Why use a car broker?
Much like a mortgage broker, a car loan broker is an industry expert who can help you find a vehicle finance option that suits your financial needs.
But you may be wondering, what can a car finance broker offer you that you can’t achieve on your own?
Australia’s car loan marketplace is quite vast, which can make it easier for you to find a product that fits your unique needs. But having so many options to choose from can also be overwhelming for some.
For this reason, plenty of Australians choose to engage a car finance broker to match them with a car loan. Here are some of the ways a broker could help you:
Sharing expert knowledge
Searching for car finance requires you to have at least a basic understanding of the key features of a car loan, such as:
- Interest rates
- Comparison rates
- Loan terms
- Fees
- Extra features
- Repayment types
Some car buyers may be familiar with the features of a car loan, while others may not. But either way, it’s also important to understand how they relate to your needs. For example, is a fixed or variable interest rate best for your financial situation? Will a shorter or longer loan term work better for you? And could you benefit from choosing a product with extra features?
If you can’t spare the time it takes to research the answers to these questions, or you simply want a second opinion, this is where a broker could help. Brokers have expert knowledge that allows them to assess your personal financial situation and match you with suitable products based on your requirements.
Negotiating with lenders
Experienced car loan brokers will typically have spent years building relationships with a wide range of lenders. As a result, they will often have access to lenders’ wholesale interest rates that aren’t typically offered directly to borrowers and are usually more competitive than standard retail rates.
Additionally, car loan brokers may be able to negotiate with lenders on your behalf to ensure you’re getting the best deal that may be available to you – particularly if you have special requirements. For example, you may be interested in finding a loan provider that will allow you to include on-road costs in your total borrow amount.
Assisting with low-doc applications
If you are self-employed, a temporary resident or another kind of non-standard borrower, you may not have all the documentation typically required for a car loan application. In this instance, a car loan broker could help you find out which products you may be eligible for, and what kind of alternative documentation you could provide. They could also communicate with potential lenders on your behalf and provide helpful guidance throughout the application process.
To find out more about car finance brokers, consider visiting RateCity’s car loan broker hub. And if you’re keen to get the ball rolling on your car loan search today, check out RateCity’s car loan comparison tables and car loan leaderboards.
Compare car loans in Australia
6.57%
7.19%
$392
Australian Credit Licence 488228
Fees & charges apply
- $2k to $75k
- 1 to 7 years
- Fixed Rate
- Secured
6.29%
up to 24.99%
7.41%
$389
Australian Credit Licence 511803
Fees & charges apply
- Via broker
- $10k to $300k
- 1 to 7 years
- Fixed Rate
6.49%
6.84%
$391
Australian Credit Licence 244310
Fees & charges apply
- $5k to $100k
- 1 to 7 years
- New or used car
- Fixed Rate
6.57%
7.19%
$392
Australian Credit Licence 488228
Fees & charges apply
- $2k to $75k
- 1 to 7 years
- Fixed Rate
- Secured
6.80%
up to 24.99%
7.56%
$394
Australian Credit Licence 511803
Fees & charges apply
- Via broker
- $10k to $100k
- 1 to 5 years
- Fixed Rate
9.74%
9.95%
$422
Australian Credit Licence 238293
Fees & charges apply
- $3k to $50k
- 1 to 5 years
- Variable Rate
- Secured
10.50%
10.54%
$430
Australian Credit Licence 240807
Fees & charges apply
- $1k to $75k
- 0 to 10 years
- Variable Rate
- Secured
5.99%
up to 12.99%
7.20%
$387
Australian Credit Licence 233714
Fees & charges apply
Hybrid and Electric Car Loan
- $10k to $100k
- 1 to 7 years
- New or used car
- Fixed Rate
Product database updated 20 May, 2024