Car loans

From replacing an old banger to getting a car more suited to your needs, a car loan could help you get a new set of wheels.

Start eligibility check

With our partner, ClearScore, you can find out what loans you could be eligible for. ClearScore are a credit broker, not a lender. Together we give you access to a panel of loan providers.

What is a car loan?

A car loan is a personal loan used to pay for a new or used car. You can use it to pay for the full cost of the car, some of the full cost, or to put down a deposit.

Using a loan to buy a car means you own the car and pay back the amount you borrowed with regular monthly payments. This is different from car finance, where you may need to pay a large final payment.

Depending on what you have in mind, Loans from Co-op have you covered with access to loan amounts from £1,000 to £25,000.

Since personal loans are an unsecured loan, they don’t need to be secured against an asset such as your home.

Reasons to choose

Quick and easy

Money could be in your account in 24 hours, dependent on the outcome of your loan lender application.

No impact on credit score

With a soft eligibility check it will not impact your credit score when comparing loans.

Borrow up to £25,000

Loan amounts from £1,000 to £25,000, dependent on your personal circumstances.

Choose your repayment terms

Loan terms from 1 to 7 years, dependent on your personal circumstances.

Compare your options

Multiple loan offers tailored to you, subject to lender's affordability assessment.

Fixed monthly payments

Know what you are paying each month.

Co-op Member Prices

Co-op Members could get exclusive rates on unsecured loans from selected lenders. Discounted rates depend on your circumstances and the eligibility criteria. Secured loans are not included. Members also get:

lower prices in our food stores and online
personalised offers every week
access to presale tickets for Co-op Live, the UK's biggest arena
a say in how Co-op is run

If you’re not yet a Co-op Member, you can sign up using the ‘Become a member’ button. This will include a one-off £1 joining fee.

Become a member

How do car loans work?

Through our partner ClearScore, you get access to a panel of carefully selected lenders. You can check your eligibility online without impacting your credit score. ClearScore will search for loans that could work for you and list all the available options.

Then you can compare car loans to find one that is right for you and continue directly to the lender.

Understanding the costs of loans

Representative example for unsecured loans

Unsecured personal loans from Co-op have a representative APR of 23.8% (fixed). For example, borrowing £7,500 at a fixed annual interest rate of 23.8% over 5 years means you will pay £214.89 each month. In total, you would repay £12,893.40.

Debt advice

Consolidating your debts could help you take control of your money. Depending on the interest rate and how long you take to repay, you could end up paying more in total. Think about the overall cost when making your decision.

There are many debt management support services and advice lines who can help you for free. Gov.uk has a list of services where you can get help in person, over the phone or online.

They can help you with your finances and spending habits by giving you independent advice on dealing with debt problems and debt management.

For secured loans Co-op Insurance Services Limited acts as an introducer to Clearscore. We are not the mortgage intermediary or lender. Co-op Insurance receives commission from ClearScore if you take out a secured loan. The amount of commission is a percentage of the overall amount you borrow.

For unsecured loans Co-op Insurance Services Limited acts as a Credit Broker not a Lender. If you take out an unsecured loan or are introduced to a third-party provider, we will receive a fixed percentage commission from Aro.

This will not impact the amount you pay back. Lenders terms and conditions apply. UK residents 18 and over.