Can I apply for a used car loan before choosing the car?

You can start the used car loan process before finalising the car, but not every lender is comfortable with it. Some allow a basic eligibility check and a rough approval first, and then complete the paperwork once you pick the vehicle. This helps when you want to shortlist cars knowing roughly how much you qualify for.

Most lenders begin with your income proof, ID, and a quick credit review. This may not have anything to do with the car at this stage. It gives them an idea of your repayment capacity and the tentative loan amount you might receive.

Once you choose the car, the real checks begin.

• They’ll want the RC, insurance papers and basic details like the model year and kilometres.
• Someone usually inspects the car. A few photos, a look at the chassis number, and a quick condition checks. This is what decides the final loan amount.
• If the car already has an ongoing loan, the lender will usually settle that directly with the seller.

If you’re applying for a pre-approved loan, remember to save any text message or email you get during the process. It helps when you return to complete the loan.

An early check simply makes the final application feel smoother when you finally pick your car.