As antique cars and new cars are substantially different, so is financing them to some extent. For one, antique cars that are 80 or more years old usually appreciate as time goes on which can get the buyer lower interest rates right from the start. Moreover, it's fairly difficult to find a pre war antique car that costs less than what the average brand new supercar costs which entails longer loan terms. Antique cars are also much more expensive to maintain and keep on the road, which forces lenders to only consider buyers with excellent credit history and a low debt to income ratio. All in all, financing an antique car requires a lot of custom tailoring and flexibility on the lender's part which can’t be expected from every bank and financing company. But before we go into more detail on what banks do loans for antique cars, Exotic Car Trader also offers financing services for antique, vintage, classic and exotic cars and we will briefly explain how it works at the end.
Woodside Credit is greatly involved in the antique car community and events which gives them more knowledge on what the antique vehicle buyer needs than any other bank. They can also provide a ton of advice on different vehicles, future maintenance, and market trends all of which help the customer make the right decision. As for the loans, Woodside Credit offers terms of up to 180 months which is extremely rare to find when it comes to financing vehicles. Interest rates are also extremely competitive while maximum loan amounts top out at $1M. That said, Woodside Credit does require a 10% to 20% down payment and at least a 700 credit score. History of financing antique and classic cars can also help get the buyer approved and in some cases can even be mandatory.
Digital Federal Credit Union doesn’t necessarily change its general conditions for financing antique cars, but it does have an antique car program which can help the financing process go smoother and help the customer get the best deal possible. That’s done with its mandatory appraisal program which aims to discover the true value of the vehicle both for DCU to help determine its loan to value restrictions, but it also helps the buyer. The maximum loan amount is fairly generous at $500,000, while the highest loan term of 84 months isn’t that favorable for a good number of antique car buyers. That said, the minimum down payment at DCU is 10% which isn’t too bad compared to most other financing companies and so is the 6.74% starting APR.
J.J. Best Banc & Co. is one of the oldest classic, vintage and antique car financing companies in the US. As such, it offers some of the most favorable financing conditions for antique cars. For one, J.J. Best Banc & Co. doesn’t have prepayment penalties which can be extremely important for those who are looking to get long loan terms for lower monthly payments, but don’t want to get tied to the vehicle for over a decade in some cases. With that, and a maximum loan term of 180 months, J.J. Best Banc & Co. makes buying antique vehicles open to more people than virtually any other financing company. At the same time, it offers industry leading maximum loan amount of $2M. Free pre-qualification is also available, while interest rates are competitive, starting at 7.99%. Down payment is mandatory and is minimum 10%.
Even though not that many financing companies offer loans tailored specifically for antique vehicles, exotic and classic car financing companies can be of just as much help. That said, the three companies that do, especially J.J. Best Banc & Co., will definitely offer more favorable loan terms. That said, none of these companies will even consider customers with bad credit history or credit score so ultimately, it’s not as easy as it may seem.
That said, Exotic Car Trader and its financing partners can consider buyers with previous foreclosures, repossessions and bankruptcies, and they offer very competitive loan terms of up to 144 months. On the other hand, if you are looking to buy a car outright, Exotic Car Trader includes escrow service, delivery and first inspection for all vehicle purchases. The same goes if you are looking to sell a car with Exotic Car Trader.
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