With financial tools like antique car loans, your dream of owning a slice of automotive history is now closer than ever. While these cars may be cherished for their historical significance, they come with their own set of financial challenges. Financing an antique vehicle is unlike any conventional auto loan, involving unique valuation methods, specialized lenders, and specific loan terms that you – as a borrower – must know before taking the plunge. Luckily, this guide shall help you navigate the world of antique car financing, from understanding the specifics of antique car loans to determining the top antique car loan companies offering specialized services for your unique needs.
For a car to be an antique, it must be 45 years old (or above), among other factors, such as historical significance, rarity, and collectability. Antique car financing, therefore, involves securing loans that cater specifically to the unique attributes of these prized and highly desirable vehicles. Because these cars are uniquely valued, the financing process requires a different approach than financing a brand-new car. The process typically entails thoroughly assessing your financial situation to help establish a feasible budget and set realistic loan amounts. The next step involves acquiring a fair and valid appraisal from a reputable source to help determine loan specifics such as interest rates, loan amounts, and loan terms. Upon establishing the car’s value, borrowers may research lenders specializing in antique car loans. Of course, comparison between lenders based on their terms and conditions is key to securing favorable loan terms. With that said, let’s delve into the world of specialized lenders and see what they offer.
Best known for its extensive experience and expertise in classic – including antique – car financing, J.J. Best Banc has made a name for itself in the market for specialized antique car loans. The company finances priceless antique cars worth up to a staggering $2,000,000. Even more impressive are the extensive loan terms spanning as long as 7 years (or 84 months). Additionally, they offer the convenience of pre-approved auto loans, quickening the process for qualified borrowers. Still, the company limits some information on the web, such as interest rates, which may restrict prompt decision-making. Similarly, a down payment of at least 10% is necessary for acquiring loans, which may stretch up to 30% depending on the car’s value and your creditworthiness. To qualify for a J.J. Best Banc loan, borrowers must maintain a strong credit history.
Being an industry specialist in the niche of antique car loans, Woodside Credit stands out with its deep expertise and commitment to personalized services. Its standout features include extensive, long-term loan plans that stretch up to 15 years (180 months) and generous loan amounts that cover expensive, collector-worthy cars worth up to $1,000,000. And so, Woodside loans make an excellent choice for those seeking to finance high-value, rare, and exotic vehicles. Luckily, opportunities for pre-approved car loans are an important part of its services, allowing you to search for your dream car more confidently. On the downside, however, sourcing information on interest rate specifics can be challenging, making it difficult to compare rates upfront. Also, to qualify for a Woodside loan, borrowers must have a credit history of at least 10 years and not just a good-to-excellent credit score. Similarly, the company necessitates a 10% down payment, which may increase depending on the car’s appraised value and the borrower’s credit profile.
LightStream, a sub-branch of the SunTruist Bank, stands out with its unsecured loans and highly convenient loan processing methods. Unlike other lenders on this list, LightStream does not require its borrowers to put up a down payment, easing the initial financial burden. Additionally, the company adopts competitive interest rates (as low as 7.24%) with autopay, especially for borrowers with a strong credit rating. Still, LightStream's loans are unsecured, which prevents the antique car from being used as collateral. While this may simplify the financing process for qualified borrowers, it may result in higher interest rates than usual for some borrowers. Similarly, the company follows a strict eligibility criterion, favoring borrowers with a good-to-excellent credit score and a credit history of at least 5 years.
At first glance, acquiring an antique car loan may seem daunting. However, with proper knowledge and some research, it may turn out to be a smooth and rewarding experience. Of course, the key to securing favorable loan terms and conditions lies in understanding and comparing the unique requirements of specialized lenders. Not sure where to start your antique car journey? Well, you’ve come to the right place. At Exotic Car Trader, discover a treasure trove of exotic cars, including classic and antique vehicles, ready to become the next prized addition to your collection.
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