Buying a new or second-hand vehicle can be expensive. Ordinarily, they’re expensive enough that consumers resort to loans to pay them off over time. However, with car financing, buying a vehicle can be a reasonably affordable venture. If you’re thinking about paying a car loan with a credit card or you believe it is your only option, here is what you should consider.

Can I pay a car loan with a credit card?

Whether you can make a car payment with a credit card will largely depend on your auto loan lender. Some lenders will accept credit card payments without question. Other lenders may accept credit card payments but charge a hefty processing fee. If this is the case, you will have to calculate whether paying with your credit card is worth the fee. Bear in mind that many lenders do not allow direct payment by credit card.

Generally, paying off debt with credit is a no-go for more finance companies. If you can avoid paying your car loan with a credit card, you should. Before you do anything, talk to your lender to see if they accept credit card payments.

How to pay off a car loan with a credit card

First and foremost, check that your lender will accept a credit card payment. If they do, ask if there are any processing fees. If you are happy to proceed, you can transfer your auto loan balance to the card.

When paying off a car loan with a credit card, it is best to use a card with 0% interest. Often, these are introductory offers that can last from a couple of months to a couple of years. If you can finish paying off your card payments in full during that introductory period, you will not accrue or need to pay any interest on your loan’s total. Once the offer ends, you may be charged anywhere from 15 – 30% APR on the remaining balance.

Using a credit card to pay off your car loan can save you money – but only if you have a repayment plan that you stick to.

Alternative ways to pay

If you don’t have a credit card with 0% interest or you don’t have the funds to pay off the card before the offer expires, then you can look into alternative ways of paying for your vehicle.

At My Car Credit, we make the car financing process quick and hassle-free. You can apply, sign paperwork, and get approved online from the comfort of your home.

We’ll work with your financial needs, whether you have poor credit, are self-employed or have other requirements. Apply today to find out if you’ll get accepted – there’s no impact on your credit score!

Rates from 6.9% APR. Representative APR 13.9%

Evolution Funding Ltd T/A My Car Credit

My Credit Rating


  • You are a home owner
  • You have been on the electoral role for a long period of time
  • You have current credit arrangements and mortgage with no defaults
  • You have no CCJs, credit arrears or missed payments
  • You rarely apply for credit
  • You are employed or self-employed


  • You are on the electoral role
  • You are a home owner or long standing tenant
  • You have a stable employment history
  • You have current credit arrangements with occasional missed payments
  • You have no CCJs


  • You are or have recently been on the electoral role
  • You may have recently changed address
  • You may have occasional missed payments
  • You may have an old CCJ
  • You may have regularly applied for credit


  • You may have had frequent changes in address
  • You may not be traceable on the voters roll
  • You may have exceeded credit card limits
  • You may have missed payments on current agreements
  • You may have had a CCJ in the past


  • You may not be traceable on the voters roll
  • Your credit cards are over their limits
  • You have recent CCJs
  • You may have been refused credit elsewhere
  • You may be in a debt management plan

X monthly repayments of

Typical rate

Loan amount

Total payable




*for illustration purposes only

No impact on your credit score

Representative Example

Borrowing £7,500 at a representative APR of 13.9%, annual interest rate (fixed) 13.85%, 47 monthly payments of £201.38 followed by 1 payment of £211.38 (incl. estimated £10 option to purchase fee), a deposit of £0.00, total cost of credit is £2,176.24, total amount payable is £9,676.24.

Evolution Funding Limited, trading as My Car Credit, is a credit broker and not a lender.

Please ensure you can afford the repayments for the duration of the loan before entering into a credit agreement.

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!