Financing Your Vehicle in Jamaica
Everything you need to know about car loans - from choosing between new and used to getting the best rates.
In This Guide
New vs Used Vehicles
One of the biggest decisions when buying a car is choosing between new and used. Each has trade-offs in terms of price, financing options, and overall value.
New Vehicles
- Lower interest rates (6.85% - 12%)
- Up to 100% financing available
- Longer loan terms (up to 10 years)
- Manufacturer warranty included
- Higher purchase price
- Faster depreciation in first years
Used Vehicles
- Lower purchase price
- Slower depreciation
- More car for your money
- Higher interest rates (9.5% - 15%)
- Lower max financing (70-90%)
- Vehicle age limits apply
Vehicle Age Requirements
Most lenders restrict financing for older used vehicles. Typical limits:
- - Banks: Usually vehicles up to 5-8 years old
- - Credit Unions: May finance vehicles up to 10-15 years old
Auto Loan Rates in Jamaica
Auto loan rates vary significantly between institutions. Credit unions often offer the best rates, while banks provide convenience and faster processing.
| Institution Type | New Vehicle | Used Vehicle | Max Term |
|---|---|---|---|
| JMMB (Essential Workers) | 6.85% | 7.0% | 10 years |
| Credit Unions | 7.99% - 9.5% | 9.5% - 10.5% | 10 years |
| JN Bank | 8.99% - 10.74% | 10.74% - 11.99% | 8-10 years |
| VM Building Society | 11.25% | 13.0% | 7-9 years |
| Major Banks | 11.75% - 12.4% | 13.75% - 14.25% | 5-7 years |
Rates Change Frequently
These are approximate rates as of December 2025. Always verify current rates directly with the lender before applying. Use our Rate Comparison tool for the latest data.
Financing Options
Commercial Banks
NCB, Scotiabank, CIBC, Sagicor, First Global Bank, JN Bank
- + Fast processing
- + Many branches
- + Online applications
- - Higher rates
Credit Unions
C&WJ, JPCCU, JDF CU, JTA CU, and sector-specific unions
- + Best rates
- + Member dividends
- + Flexible for older vehicles
- - Membership required
- - May have waiting periods
Building Societies
VM Building Society, JMMB
- + Competitive rates
- + Special worker programs
- + Long terms available
- - Fewer locations
Down Payment Requirements
New Vehicles:
- - Some offer 100% financing
- - Most require 5-15% down
Used Vehicles:
- - Typically 10-30% down
- - Higher for older vehicles
Smart Car Buying Tips
Get Pre-Approved First
Know your budget before shopping. Get pre-approved from multiple lenders to compare rates and negotiate from a position of strength with dealers.
Consider Total Cost, Not Monthly Payment
A longer loan term means lower monthly payments but more total interest. A 7-year loan at 12% costs significantly more than a 5-year loan at the same rate.
Factor in All Costs
Beyond the loan payment, budget for: comprehensive insurance, road license, fitness, fuel, maintenance, and potential repairs. These can add J$30,000+ monthly.
Join a Credit Union Early
If you're planning to buy a car in the next 6-12 months, join a credit union now. Build your savings and membership history to qualify for their best rates.
Inspect Before You Buy
For used vehicles, always get a mechanical inspection before finalizing the purchase. The J$10,000-15,000 cost can save you from expensive repairs later.
Ready to Calculate Your Car Loan?
Compare rates from all major Jamaican banks and credit unions.
Important Disclaimer
The calculations and information provided on this website are for educational and informational purposes only and do not constitute financial, legal, or professional advice.
- Results are estimates based on the information you provide
- Actual loan terms may vary based on your credit profile and bank policies
- Interest rates are subject to change without notice
- Always consult with a licensed financial advisor before making financial decisions