What should you check on a used car?
The exact vehicle
Compare the version, mileage and first registration date with the quotation. Check the registration with the RDW. For an imported car, ask what history is available. A registration check does not replace service records or an inspection.
Maintenance and repairs
Ask for service invoices and details of work due soon. Get the warranty in writing, including its duration, covered parts and exclusions. Take a test drive and arrange an independent inspection when needed.
The seller
Check the business details and who will receive payment. Discuss a private seller or unusual payment arrangement before agreeing the purchase. Not every lender accepts every type of transaction.
The full price
Have delivery charges, accessories, trade-in and any warranty costs listed separately. Compare quotations on the same basis. A lower advertised price can otherwise lead to a higher purchase total.
VAT or margin scheme
A VAT vehicle has VAT shown separately on the invoice. Whether it is recoverable depends on factors including your VAT-taxable activities and use of the vehicle. A margin-scheme vehicle has no separate purchase VAT to reclaim. This does not automatically determine the VAT treatment of later maintenance.
Match the term to the vehicle
Consider more than the current mileage. Estimate how far you will drive during the term and what maintenance that will require. Keep cash available for repairs and other bills after making the down payment.
There is no universal age limit for every application. The lender considers the car, its value, the seller, your business and the proposed term.
A final payment normally reduces the monthly instalment but remains due at the end. Planning to sell the car then? The proceeds could be less than the outstanding balance. You remain responsible for the difference.
A used electric car or commercial van?
For an electric car, look beyond the range shown on the dashboard. Ask about battery condition, remaining warranty and the charging capabilities of the exact version. Our used electric car checklist helps you ask the right questions.
For a used van, check payload, internal dimensions, previous use and the condition of any fit-out. See our commercial vehicle guidance.
What can you send to get started?
An advert or quotation is enough for an initial conversation. Useful details include registration, mileage, purchase price and VAT or margin status. Include your intended down payment and term, where known.
We discuss what is missing for an application. Do not send identity documents or bank statements with this first enquiry. We explain which information is needed and how to provide it.
Questions about used vehicle finance
Is this the same as private leasing a used car?
No. This page covers purchase finance for your business. Maintenance, insurance, vehicle tax and running costs are normally separate. Private lease is a different product for personal use.
Can I choose a car from a dealer myself?
Yes. Send the advert before entering into a binding purchase. The lender still needs to assess the car, seller and application.
Does Capital Lease inspect the vehicle?
No. We support the finance application. Discuss condition, an inspection and warranty with the seller or an independent specialist. Finance approval is not confirmation of the car's technical condition.
Have a used car in mind?
Send the advert. We can discuss the purchase price, your down payment and the next step for the finance.