--- title: "Car Loans in Prince Edward Island | usedcarnearme.ca" description: "Used car loans in Prince Edward Island for bad credit, no credit, or after bankruptcy. Pick your community and get pre-qualified online for free." canonical: https://www.usedcarnearme.ca/en/car-loans/pe --- [Service area](/en/car-loans) # Car loans in Prince Edward Island, whatever your credit Pick the community closest to you. Every page covers the local driving reality, the documents required in Prince Edward Island, and vehicles nearby. You apply once, online, and see the car in person when there is a real approval. [Get pre-qualified online](/en/apply) Communities ## Communities in Prince Edward Island - [Charlottetown](/en/car-loans/pe/charlottetown) - [Summerside](/en/car-loans/pe/summerside) Guide ## Buying and financing a car in Prince Edward Island Here is what actually changes in Prince Edward Island: what the registry and the inspection require, what tax a dealer sale costs compared with a private one, who finances here, and how the car gets to you. ### What Access PEI checks before your name goes on the registration Every used vehicle that changes hands on the Island needs a current PEI motor vehicle inspection before Access PEI will register it in your name, whether the seller was a dealer or your neighbour. It is the one step people moving in from elsewhere are least prepared for, because plenty of provinces do not require it at the point of a private sale. If the car already carries a valid inspection certificate from Nova Scotia or New Brunswick, Access PEI accepts it as is, right up until it expires or reaches twelve months from the date it was issued, whichever comes first. That is genuinely useful if you are arriving from Halifax or Moncton with a vehicle in hand: you are not automatically starting the inspection clock over the moment you cross onto the Island. ### Dealer tax and private tax are not the same bill Buy from a dealer here and the math is simple: 15 percent HST, collected at the sale like any other retail purchase. You sign, you pay, the tax is done. Buy privately and PEI handles it differently. There is no HST on a private sale, but a separate Retail Sales Tax at 15 percent of the vehicle's taxable value applies, and it lands on you, not the seller. You take a copy of the bill of sale to any Access PEI centre, or mail it in, and pay the province directly. It is due on whichever comes first: the day you register the car, or 20 days after the end of the month you bought it. The part worth understanding before you agree on a price is how that taxable value gets set. The province taxes whichever is greater: the price you actually paid, or the lesser of the Canadian Red Book average wholesale value and a written appraisal. In plain terms, the book value is a floor under a private sale, but it is not the only option. If you genuinely believe a rough, high-mileage car is worth less than its book value, you can pay for a written appraisal from a licensed motor vehicle dealer or an appraiser the Provincial Tax Commissioner has authorized, dated within 90 days of your purchase, and use that number instead. The Commissioner can still review a declared price or an appraisal and assess more tax and interest if something looks off, so keep the paperwork. ### When the buyer is family, or the sale is not really a sale A transfer between qualifying family members is taxed on the price actually paid, book value doesn't enter into it, even when that price is zero. It takes a completed Family Transfer Form, and the person giving up the vehicle needs to have owned it for at least twelve months, or to have already paid the tax when they acquired it. Qualifying family covers a wider circle than most people expect. - A spouse, or a common-law spouse of at least six months. - Parents, children, grandparents, and grandchildren. - Siblings, in-laws, and step-relations. ### Two more situations that change what you owe A vehicle you get from a spouse or former spouse under a written separation agreement or a court order, on the breakdown of the relationship, is exempt outright. And if you buy from someone outside PEI who isn't registered to collect the tax and bring the car onto the Island yourself, the same tax generally applies, unless the vehicle qualifies as the settler's effects of someone moving here for good. One more piece that surprises people: if you pay the tax and then permanently take the vehicle off PEI within 30 days of buying it, you can apply for a refund, as long as you can show proof of the tax you paid in the other province. ### The lenders who actually finance a car on the Island Coverage here depends on the kind of lender more than the name on the sign. Bank dealer programs work through the dealership rather than a local branch, so a lender with no storefront on the Island at all can still finance a car here on the same terms it offers anywhere else in the country, reaching Charlottetown and Summerside without ever opening an office in either. Finance companies pick up where a bank program stops. A file with a recent bankruptcy, an active proposal, or income that is harder to document on paper is the kind a rebuilding-focused finance company reads on its own terms, weighing the last year of history more than the score by itself. Non-prime finance companies round out the bench. Quantifi and Rifco both write approvals on the Island alongside Ontario, New Brunswick, Nova Scotia and Newfoundland and Labrador, though neither operates in Quebec, so a rebuilding file gets a purpose-built second read rather than a single bank's yes-or-no. None of this is a ranking, and no lender here sets a rate before reading your actual file. Who lends on the Island, and what each one is generally built for, is listed below. ### How the car gets from wherever it is to your driveway Most of what we source is on the mainland, so getting it onto the Island usually means the Confederation Bridge, 12.9 kilometres and about ten minutes end to end. The toll on that bridge is only charged when a vehicle leaves PEI, so a car being delivered onto the Island crosses without one. From there it's a short run to wherever you actually live, whether that's Charlottetown, out toward Sherwood or the Royaltys, or west to Summerside and the communities around it like St. Eleanors and Wilmot. We quote the delivery cost before you sign anything, and it can be built into the amount you finance rather than paid separately if that suits your budget better. Lenders ## Lenders that finance in Prince Edward Island One application from you reaches every lender below. Each one finances buyers in Prince Edward Island; we present your file to the ones that fit your situation and tell you why. [The lenders behind every approval](/en/partners) - [01TD Auto FinancePrime and near-prime files; strong on newer vehicles.Read the profile](/en/partners/td-auto-finance) - [02Scotia Dealer AdvantageScotiabank's non-prime arm; one of the largest rebuilding lenders in Canada.Read the profile](/en/partners/scotia-dealer-advantage) - [03RBCPrime files with established credit.Read the profile](/en/partners/rbc) - [04BMOPrime files; competitive on shorter terms.Read the profile](/en/partners/bmo) - [05CIBCPrime files and newcomer banking packages.Read the profile](/en/partners/cibc) - [06iA Auto FinanceRebuilding credit, bankruptcy, and consumer proposal files.Read the profile](/en/partners/ia-auto-finance) - [07AutoCapital CanadaNon-prime specialist; newcomer and self-employed programs.Read the profile](/en/partners/autocapital-canada) - [08Santander ConsumerNon-prime, including recent discharges.Read the profile](/en/partners/santander-consumer) - [09QuantifiBank-alternative lender; reads bank-account income, good for self-employed and newcomer files.Read the profile](/en/partners/quantifi) - [10RifcoNon-prime specialist; Ontario and Atlantic Canada files.Read the profile](/en/partners/rifco) Estimator ## What could your payment look like? Move the sliders to see an estimated payment. This is not a quote. The real rate is set by the lender based on your file. \[Pre-qualification form: submit it on the HTML page at the same address\] Situations ## Financing for every situation - [**Low credit score or bad credit**](/en/bad-credit-car-loans) - [**No credit history**](/en/no-credit-car-loans) - [**Newcomer to Canada**](/en/car-loans-for-newcomers) - [**Discharged bankruptcy**](/en/car-loans-after-bankruptcy) - [**Active or completed consumer proposal**](/en/car-loans-consumer-proposal) - [**Past repossession or voluntary surrender**](/en/car-loans-after-repossession) - [**Accounts in collections or written off**](/en/car-loans-with-collections) - [**Previous refusal by a bank or dealer**](/en/car-loans-after-being-declined) - [**Self-employed, gig, or cash-plus-pay-stub income**](/en/self-employed-car-loans) - [**Pension, disability, or benefit income**](/en/car-loans-on-pension-or-disability) - [**Divorce or separation on the file**](/en/car-loans-after-divorce) - [**First-time buyer under 25**](/en/first-time-car-loans-under-25) Questions ## Questions people actually ask Is a private car sale on PEI taxed on what I paid or on the book value? Neither one automatically. PEI taxes whichever is greater: the price you actually paid, or the lesser of the Canadian Red Book average wholesale value and a written appraisal. If you paid more than the book value, tax applies to what you paid. Can a written appraisal lower the tax on an older or rough car? Yes. If you believe the Red Book value overstates the car's condition, a written appraisal from a licensed motor vehicle dealer or an appraiser the Provincial Tax Commissioner has authorized, dated within 90 days of the sale, can replace the book value as the taxable amount. If I buy my parent's car, do I pay tax on the real price? Yes, as long as it is a qualifying family transfer with a completed Family Transfer Form. Book value does not apply, even if the price is zero, provided your parent owned the vehicle at least twelve months or already paid tax when acquiring it. Does a Nova Scotia or New Brunswick inspection count when I register on PEI? Yes. Access PEI recognizes a valid Nova Scotia or New Brunswick inspection certificate until it expires or reaches twelve months from issue, whichever comes first. Does delivering a car over the Confederation Bridge add a toll? No. The bridge toll is only charged leaving PEI, so a vehicle arriving on the Island crosses without one. What if I move off the Island shortly after paying the tax? If you permanently remove the vehicle from PEI within 30 days of buying it, you can apply for a refund with proof of the tax you paid in the other province. Is a car I receive through a separation taxed? No. A vehicle transferred from a spouse or former spouse under a written separation agreement or court order, on the breakdown of the relationship, is exempt. ## Know in two minutes. Free, about two minutes, no credit pull. [Get pre-qualified online](/en/apply)