We can close the gap when you buy a car. You can apply for a loan or long-term car loan at Ergo, which is a part of Íslandsbanki's Corporate Banking division.
The car must be less than 10 years old
The loan period is shorter for older cars
The car must be worth ISK 600,000 or more
You must be 20 years of age or over
The maximum loan period is 7 years (84 months)
A credit assessment is carried out for loans over ISK 2,600,000 for individuals and ISK 5,200,000 for couples
Ergo provides finance for a variety of other things
We offer Green loans for environmentally friendly cars to support Iceland's energy transition. Find out more at Íslandsbanki's Ergo financing service.
What is the difference?
A car loan means that you are the registered owner of the vehicle but Ergo has first lien on the vehicle. The bank surrenders its rights once the loan has been fully paid. You are responsible for all taxes, insurance, maintenance and other costs.
A car lease agreement means that Ergo is the registered owner of the vehicle and you are the registered keeper of the vehicle, for tax purposes. Ergo transfers its rights over to you once the contract has been paid in full. You are responsible for all taxes, insurance, maintenance and other costs.
