Can You Finance a Used Car?

Can you finance a used car? Yes, you can finance a used car, which makes owning one more affordable. Just like with new cars, getting a loan for a used vehicle is possible. But, if you want the lowest monthly payment, it’s important to understand how used car financing works, especially regarding the length of the loan term.

When thinking about financing a used car, it’s crucial to know about the different loan terms available and loan restrictions. Like, how long can you finance a used car? Generally, used car loans last from 60 to 72 months. But, like any financial decision, there are important factors for buyers in Happy Valley to consider.

Loan Restrictions: How Long Can You Finance a Used Car?

How many years can you finance a used car? While there isn’t an official limit on the length of a used car loan term, various lenders may impose their own restrictions. Some financial institutions might have policies preventing financing for vehicles exceeding a certain mileage or age threshold. So, how many years can you finance a used car? Again, it depends on the constitution and restrictions in place.

At Weston Buick GMC, Inc., we maintain partnerships with a diverse array of lenders in the Portland area. Our team of experts is dedicated to assisting you in finding a lender compatible with your specific requirements and walking you through how to finance a used car.

Short Used Car Loan Term: Pros & Cons

Even though longer loan terms are available, opting for a shorter term could be advantageous for several reasons. Consider the following pros and cons:

Short-Term Loan Pros

• Less Interest: Shorter loan terms mean you’ll pay less interest over time, which could save you money. Plus, you’ll own your vehicle sooner, enjoying the perks of a paid-off car faster. If you ever need to refinance, it’s usually easier with a shorter-term loan because it doesn’t last as long.

Short-Term Loan Cons

• Higher Monthly Payment: Shorter terms necessitate higher monthly payments, requiring careful budgeting to ensure affordability.

Long Used Car Loan Term: Pros & Cons

For those prioritizing lower monthly payments, longer loan terms may hold more appeal. However, it’s vital to weigh the associated pros and cons:

Long-Term Loan Pros 

• Lower Monthly Payment: Longer terms spread the vehicle’s total cost over an extended period, resulting in more manageable monthly payments.

Long-Term Loan Cons

• Higher Interest: Extended terms lead to higher overall interest payments due to the prolonged duration of the loan.
• Vehicle Depreciation: With longer terms, the vehicle may depreciate more by the end of the loan term, potentially impacting its resale value.

If you’ve found this helpful, check out some of our other car-buying tips and tricks!

Learn How to Finance a Used Car in Gresham!

We’re Weston Buick GMC, Inc., the top dealership for affordable used cars in Beaverton. We’re dedicated to helping you with all your financing needs and walking you through how to finance a used car. Check out our current specials on used vehicles, and feel free to contact our team for guidance on financing your car. We’re here to make your car-buying experience smooth and satisfying.