Want to upgrade or purchase a new car? A Bank of Melbourne (BoM) Secured car loan could help.
If you're in the market for a new car, you may want to consider this offering from Bank of Melbourne (BoM). You can apply for up to $80,000 and have up to 7 years to repay. You also have your choice between a fixed and variable rate of interest.
Find out more about this loan in this review.
|Product Name||Bank of Melbourne Secured Car Loan|
|Interest Rate (p.a.)||From 8.49% (fixed)|
|Comparison Rate (p.a.)||9.6%|
|Interest Rate Type||Fixed|
|Min Loan Amount||$3,000|
|Max. Loan Amount||$80,000|
- Flexible repayment options
- High maximum borrowing amount
- Choose between a fixed or variable rate
- A $195 application fee applies
- Monthly fee of $12
- There are withdrawal fees
Main points to consider about Bank of Melbourne Secured Car Loan
This personal loan offers a lowered interest rate, because your car is accepted as security. To qualify for this competitive rate, the vehicle used for security can't be more than 12 years old when the loan expires. It needs to be registered under your name and if the vehicle is under joint names, then both names need to be registered.
You can choose a fixed interest rate, knowing that your repayments won't change during your loan term. Or you could pick a variable interest rate, where you will be able to make extra repayments every month. The type of interest rate that suits you best depends on your financial and personal situation and whether you'd like peace of mind, or if you have the capacity to make extra repayments.
Features of the BoM Secured car loan
- Interest rate. The standard variable rate starts from 12.74% p.a. and fixed rate from 8.49% p.a.
- Loan term. If you opt for a variable rate loan, the loan terms is 1-7 years. For the fixed rate, it is 1-5 years.
- Loan amount. Borrow from a minimum of $3,000 and a maximum of $80,000.
- Repayment options. Choose from weekly, fortnightly and monthly repayments, depending which frequency suits you best. As mentioned before, if you opt for the variable rate, you can make extra repayments.
- Redraw facility. Only available on variable rate loans - access your extra repayments if you need them for an emergency.
- BoM Internet banking. With the demand for mobile banking increasing day after day, BoM's Internet banking means you can track and manage your loan repayments at a time that suits you best. You can also opt for e-statements, reducing your footprint on the environment.
- Optional protection. By opting for Consumer Credit Insurance, you can protect your repayments should something happen and you're not able to meet your financial commitments.
- Establishment fee, $195. Please note this figure excludes government charges and registration. This fee is to cover the cost of setting up your account.
- Monthly admin fee, $12 per month. This fee is charged to maintain your accounts.
- Dishonour fee, $9. If your payment is late or missed, this fee is charged. To avoid this fee, set up direct debit or a reminder so you never forget to pay.
- Redraw fee, $10 per withdrawal. Please note that the minimum redraw amount is $500 and is only available for the variable rate option. You can avoid this fee by not using this feature.
- Discharge fee, $100 to $150. If the loan is repaid within the first 12 months then $150 is charged. If it is repaid after the first 12 months, the fee is $100. You can avoid this fee by not paying your loan out early before the loan term.
- Break costs, $Unknown. This is payable on early payments or additional repayments for the fixed rate option. You'll need to contact BoM directly to find out what this cost is, as it depends on your loan situation and your outstanding principal.
How to apply for this secured car loan
If you would like to apply, please click 'Go to Site' to be safely redirected to the application page. The process usually takes less than 15 minutes and you will receive a response within 60 seconds. You don't need to be an existing BoM customer to apply.
- 18 years of age
- Permanent Australian resident
- You have an Australian residential address
Information you'll need
- Employment details - Your employer's details
- Financial information - Details of your income, assets, liabilities, Driver's License
- Personal reference - Including their name, address and contact details
- If self-employed - Your recent tax information and accountant's contact details
Keep updated with your application by logging onto BoM Internet Banking, or giving BoM your email address or mobile number. A free SMS or email will be sent to you, to keep you updated throughout the process.