Officers were on routine patrol in Basford on Friday afternoon when they pulled the vehicle over in Stockhill Lane, Basford.
One man immediately fled the scene and was pursued by officers.
After a search involving a police dog and drone, a suspect was found hiding in undergrowth near Nottingham College and detained.
The cash was found stashed inside the car, along with a with a wooden baseball bat.
Two men, aged 35 and 30, were arrested on suspicion of theft of a motor vehicle, money laundering and possessing an offensive weapon.
The younger man was also arrested on suspicion of a money laundering offence, and both were held overnight and released on bail the following day.
PC Jaspal Nijjar, of Nottinghamshire Police, said: “Our officers are always on alert for stolen cars and other vehicles that may be used for criminal purposes.
“On this occasion they got more than they anticipated by also recovering a very large amount of cash.”
Anyone with additional information is asked to call 101 quoting incident 491 of 4 August 2023.
