How Long Can I Finance a Used Car?

Couple sitting at sales desk at dealership


While you know you can certainly finance a new ride around Minneapolis, you might not know about used car or used truck financing. So, how long can you finance a used car? On average, a used auto loan term is about 60 to 72 months, but this can go higher as car prices increase. You’ll even see there are loose restrictions on how long you plan to finance a car as well as long-term and short-term options to provide a plan that works with you best. Learn more about financing a used car, and then explore our inventory at Cornerstone Plymouth today!

Maximum Amount of Time to Repay a Car Loan

The time for repaying a car loan can vary depending on a range of factors. In some cases, you can only finance used cars that prevent buyers from financing vehicles over seven years old and with over 100,000 miles on their odometers. You can always contact your preferred lender and ask about their restrictions on used car financing before taking the next step.

What are the Pros & Cons of Short-Term Loans?

Short-term loans are available when looking at used cars around Maple Grove, and there are a host of pros and cons to weigh to determine if this is right for you. See below:

Short-Term Loan Pros:

  • Low-Interest Expenses: You’ll pay less interest over time because you’ll have a shorter loan term and a higher monthly payment.
  • Faster Pay-Off: Again, the higher monthly payment will aid you in paying the loan off faster.
  • Refinancing: If you choose, you can refinance your loan later down the road (assuming your credit score is strong). Generally, it’s easier to do this with a short-term loan, because your car will spend less time being upside down.

Short-Term Loan Cons:

  • Higher Monthly Payment: Short-term auto loans come with a higher monthly payment than long-term auto loans. Make sure a higher monthly payment suits your budget, as it could potentially impact your financial freedom.

What are the Pros & Cons of Long-Term Loans?

You can also opt for a long-term finance term which again offers its own benefits and drawbacks which are broken down below:

Long-Term Loan Pros:

  • More Affordable Monthly Payment: When you choose a longer loan term, you’re paying less every month for a longer period of time. If your financial situation changes at any point, you’ll have some leeway.

Long-Term Loan Cons:

  • Higher Interest: Long-term loans come with higher interest rates; the longer the loan term, the more interest accrues.
  • Vehicle Depreciation: Cars depreciate over time, although depreciation rates do slow down as a car gets older. That being said, the longer the length of the auto loan, the more time your car will spend as “negative equity.” This is when the car’s cash value is less than the balance of the loan.

Finance a Used Car for Sale at Cornerstone Plymouth

Now that you know more about used car financing, take the next step to bring home your next Minnetonka ride. Finance a used car for sale from Cornerstone Plymouth and see how you can save even more on your next ride when you shop our inventory of used vehicle specials for sale. Find more reliable finance tips and tricks as well as apply for financing online from home to get started. Contact us today for more information on how long can you finance a used car and schedule a test drive at our dealership here in Plymouth!


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Main 763-559-5300 Sales 763-559-5300
3901 Vinewood Lane
Plymouth, MN 55441
Contact Us

Contact Us

Main 763-559-5300 Sales 763-559-5300
3901 Vinewood Lane
Plymouth, MN 55441
Cornerstone Plymouth 45.0272529, -93.4508119.