Last updated: October 2026
If you have decided to pawn your car, knowing the steps and having the right documents ready makes the process faster and helps you avoid a bad deal. This guide covers what you need to pawn a car in Victoria, how the loan amount is worked out, how to get your car back and the mistakes we see most often.
Can You Pawn Any Car?
You can pawn a car only if you own it outright. If there is finance owing, the lender already has a claim on the car and a pawnbroker will not accept it. The car also needs to be in a condition the pawnbroker can resell, since that is their security if the loan is not repaid.
What You Need to Pawn a Car
- Photo ID such as a driver licence or passport.
- Proof of ownership such as the registration papers and a purchase receipt in your name.
- A clear PPSR result showing no finance or security interest on the car. You can search it yourself on the PPSR.
- All keys including the spare.
- The car itself, clean and with any service records you have.
Step by Step: How to Pawn a Car
- Know what the car is worth. Check similar cars for sale and get a free price from a car buyer so you know the real value before you talk to a pawnbroker.
- Compare lenders. Ask more than one registered pawnbroker for the loan amount, the loan period and the total repayment in dollars.
- Have the car inspected. The pawnbroker checks the condition, kilometres and paperwork and makes an offer.
- Read the pawn ticket. It should show the loan amount, the loan period, the fees and what happens if you do not repay.
- Hand over the car and keys. You get the cash and the pawn ticket. Keep the ticket somewhere safe.
- Repay and collect. Bring the ticket, your ID and the full amount owing to get the car back.
How the Loan Amount Is Set
The loan is based on what the pawnbroker could sell the car for, minus a margin for fees, storage and resale costs. That is why pawn loans are usually well below the car’s market value. Newer cars with low kilometres and popular models attract higher offers. Cars with faults, high kilometres or no registration attract lower offers or may be refused.
Getting Your Car Back
Under the rules set by Consumer Affairs Victoria, the pawnbroker fixes the loan period when you pawn the car and must hold it for at least seven days. You can redeem it with your pawn ticket, proof of identity and the amount owing, even after the loan period ends, as long as it has not been sold. Once the period ends, the pawnbroker can offer the car for sale at the best price reasonably obtainable.
Mistakes to Avoid
- Agreeing to a loan without knowing the total repayment in dollars.
- Pawning a car you need for work or family every day.
- Extending the loan again and again, which adds new fees each time.
- Losing the pawn ticket.
- Assuming you can keep driving the car. With a true pawn you cannot. See can I pawn my car and still drive it for how car title loans differ.
Is Selling the Better Option?
If you are not sure you can repay in time, selling usually leaves you better off. You get the full value of the car, there is nothing to repay and there is no risk of losing the car to fees. Read pawning vs selling your car for a side by side comparison, or our guide to pawning your car in Melbourne for what to check when choosing a pawnbroker.
When you sell to us, you send photos and get a price straight away. We usually pay between $500 and $30,000, and more for higher value cars. There is no pickup fee and you are paid on the spot.
Get a free quote through our cash for cars service in Victoria before you decide.
Frequently Asked Questions
What do I need to pawn a car?
Photo ID, proof of ownership, a clear PPSR result showing no finance on the car, all keys and the car itself.
Can I pawn a car with finance owing?
No. The finance lender already has a security interest in the car. You would need to pay the finance out first, or sell the car to a buyer who pays the lender for you.
How long does it take to pawn a car?
If your documents are ready, the inspection and paperwork can often be done the same day.
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About the author: Written by Steve, owner of Victorian Car Buyers, a licensed motor car trader (LMCT 12395) based in Delahey, Melbourne.