Car Finance for Older Cars
Finance that goes the distance—just like your older car.
Rates from 9.9% APR.
Representative APR 10.9%
There are many reasons why motorists might prefer nearly-new and slightly older vehicles compared to brand new models. One of the biggest appeals for older cars is their affordability – especially for students or first-time buyers looking for budget-friendly ways to get behind the wheel.
But whilst there’s a common misconception that older cars can’t be financed, this just isn’t true.
In fact, with a broker like My Car Credit, it’s easy to find car finance for older cars. Our access to a broad panel of lenders means that we can connect you with affordable, transparent and flexible finance for older cars.
Can you get car finance on an older car?
It’s more than possible to secure car finance for older cars, but it does depend on the lender’s criteria.
Typically, every car finance lender will have their own specific rules and restrictions around vehicle finance for older cars. These can also vary depending on your individual circumstances.
That said, you can expect general guidelines around car finance for older cars to be as follows:
- A car’s age at the end of the proposed finance term will be restricted to 12 years old.
- Your car’s total mileage will be limited to 100,000 miles from the start of the proposed car finance term.
- There might be some mileage restrictions included in the terms of your loan. For example, you may find some car finance lenders allowing for around 10,000 miles a year.
- A less typical rule involves the value of the loan. Some lenders will only agree to car finance for an older vehicle, depending on the amount of the loan. Usually, this amount is set around the £3,000 mark, but this can vary between lenders.
Why choose an older car?
There are so many reasons why motorists might want a nearly-new, used or older car.
You’ll benefit from lower upfront costs compared to new models, and vehicle depreciation is much slower. Plus, by choosing an older car, you may be able to afford a better model overall compared to buying brand new.
Insurance on older car models is more affordable, which is ideal for students and young drivers with less to spend on costs associated with vehicle ownership.
Older cars are also a practical choice for a range of different drivers, from families to first-time motorists. They’re reliable and you’ll be able to take advantage of a used car marketplace with plenty of makes and models to choose from.
Finance options for older cars
If you’re looking for car finance for older cars, you’ll find different lenders offering a variety of agreements that might be suitable for you. The most popular include:
HP finance for older cars
HP finance is one of the most straightforward types of financing for older cars. The route to approval is easier, the repayment structure is simple and you’ll even own the vehicle at the end of the term.
PCP finance for older cars
Although PCP finance for older cars is possible to find, it’s less common – to secure PCP, cars typically need to be a maximum of 8 to 10 years old.
Lenders can restrict PCP car finance for older cars because there’s a higher chance of ending the agreement on negative equity with a PCP agreement compared to an HP. As such, it’s a higher risk for lenders.
Classic car finance
Classic car financing is available on older and vintage models, but you may need to seek out specialist finance from niche lenders.
How to improve your chances of financing an older car
- Save a deposit – Having a car deposit reduces the financing risk for lenders
- Be realistic about loan size vs. car value – The higher the car’s value, the more likely you are to secure a suitable finance deal
- Choose well-maintained makes/models – If your mileage is higher than the average, you may struggle to find finance, even if the car is less than 10 years old
- Opt for HP finance over PCP where possible – As detailed above, you’re more likely to secure favourable HP than PCP finance for older cars
- Use a broker like My Car Credit for wider lender access – Our broad range of lenders increases your likelihood of securing the right agreement for your circumstances and needs
A quick and hassle-free process
Get approved
Use our car finance online application form for a quick answer on car finance. Our decision using soft search won’t impact your credit score!
Find a car
Find your car first or apply for car finance and then find a car – so long as it’s from any reputable car dealer.
Sign & Collect
Approve your paperwork online, from the comfort of your home. We’ll transfer funds next working day, and you’re ready to collect your car!
How to apply for car finance on an older car – step by step
Apply Online
We’ll match you with the best lender for your circumstances and our initial soft search won’t impact your credit score.
Choose Your Car
Use our network of nearly-new and older cars to find your next drive, or shop around at your local dealers.
Finalise & Drive Away
We’ll help you finalise the payment and any last-minute liaison before you pick up your keys and drive away.
Why choose My Car Credit for older car finance?
Broad lender panel
As part of the UK’s largest motor finance broker, we can combine our broad lender panel with award-winning technology to help you find suitable vehicle finance for older cars.
Transparent & affordable
We’ll give you an initial no-obligation quote, and if you choose to advance your application, we won’t throw any hidden fees your way.
Soft search, no impact
Any initial search is soft, meaning it won’t impact your overall credit score and you can check your car finance eligibility risk-free.
Online, quick and hassle-free
Apply to My Car Credit in mere minutes and benefit from fast decisions. What’s more, our friendly support team will be available to guide and support you from the get-go.
Start your older car finance journey today
Whether you’re looking to secure car finance for older cars or brand new models, My Car Credit can help.
Check your eligibility in mere minutes with no impact on your credit score or use our free car finance calculator to discover the kind of agreement that might work for you.
Approachable bad car credit specialists
When you apply for car finance with My Car Credit, you will be assigned your own Car Credit Specialist. All our specialists are experienced in handling bad credit car finance and will help to guide you through the entire process to make your experience stress-free. They are also on-hand to give you advice and guidance for improving your bad credit profile.
You can also get a FREE credit report from Experian.
At My Car Credit, our team have a reputation for their openness and professionalism – we have helped lots of bad credit customers to secure car finance for their dream car. Don’t take our word for it: read some of our customer feedback below!
FAQs – car finance for older cars
It’s possible to secure car finance for a vehicle that’s older than 10 years – but it will depend on your individual circumstances as well as a specific lender’s criteria. Working with a broker like My Car Credit can maximise your chances of securing car finance for cars older than 10 years.
The maximum mileage for car finance for older cars varies between lenders. A typical upper mileage limit for finance is around 100,000 miles, but this can depend on factors like the lender’s policies and the vehicle type, value and age.
It’s possible to secure PCP car finance for older vehicles, but you’re more likely to find suitable HP (hire purchase) finance for older cars. PCP finance on older vehicles can be a riskier agreement to lenders.
You may face higher interest rates on car finance for older cars compared to rates on newer vehicles. Older vehicles are seen as higher risk for lenders compared to newer makes and models, which may result in higher interest rates.
You don’t need a deposit for older car finance, but having one can help to reduce the risk you pose to lenders, which may improve your chances of financing an older vehicle.
Classic and vintage car enthusiasts can secure finance for older cars – but not all lenders will provide it. Specialist lenders for classic car finance will offer niche agreements for vintage vehicles.
Require more help?
Got a question you can’t find the answer to, or need some advice and guidance around taking out car finance? Our Car Credit Specialists are friendly, experienced, and here to help so get in touch today!