Classic Car Loans: Best Companies & Rates (May 2024) (2024)

All APR figures last updated on 3/16/2024 – please check partner site for latest details. Rate may vary based on credit score, credit history and loan term.

If you’re interested in financing a classic, antique or collector car, there are many specialty lenders competing for your business. In this article, we at the MarketWatch Guides Team will discuss a few of the best classic car loan providers and examine the process of securing this type of loan. We’ve also reviewed and ranked the companies with the best auto loan rates if you want to expand your search to traditional lenders.

Key Takeaways:

• Our team ranks J.J. Best Banc & Company as the best provider for classic car loans.
• Classic car loans help borrowers finance the purchase of antique, collectible, exotic and kit cars, often with higher loan amounts and longer terms than traditional auto loans.
• We found starting classic car loan interest rates to range around 5.25% to 8.24%, but this depends mainly on your credit score and the lender you choose.
• Some traditional lenders will finance classic car purchases, but it’s best to find a specialty lender that understands the market.

Our team of experts found that J.J. Best Banc & Co., Woodside Credit, Digital Federal Credit Union and DuPage Credit Union are the best classic car loan providers with some of the lowest rates. Although a minimum credit score isn’t typically listed for classic, antique or collector’s car loans, an excellent credit score and long credit history will earn you these lenders’ best rates.

Here are additional details on each of our top-ranked classic car loan providers:

#1 J.J. Best Banc & Co.

Starting APR: Not listed
Loan amounts: $6,000 to $2 million
Loan terms: 60 to 84 months
Availability: 50 states

J.J. Best was a classic car collector long before his company began offering low-rate loans on sought-after vehicles. Now one of the largest classic car financing companies in the U.S., J.J. Best Banc & Co. features long-term loans with amounts up to the $2 million mark. The lender offers prequalification and same-day approval for well-qualified borrowers.

To qualify for a classic car, hot rod, muscle car or exotic sports car loan from J.J. Best, you’ll need good to excellent credit with a long history, a good debt-to-income (DTI) ratio and a verifiable income. The lender also requires a down payment of at least 10% on the vehicle you wish to purchase.

#2 Woodside Credit

Starting APR: Not listed
Loan amounts: Up to $1 million
Loan terms: Up to 180 months (15 years)
Availability: 50 states

Woodside Credit boasts some of the most flexible financing options of any auto lender. The company offers classic car financing up to $1 million and for up to 180 months. Along with vintage cars at least 25 years old, Woodside also finances most late model exotic vehicles. Specialty and collector vehicles like Porsche 911s, Cobra Replicas and Dodge Vipers are also covered by the Woodside Credit lending program.

Woodside Credit has relationships with Barrett-Jackson Auctions, thousands of dealerships and many private parties across the country. You can get a preapproved car loan through Woodside Credit for your classic vehicle purchase as well. For cars that need an appraisal for underwriting purposes, Woodside enables virtual inspections via a mobile app.

At the time of publication, Woodside provides the following payment examples on its website, each including a 20% down payment:

#3 Digital Federal Credit Union

Starting APR: 8.24%
Loan amounts: Not listed
Loan terms: Up to 10 years for well-qualified borrowers
Availability: 50 states

Digital Federal Credit Union (DCU) offers competitive rates on vehicle loans for antique, replica and completed kit cars. Buyers with excellent credit can get an 8.24% APR on classic car loans up to 65 months through DCU. For loans of 84 months, the APR increases to 10.74%. The best-qualified borrowers can borrow up to 90% of a vehicle’s appraised value with loan terms up to 10 years. DCU includes an easy-to-use car loan calculator on its website to help you understand your options.

Digital Federal members at certain levels also receive a .5% discount on classic car loan APRs. The drawback with DCU is that membership is open only to those who live and work in certain areas or are related to a current member.

#4 DuPage Credit Union

Starting APR: 5.25%
Loan amounts: Up to $150,000
Loan terms: Up to 84 months
Availability: Credit union members in Illinois, Indiana, Iowa, Kentucky, Michigan, Missouri and Wisconsin

DuPage Credit Union offers some of the lowest rates you’ll find for classic cars. The only catch is that membership is open to residents of only seven states. If you live in one of these states, though, DuPage is a great option for financing a classic car with a value up to $150,000. The lender offers the same rates for exotic vehicles as it does for new cars, with terms up to 84 months. DuPage doesn’t charge prepayment penalties, so you have the option to pay off your auto loan early.

One bonus of financing with DuPage is that the credit union offers car insurance discounts through its partnership with Travelers.

Classic cars are broadly classified as vehicles that are 45 years old or older. Some lenders provide loans for vintage cars more than 100 years of age. Hot rods like Ford Coupes from the 1930s, American muscle cars from the 1950s and an array of exotic sports cars like those made by Maserati, Alfa Romeo and Porsche are other examples that fall under the classic car umbrella.

Kit cars, such as Shelby Cobras, are also considered classic cars by most lenders. These vehicles are custom curated and come with high car insurance costs. This makes the special insurance deals some lenders offer especially attractive.

The process of securing a classic car loan isn’t all that different from financing a traditional auto loan. Other than finding the right seller and a provider that specializes in vintage, exotic or collector car lending, the steps are similar. Here’s what the basic process entails:

1. Check your credit score

Knowing your credit score will help you have a general idea of the APR you can expect on a classic car loan. Most lenders require a score of around 800 to get their best rates. If the rates you get seem too expensive for you currently you can improve your credit score first before continuing.

2. Find the right lender

Some credit-scoring models treat multiple car loan applications in a short period of time (often 14 days) as a single inquiry. That means it’s easy to compare loan offers and interest rates from multiple lenders. Even if you are looking for a classic car loan for bad credit, there are providers out there to assist you.

3. Decide on a down payment

Many classic car lenders require a down payment of 10% to 20%. If you can afford an even larger down payment, you can bring down the amount of interest you pay over the life of the loan and reduce your regular loan payments.

4. Find the right insurance

For certain classic cars, particularly collector’s vehicles, you may need classic car insurance. Traditional auto coverage won’t factor in the actual value of a vintage automobile or the additional repair costs associated with it. You might be able to get a reduced rate on this specialized coverage by limiting the number of miles you drive your classic car each year.

5. Finalize Your Classic Car Financing

Once you are happy and find the best classic car financing option for you, you can finalize your contract. Even if interest rates fluctuate over time and lower rates are out there, you can always refinance your auto loan for a better deal.

The rates you get for classic car loans typically are higher than for most other vehicles. Primarily the rate you’ll get will depend on your credit score category. To help you understand what rates you might receive, we’ve provided the average interest rates for car loans from Experian for Q1 of 2023.

Interest Rate vs. APR

It’s worth taking a moment to point out the difference between interest rate and APR. Your interest rate is the amount you’re charged for borrowing money, spread out over regular payments. The APR, or annual percentage rate, includes your interest rate as well as any discounts and fees assessed by your lender.

All APR figures last updated on 3/16/2024 – please check partner site for latest details. Rate may vary based on credit score, credit history and loan term.

Because consumers rely on us to provide objective and accurate information, we created a comprehensive rating system to formulate our rankings of the best auto loan companies. We collected data on dozens of loan providers to grade the companies on a wide range of ranking factors. The end result was an overall rating for each provider, with the companies that scored the most points topping the list.

Here are the factors our ratings take into account:

• Industry standing: Our research team considered ratings from industry experts and each lender’s years in business when giving this score.
• Rates and discounts: Auto loan providers with low APRs, good discount opportunities and high loan amounts scored highest in this category.
• Availability: Companies that cover a variety of circ*mstances are more likely to meet consumer needs.
• Customer service: This score is based on customer satisfaction ratings and transparency. We also considered the responsiveness, friendliness and helpfulness of each loan company’s customer service team based on our shopper analysis.

Our credentials:

• 300+ hours researched
• 25 companies reviewed
• 2,000+ consumers surveyed

*Data accurate at time of publication.