Skip to content
Electric vehicle loans

Electric vehicle loans

From 6.0% APR representative for Nectar members

Apply online for our electric vehicle loans and borrow up to £40,000

Personal loans for electric vehicles

Electric vehicles are an increasingly attractive option for drivers thanks to their lower running costs, environmental benefits, and ever-improving range of models.

A personal loan from Sainsbury’s Bank could help you cover the cost of a new or used electric vehicle. We offer loans for electric vehicles ranging from £1,000 to £40,000 if you’re a Nectar member, non-Nectar members can borrow up to £25,000.

Why choose Sainsbury’s Bank for your electric vehicle loan?

  • From 6.0% APR representative for Nectar members when you borrow £7,500 - £15,000 for 1-5 years.

  • You can pay back your loan over 1-7 years (depending on your loan value) with manageable, fixed monthly instalment

  • You can borrow between £1,000 - £40,000 if you’re a Nectar member, non-Nectar members can borrow up to £25,000  

  • No application or arrangement fee

  • You could get your money in as little as 2 hours, or the next business day, if you’re accepted  

  • Our loan application is quick and easy to complete, you can sign your agreement online, and upload any documents we might need.

How much can I borrow?

Up to £40000 if you are a Nectar Member and up to £25000 if not.  Our car loans calculator can steer you in the right direction. You can quickly work out what your monthly payments and interest rate could be – and how much you’ll repay in total.

Then using our eligibility checker, in just a few clicks, you can find how likely you are to be accepted – without harming your credit score.

All quotations given are for illustrative purposes only. Credit is subject to status.

Find the right loan for you

You might need £5,000 or less for a used vehicle or you might be planning to spend £30,000 for a bigger model? Either way, we've got the loan to suit your needs.

If you’ve got a question about our loans – our support section is a great place to start.

Our loan terms

Before you take your electric vehicle for a test drive, it’s a good idea to do your research about finance and bank loans. Take the time to understand how our loan terms work, lending criteria and things you should think about before you apply.

Things to consider when buying an electric vehicle

Ways to pay for an electric vehicle

  • Vehicle loans
  • Our loan terms
  • Personal contract purchase
  • Leasing your electric vehicle
  • Trade in

Running costs of your electric vehicle

  • Insurance
  • Tax
  • MOTs
  • Maintenance

Taking out a loan for your electric vehicle is a helpful way to cover the costs of purchasing a used or new vehicle. You can take out a bank loan to pay for your electric vehicle, or if buying from a dealership, you may be offered vehicle finance directly.

Securing a loan means you become a cash buyer, which often helps with any negotiations. There will be no set up fees and once you’ve paid off your loan, you own the vehicle at the end.

Use our loan calculator to help figure out how much you’ll pay in total.

Personal contract purchase

Other ways you can buy a vehicle include personal contract purchase, which you can arrange if you choose to buy through a dealership. This usually involves paying a deposit for the vehicle followed by a series of regular monthly instalments.

You won’t fully own the vehicle until you make the final personal contract purchase ‘balloon’ payment. A balloon payment is when you pay more at the end of your loan term than earlier monthly payments. It allows you to reduce your monthly fixed payment to an affordable amount by agreeing to pay more when your loan comes to an end.

Leasing your vehicle

You can also lease your vehicle, which means you agree to a long-term rental where you pay a monthly fee in exchange for a vehicle. The payment is fixed but you never own the vehicle and when the lease is up, you return it and you can upgrade to a new model.

Trade in

If you are looking for a vehicle upgrade, trading in your old vehicle against a new one is a popular option. You are effectively part-exchanging your existing vehicle for the new one. The dealership will take the value of your old vehicle off the price of your new one. A loan can then be used to pay the difference.

Running costs of your vehicle

It’s easy to get caught up in the purchase price, but you might also want to consider typical vehicle running costs.


Age and claim history are among the many factors that can make insurance one of the biggest expenses. 


Different types of vehicles have different tax rates, you can check the GOV.UK opens in new window tax rates table for an up-to-date list.


Vehicles more than three years old need an MOT test every year, the maximum cost that test centres can charge can be found on GOV.UK opens in new window.


Regular health checks on your vehicle can save you both trouble and money. Read our guide for tips on maintenance.

Buying a used electric vehicle?

Before you purchase, it’s worth thinking about the pros and cons of buying a used vehicle. In our guide, we’ve got some tips that help you decide if buying a used vehicle is the right decision for you.

Useful guides

Can I afford a loan?

Our guide covers different types of credit, budgeting, APR, credit scores and much more.

Loans glossary

Our A-Z glossary sheds light on loan terminology and can be used as a jargon buster.

All tools and guides

Check out all our tools and guides, covering everything from planning your financial future to switching loans.

More information