Compare car loans online

| by RateCity Staff

Secure your dream car by comparing car loans online. It really does pay to shop around and it's never been easier now that you can carry out your search from home.

RateCity has a range of services to help you on your way but we suggest you start off by using our car loan calculator to help compare car loans and better understand your loan repayments and requirements.

Car loans are a type of personal loan that is taken out specifically to finance your car, whether it is new or used.

New car loans

New car loans usually have conditions about how old the car you wish to purchase can be, but this will depend on the financial institution as some may offer new car loans for brand new cars only, while some may consider a new car that is less than two years old or that has a certain amount of kilometres driven. Interest rates for new car loans are usually a bit lower than a used car loan because this type of loan is seen as less risk to the lender. When you compare car loans online, you can also choose between secured, where the car you wish to purchase is used as security against the loan, or unsecured where no security is required.

Used car loans

Used car loans are similar to new car loans however they are specifically available to purchase used cars. Again, depending on the financial institution, in order to be eligible for this type of loan there may be age restrictions on the car, for instance some lenders offer this type of loan to cars that are between two to five years old.

Interest rates may be a little higher for used car loans and there are also a range of secured and unsecured used car loans available to choose from when you compare car loans online.

Depending on what type of car you are interested in and what type of loan you require you can compare car loans online by:

  • The interest rate
  • Monthly and total repayments
  • Application and ongoing fees
  • Plus a range of features and fees such as early repayment penalty fee.