Car Loan (New and Dealer Used)

Real Time Rating™

3.71

/ 5

special

Low fixed car loan rate for purchasing new and demo vehicles from dealers. No monthly or ongoing fees and early payout options available.~ Ends in 2 months

RateCity Says: Drive away with a new set of wheels, without forking out ongoing fees.

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Advertised Rate

4.67%

Fixed

Comparison Rate*

5.22%

Upfront Fee

$400

Loan amount

$5k to $100k

Real Time Rating™

3.71

/ 5
Repayment

based on $30,000 loan amount for 5 years

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Calculate repayment for loans.com.au product

Advertised Rate

4.67%

Fixed

Comparison Rate*

5.22%

Upfront Fee

$400

Loan amount

$5k to $100k

I'd like to borrow

$

Loan term

years

Your estimated repayment

$562

based on $30,000 loan amount for 5 years

Pros and Cons

Pros and Cons

  • No ongoing fees
  • Flexible repayment options
  • Can apply online
  • Approval is instant
  • Limited to new cars
  • Requires security to be held
  • Cannot apply in branch

loans.com.au Features and Fees

loans.com.au Car Loan Features and Fees

Details

Total repayments

Interest rate type

Fixed

Borrowing range

$5k - $100k

Security type

Secured

Loan term

5 Years

Secured by

Vehicle

Loan type

Is Fully Drawn Advance

Repayment frequency

Weekly, Fortnightly, Monthly

Age of car

4 years

Features

Extra repayments

Yes

Redraw facility

Instant approval

Time to funding

null hours

Fees

Upfront Fee

$400

Ongoing Fee

$0

Missed Payment Penalty

$0

Early Exit Penalty Fee

$0

Permitted Loan Purposes

New Car

Used Car

Motorcycle

Boat

Application method

Phone

Broker

In branch

Specials
  • Other Low fixed car loan rate for purchasing new and demo vehicles from dealers. No monthly or ongoing fees and early payout options available.
    Fixed interest rates available for 3, 4 and 5 years. Apply now for your chance to win $1,000 fuel vouchers (T&Cs apply).

Other Benefits

Apply now for your chance to win $1,000 fuel vouchers (T&Cs apply). Fixed interest rates available for 3, 4 and 5 years. Early exit penalty fee waived in the last 12 months of loan term.

Other Restrictions

Car Loan is not for private car sales.

Pros and Cons

  • No ongoing fees
  • Flexible repayment options
  • Can apply online
  • Approval is instant
  • Limited to new cars
  • Requires security to be held
  • Cannot apply in branch

loans.com.au Car Loan Features and Fees

Details

Total repayments

Interest rate type

Fixed

Borrowing range

$5k - $100k

Security type

Secured

Loan term

5 Years

Secured by

Vehicle

Loan type

Is Fully Drawn Advance

Repayment frequency

Weekly, Fortnightly, Monthly

Age of car

4 years

Features

Extra repayments

Yes

Redraw facility

Instant approval

Time to funding

null hours

Fees

Upfront Fee

$400

Ongoing Fee

$0

Missed Payment Penalty

$0

Early Exit Penalty Fee

$0

Permitted Loan Purposes

New Car

Used Car

Motorcycle

Boat

Application method

Phone

Broker

In branch

Specials
  • Other Low fixed car loan rate for purchasing new and demo vehicles from dealers. No monthly or ongoing fees and early payout options available.
    Fixed interest rates available for 3, 4 and 5 years. Apply now for your chance to win $1,000 fuel vouchers (T&Cs apply).

Other Benefits

Apply now for your chance to win $1,000 fuel vouchers (T&Cs apply). Fixed interest rates available for 3, 4 and 5 years. Early exit penalty fee waived in the last 12 months of loan term.

Other Restrictions

Car Loan is not for private car sales.

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FAQs

Do banks do guarantor car loans?

Yes, some banks will be willing to provide guarantor loans, including Commonwealth Bank, NAB, Westpac and ANZ, though the terms for signing up to a banker-issued guarantor car loan may not necessarily be as good as another lender.

You should keep in mind though that these larger banks, because of their monopoly of the market, tend to have higher interest rates than the smaller lenders.

In comparison, smaller loan companies and credit unions tend to be more competitive in their battle for your business. There are plenty of lenders willing to lend to people with bad credit or no credit history who have willing guarantors.

What is a balloon payment?

Some lenders will offer borrowers reduced monthly repayments in return for a one-off lump sum – or balloon payment – that the borrower has to pay at the end of the loan. Generally, the total repayments on a loan with a balloon structure will be higher than a loan without.

What is a car loan calculator?

A car loan calculator is an online tool that helps consumers understand how much they would have to repay under different scenarios. Consumers can create these different scenarios by entering different borrowing amounts, interest rates, loan terms and repayment schedules into the car loan calculator.

What is proof of income?

Before giving you a car loan, lenders will ask for proof of income – documentary evidence that you earn as much as you claim you earn. Lenders will typically want some combination of tax returns, pay slips and bank statements. The reason lenders want proof of income is because they want to be sure you have the means to repay the car loan.

What is CTP insurance?

CTP insurance, also known as compulsory third-party insurance or a green slip, is compulsory if you want to register a vehicle in Australia. If you’re responsible for a car accident, your CTP insurance will be used to pay any compensation due to anyone who might be injured or killed. However, CTP insurance doesn’t cover you for vehicle damage or theft.

What is trade-in value?

The trade-in value is the price you could realistically charge if you were to sell your car to a dealer while buying a replacement vehicle. Generally, a car’s trade-in value is less than its market value. That’s because the dealer has no interest in buying your car unless it can make a profit – which can only be done if the dealer has room to increase the price.

What is a refinance?

A refinance is when you swap one car loan with another. For example, you might take out a car loan with Lender X because it is the best on the market at the time – but two years later, you might switch to Lender Y because you discover that it now has the best loan. Conditions and fees often apply when you refinance.

What is an upfront fee?

An upfront fee is a one-off fee that many lenders charge when you take out a car loan.

What is a loan-to-value ratio?

The loan-to-value ratio, or LVR, is a percentage that expresses the amount of money owed on the car compared to the value of the car. For example, if you take out a $15,000 loan to buy a $20,000 car, you have a loan-to-value ratio of 75 per cent. Loan-to-value ratios change over time as you pay off your loan and your car depreciates in value. For example, two years later you might now owe $10,000 on your car, which might now be worth $15,000. In that case, although there would still be a $5,000 difference between the size of the outstanding loan and the value of the car, the loan-to-value ratio would now be 67 per cent.

What is a pre-approval?

A pre-approval is a formal document that indicates how much a lender is willing to lend to a consumer – once that person has found the car they want to buy. A lender will assess a borrower’s credit history and financial circumstances before issuing a pre-approval. However, lenders are under no obligation to follow through on pre-approvals, so pre-approvals should be seen as statements of intent rather than rock-solid guarantees.

What is a green slip?

A green slip, also known as compulsory third-party insurance or CTP insurance, is compulsory if you want to register a vehicle in Australia. If you’re responsible for a car accident, your green slip will be used to pay any compensation due to anyone who might be injured or killed. However, a green slip doesn’t cover you for vehicle damage or theft.

What is a car loan?

A car loan, also known as vehicle finance, is money that a consumer borrows with the express purpose of buying a vehicle, such as a car, motorbike, van, truck or campervan. Car loans can be used for both new and used vehicles.

What is a novated lease?

A novated lease is a car lease that is ‘novated’, or transferred from one party to another. Novated leases are often used when companies provide a car as part of a salary package. The employer signs for the lease and makes the lease payments, but the employee assumes the responsibility of looking after the car. While most car leases involve two parties, novated leases involve three – employer, employee and financier.

What is an unsecured car loan?

An unsecured car loan is a loan that is not connected to a form of security, or collateral. Not all lenders provide unsecured car loans – and if they do, they generally charge higher interest rates for their unsecured car loans than their secured car loans.

What is the principal?

The principal is the value of the loan that is still outstanding. So if a borrower takes out a $20,000 loan, the principal is $20,000. If the borrower repays $5,000 in the first year, the principal is now $15,000.

What is a car lease?

A car lease, also known as an asset lease or finance lease, is an arrangement by which a finance company buys a car on your behalf. You get to borrow the car in return for making regular payments to the financier. At the end of the lease, you can either buy the car or hand it back. 

What is a variable-rate loan?

A variable-rate loan is one where the lender can change the interest rate whenever it wants. For example, if you sign up for a variable-rate loan at 8.75 per cent, the lender might change the interest rate to 8.90 per cent the month after and then 8.65 per cent the month after that. By contrast, if you take out a five-year fixed-rate loan at 8.75 per cent, the lender is obliged to leave your interest rate at 8.75 per cent for at least five years.

What is borrowing capacity?

Borrowing capacity is the amount of money that a consumer is able to borrow from a lender. Each consumer’s circumstances are unique, so different people will have different borrowing capacities. Lenders use their own in-house formulas to calculate borrowing capacity, so the same consumer might have different borrowing capacities at different lenders.

What is comprehensive insurance?

Comprehensive insurance protects you in the event you’re responsible for a car accident. Policies vary from provider to provider, but comprehensive insurance generally covers you for damage to your car and property, as well as the other parties’ cars and property. A comprehensive insurance policy may also protect you from theft, vandalism and natural disasters.

What is vehicle finance?

Vehicle finance, also known as a car loan, is money that a consumer borrows with the express purpose of buying a vehicle, such as a car, motorbike, van, truck or campervan. Vehicle finance can be used for both new and used vehicles.