How to Get Financing for a Classic Car

Buying a classic car from a private party requires the borrower to contact a lender for financing. It is easier to obtain financing when buying a classic car from a dealership, since lenders already have a relationship in place with the dealer. Having the lender determine the proper valuation of the classic car ultimately makes a difference in the interest rate and the length of the loan.

• When buying a classic car from a private party, write down as much information as possible about the car. Include the year, make, model and any extras options on the vehicle. Take this information to a bank that makes auto loans and give it to a loan officer.


• The loan officer will check the book value on the classic car to decide how much the bank can lend. The officer will also require a complete credit application, which helps to determine the strength of the borrower. The loan terms including the interest rate and length of repayment are based on the vehicle value in relation to the loan amount, and the borrower’s credit history and job stability.


• When buying a classic car from a dealer, ask if financing is available on site. Most classic car dealers have several different lending sources to use for vehicle financing. Complete a credit application and have the dealer shop the loan request to all available loan sources.


• The dealer will be in touch once the loan approvals arrive. Choose the loan with the best interest rate or the most favorable loan term. Make sure the loan payment is affordable before signing the loan documents, or ask the dealer to contact the lender to try and get a longer loan term. Another option is to put more money down on the classic car purchase, which will lower the monthly payment.


• If the dealer is unable to obtain financing for the vehicle purchase, check online for lenders that offer classic car financing. Submit an online application and include all of the particulars on the vehicle. Apply with multiple online lenders if necessary. Compare the various approvals to see which financing package offers the most favorable terms.