Financing a used car is very similar to financing a new car and allows you to spread the cost of your car into affordable monthly repayments. There are several types of car finance available for old cars including hire purchase and personal contract purchase. With hire purchase (HP), the loan is secured against the car and you won’t own it until you’ve finished making all your repayments and paid the ‘Option to Purchase’ fee. Personal contract purchase (PCP) gives you more options at the end of your agreement: you can hand the car back, use any positive equity as a deposit in a new deal, or buy it by paying the balloon payment. Monthly repayments are often lower with PCP so you may be able to afford a newer car with this type of finance.
When buying an older car, you can expect there to be some wear and tear so it’s important to carry out checks. These should include looking over the car’s exterior and interior, looking under the bonnet, checking over the paperwork, and taking a test drive.