Car loans in Ghana: Everything you should know


You can never undermine the necessity of owning a car these days. Therefore, people go for Car loans in Ghana. They say, “If wishes were horses, beggars would ride”. This is absolutely the case scenario of the modern day, where most people want to have their own cars. But the case is not the same for everyone because some people don’t have money to get their own cars. Therefore, it is nearly impossible for so many people to get their own cars. 

However, lack of money makes people get loans such as; travel, mortgage, quick, instant, consolidation, mobile money loans etc. Buying a reliable second-hand car is not too easy in Ghana. But there are ways you can buy one beforehand and later pay back through car loans in Ghana.

 As you read the rest of this article, you’ll see details on how to get the car loans and the financial institutions that offer them here in Ghana. 

What are the things I should know about car loans in Ghana?

Car loan is a type of loan or financial aid for majorly salaried individuals, who intend to own a car. An insufficient fund for a particular car could be a limitation.

Vehicle and Asset Finance (VAF) is a medium-term facility for salaried and non-salaried customers. They help individuals to purchase assets, such as vehicles of various types and power generators.

What are the requirements for car loans in Ghana?

Before you apply for any loan, car loan inclusive. The first thing that could come to your mind is what you need for the loan. The knowledge of the basic requirement is the first step towards standing a chance of getting the car loan.

The following are the requirements for car loans in Ghana:

  1. Applicants must be employees who earn a salary worker
  2. Maximum amount of GHC150,000.00
  3. Maximum facility tenor is 48 months
  4. Vehicle must be brand new
  5. A complete loan application form
  6. Signed customer’s request letter
  7. Copies of most recent pay slips of 6 months
  8. National identification
  9. One passport photograph.

Note: To apply for a First Bank car loan, you can download the first bank car loan form. Fill the form correctly, upload the documents they require, and submit at the nearest First Bank branch.

What is the minimum amount for Car loans in Ghana

It’s important to know how much you can borrow for a car loan in Ghana. By knowing the minimum amount, you’ll be able to ration the fund efficiently. For Car loans in Ghana, there is no actual minimum loan amount. Probably you can borrow all you need to buy the car.

Meanwhile, some savings and loan companies have limitations to the maximum amount you can borrow. This is regarding your salary scale or credit score. But there is no limitation to the minimum amount.

If you want to buy a car on credit in Ghana with a loan. The following are what you should know about the process:

  1. Approach a credible financial institution

There are credible financial institutions that offer affordable car loans. Once you apply for the loan, the banks will assess your eligibility and they will decide on whether you qualify for the loan you are asking for.

  1. Some car dealers will allow you to buy a car now and pay later in Ghana

They will require you to have a minimum percentage of the total price of the car.

For instance, a car dealer may decide that you should pay 50% of the total price of the car first. So if the car you want to buy costs 1 million cedis, you will pay five hundred thousand cedis at the time of purchase.

  1. You need a written agreement on the time limit for the repayment

Some dealers give the buyer an option of negotiating the time that is convenient for them. While some others will fix a time of repayment for the buyer. Go for the dealer whose terms you are more comfortable with.

Where can I get a car loan in Ghana?

There are some financial institutions and traditional banks that offer car loans in Ghana. They include:

  1. Universal microfinance
  2. Izwe savings and loan Kotobabi
  3. Advance Ghana saving and loan, Newtown branch
  4. Societe Generale
  5. Stanbic Bank Ghana
  6. First bank Ghana
  7. Republic bank Ghana
  8. Calbank
  9. Microfinance and small loan centre (MASLOC)
  10. AIDEZ small project international and so on.

What are the things I should expect for car loans in Ghana

Before applying, you ought to be aware of the car loans you are applying for. This allows you to know what you ought to expect from the loan company. Though this varies regarding loan companies but applies to most of them.

The following are the things to expect:

  1. GHC100 as the minimum overdraft limit
  2. There is no limit to maximum overdraft
  3. Monthly repayment of used limit or 30 days of a clean-up cycle
  4. 60% advance of your disposable net monthly salary
  5. Life insurance credit premium of 0.84% on approved limit against permanent disability and death
  6. Interest depends on overdraft used each month
  7. Facility fee of 2% charged on agreed limit and at each renewal.

How can I get a Stanbic car loan?

Stanbic Bank Ghana may offer you a car loan just because you already have an account with them or have worked for them. You can follow the steps below for the application.

  1. Work for Stanbic profiled organization
  2. You must earn a minimum salary of GHS400 per month
  3. Minimum salaried account relationship of:
  • One month–Workplace Banking Scheme companies or organizations
  • Three months–non-Workplace Banking Scheme companies/organizations
  • Customers with salaried Stanbic Current Account.

You need to fill in a Personal Salary Advance application form and attach the documents below:

  • Previous statement of account
  • Pay slips from the past three months
  • They will approve overdrafts subject to a positive reference from the credit bureau.

Calbank Auto Loans

Calbank Auto Loans makes car loans available to individuals, consultants. Besides that, workers who earn salary with recognized working institutions can also get a car for personal or company use.

The following are the features of Calbank Auto Loans:

  1. Loan Repayment: Annuity payment Method
  2. Duration: 60 months or lesser.
  3. Personal Guarantee of applicant
  4. Provident Fund, if any.
  5. Vehicle registration and insurance in the joint names of CalBank and client.
  6. Debt Burden: Not over 45% of income.
  7. Pricing: CalBank Base Rate + Agreed Margin.
  8. Arrangement and Processing fees: 3%.
  9. Maximum Loan: The Bank gives up to 80% of the worth of the vehicle.
  10. Readily available credit timely.
  11. Flexible terms of repayment.
  12. A team of dedicated account managers shall give prompt advisory services.

How can I be eligible for Calbank loan?

Before you can get a car loan from Calbank, there are certain requirements you must meet. They are:

  1. Minimum Salary: GHS 500.00.
  2. Age: 18 -53 years.
  3. Employment Records: minimum of 6 months or at the discretion of the credit manager.
  4. Account History: Bank Statement of six months from clients with account relationships with other Banks.

Note: They typically notify clients on monthly loan repayment via our CalBank Alert.

What are the benefits of car loans in Ghana?

The benefits of applying for car loans can be astounding. You may wonder what benefits you could get if you get a car loan.

The following are some benefits of car loans; they include:

  1. Suitable terms
  2. Self-service
  3. Currency Options
  4. Flexible repayment duration
  5. Competitive interest rate.


Your dream of having your own car could become a reality when you make the right move. And this right move ultimately depends on the choice of the car loan provider in Ghana. However, ensure you stay clear of loan sharks who could promise you too-good-to-be-true sumptuous deals. And this could leave you in regret for accepting their offer. Besides that, if a lender would need a collateral for you to secure the car loan. Ensure that it’s what you could afford to offer as a collateral.

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