Instant car loans are those loans available in the UK for buying a car within a short time. The lenders who provide this type of loans take only very little processing time so that the borrower once decides to buy a car using this type of loan could drive away with his own car on the same day itself (Instant car loans UK, 2007).

Instant car loans are available with low interest rates because of the high competition in the field. It is also available for people with bad credit, but with a slightly high interest rate. Most of these loans could be applied online in which only some personal and financial details are to be given, so that the application process itself takes only very less time. These loans are available to buy both new and used cars. Auto financing is actually a lengthy and burdensome process. Therefore most people in the UK prefer online instant car loans (UK Car Loans-Bad Credit Car Loans-Used Car Loans, 2007). These loans do not carry any other charges like prepayment penalty or fees for instant sanctioning or any other hidden charges. The interest rate is usually less than the loans offered by car dealers. Therefore an instant car loan is profitable for borrower as well as for lender.

Thus it could be seen that buying a car, either new or used in the UK has become a very easy process which one could dream and decide in the morning and have in the evening. This has become possible because of the heavy demand for car loan in UK and the competition between different lending companies.