It’s common to purchase used vehicles with car finance, and it’s definitely something to consider if you’d like to avoid paying the full amount in one go.

When you buy a car using finance, there’s a credit agreement between you and the lender that allows you to pay for the car over a period of time.

In most cases, you’ll just have to make a deposit on a car and pay the rest of the balance throughout the length of your finance contract.

The best way to finance a used car is to use the method that best suits your needs. This is why it's so important to do your research—it'll help you decide on the best route.

PCP finance might be better if you're not fully committed to a car and would like the option to hand it back at the end of your contract.

HP car finance might be a better choice if you're set on keeping your car and don't want to deal with the balloon payment that comes at the end of PCP.

A personal loan can also be beneficial if you don't want to pay a deposit and would rather loan the money to purchase your car.

Consider all of the benefits and drawbacks of each finance method before you make the jump.

When you’re applying for finance for a used car, it’s useful to have the relevant supporting documents which may include:

• Proof of identity (e.g., a valid driver's license or passport)

• Proof of address (e.g., a utility bill or bank statement)

• Proof of income (e.g., recent pay slips or bank statements)

• You may also need a deposit.
  

Your finance quote is calculated based on several factors, including:

• The price of the car

• The amount of deposit you can pay

• The length of the finance term

• Your credit history and score

• The type of finance agreement

If you’ve decided to buy a used vehicle and are choosing to make your purchase with a car finance agreement, you need to know not only how much you can afford to pay each month but over how many years you wish to repay the debt. As a result, you might be wondering, ‘How long are car loans for on used cars?’

There are many different forms of finance available to car buyers of used vehicles, including Hire Purchase (HP), Personal Contract Plans (PCPs), and personal or fixed sum loans. With all of these options, the length of term is typically between 12 to 60 months (one to five years).

The age limit for financing a used car can vary among lenders, but it generally depends on the loan's length. For instance, if you opt for a 48-month car loan, the vehicle should be less than 8 years old at the start of the agreement and have less than 100,000 miles on it.

Yes, we work with a range of lenders who specialise in offering finance to individuals with varying credit histories. While a poor credit score may affect the terms of your finance agreement, we strive to find a suitable option for everyone.

If you miss a payment, it's important to contact your finance provider as soon as possible. Missing payments can affect your credit score and may result in additional fees. Please speak to our Available Car Sales Team should you have any difficulties in repayments and we will endeavor to help.

At the end of your finance agreement, depending on the type of finance you chose, you may have several options:

Hire Purchase: The car is yours once all payments are made.

PCP: You can make the final balloon payment to own the car, return the car to the lender, or trade it in for a new finance agreement.

Yes, you can use your current vehicle as part of the deposit for your new car finance agreement. We offer competitive part-exchange valuations to make this process as smooth as possible. Get your valuation today