How lenders value cars
Lenders that lend against a car, such as logbook lenders, usually lend only a share of its trade or market value, because cars lose value quickly. You normally need to own the car outright, with no outstanding finance.
Worked example
A car worth £12,000 with no finance on it, at a 70% limit, could support a loan of about £8,400.
Before you borrow
Loans secured on a car can be very expensive, and the lender can repossess the car if you fall behind. Consider alternatives first.
This is an estimate. Lenders make their own decision based on your full circumstances and credit history.
Inputs for the auto loan value calculator
Car value
The car's current value. Lenders often use trade value.
Existing borrowing secured on it
Any finance still owed on the car.
Maximum loan-to-value
The share of the car's value the lender will lend.
CALCULATOR QUESTIONS
Auto loan value calculator questions
How much can I borrow against my car?
A share of its value set by the lender. Enter the value and limit above.
Can I borrow against a car on finance?
Usually not until the finance is paid off.
Can they take my car?
Yes. With a logbook loan, the lender can repossess the car if you fall behind.
Is this a guarantee?
No. The lender decides.