Used car credit: where is the best car loan rate?

When looking for the best rate for a used car loan, there is every point in going through a comparator. Our tool allows you to find the best car loan, but above all to obtain a favorable opinion without delay.

Used car credit: where to look?

Used car credit: where to look?

The car loan is a form of consumer credit that allows you to purchase a vehicle on credit. It is the most widespread form of consumer credit in France. Despite the emergence of the LOA, a quarter of auto financing is achieved through a new or used car loan.

Among all the used car loan deals, it is very difficult to find the best deal. We regularly take note of all offers from all the major credit organizations, for all durations and all amounts. Our auto credit comparison allows us to restore the ranking of the best used car credit offers, but not only.

Immediate policy response: explanations

Thanks to our simulator, we do not limit ourselves only to the classification of the best car credit. Indeed, we have developed a single questionnaire which also allows us to obtain an immediate answer in principle from the least expensive organization. This allows to know more concretely if the request for used car credit can be accepted. In addition, if the file does not pass for the first, it is possible to question the organizations classified 2nd and 3rd. In this way, each file is more likely to obtain the best used car loan rate suited to its profile.

The trust of large organizations

These auto loan proposals are those of large organizations such as Viloan or Bankrate. We do not find those of banks which are generally more expensive (see for example our study on auto credit CreditCole). In addition, banks generally only credit their customers, who are more loyal. Under these conditions, it is impossible for us to present used car loan offers without being untrue.

On the other hand, there are also offers from insurers such as MAAF auto credit or MACIF auto credit but they generally do not position themselves on used car loans. And on new auto credit, the credit offer can sometimes be interesting but it requires that insurance be taken at the same time… which is not always the best.

Compare used car loan

For our example, we took a second-hand car loan amount through a loan of 8000 euros over 60 months. You have to select the category “Used car loan + 2 years” to position yourself in the used car loan category. We took a duration of 60 months because it corresponds to the average duration on this type of credit.

For a second-hand car loan of $ 8,000 over 60 months Fixed APR rate Monthly fees Total cost of credit
Best Credit Organization 2.80% 145.16 $ 574.60 $
Second best organism 3.45% 145.16 $ 709.60 $

Apply for a used car loan

Before buying a used car, on leboin or in dealerships, you need to know how much money you have. To define this budget, you must already know if you are counting on a contribution. It is not at all essential and there is no problem to make a loan without contribution.

Then, you have to define how much you want to reimburse every month. To do this, you just need to define the amount of the used car credit and then change the repayment duration on our car credit simulator. Our advice to be accepted and not go into the red at the end of the month with the new used car loan is not to choose a monthly payment too high.

Used car credit by a comparator

Do not go to any comparator. Indeed, most of our competitors are not real credit comparators. They give the illusion by showing rankings but their only criterion is the money they will collect from credit agencies.

For our classifications, we use the APR rate, the legal rate defined by the law on consumer credit. If we do not see this car credit rate appear in the used car credit rankings, we must ask ourselves questions.

Used car loan from the bank or the dealer

Why not go through the bank or the dealer to take your used car loan? The question deserves to be raised.

The reasons are different. Regarding the banks, as we have already mentioned, they are not specialists in consumer credit and even less in used car credit. Indeed, they can only understand the risk if they know the client well for a used car loan. On the one hand, it will be necessary to have a certain banking seniority, at least 10 years would be ideal, and to be a good customer. That is to say with savings and never overdraft.

When you meet these conditions, you can apply to your bank. But to negotiate well, it is better not to go there hands in the pockets. It is very easy to know the best used car loan rate, you just need to get the best rate thanks to our comparator.

Compare online before going to your banker

It’s the same principle for car dealers. We do not necessarily recommend that you buy a used car through a dealer (in any case, here are some DGCCRF tips for buying a used car). There is a good chance that your car will be much more expensive, much too expensive. Admittedly, the potential guarantee of 6 months following the purchase is attractive to roll in all serenity but is it really worth this price? For the same principles, there is practically no chance that the used car loan offered by the dealer can be competitive.