Can you afford that car? We're here to help you work it out.
Use the table below to calculate and compare your car loan options
The table below features an automatic payment calculator. Simply pop your details in and you'll be able to
IMB New Car Loan
Apply for IMB New Car Loan and enjoy a great low fixed interest rate with no ongoing fees.
- Interest Rate From: 6.34% p.a.
- Comparison Rate: 6.62% p.a.
- Interest Rate Type: Fixed
- Application Fee: $199
- Minimum Loan Term: 1 year
- Maximum Loan Term: 7 year
- Minimum Loan Amount: $2,000
- Maximum Loan Amount: $75,000
How do I use the calculator?
Don't let the graph put you off, the calculator is easy to use. Just follow these simple steps:
- Enter your total loan amount. If you aren't sure of this amount just yet, enter an amount you think will be sufficient to finance your car.
- Enter your purchase rate. Use the comparison rate of the car loan to more accurately determine your repayments.
- Enter the loan term. The shorter the term the more your repayments will be, but the more you will save on interest. You should check the loan terms offered by the different loans you are looking at to make sure you are able to choose the terms you want.
- Set your repayment frequency. You will need to check the options offered by the loan you are looking at, as not all lenders offer every type of repayment frequency. If you are able to choose the frequency, you should try and match it to when you get paid ie. monthly pay, monthly repayments.
- Choose your repayment type. Principal and interest repayments refer to you making repayments which go towards both the amount you borrow and the interest charged on that amount. Interest-only repayments involve you only paying the interest which is charged on the loan amount, so you don't actually pay any of your loan off. If you are unsure, you should select the principal and interest option.
How to use the calculator to help you save
Now you've got the basics of how to use the calculator, it's time to learn how to really use the calculator. Let's say Jane is looking at taking out a $5,000 car loan at an interest rate of 7.80% p.a. for a five year loan term. She's planning to make monthly principal and interest repayments for the duration of her loan.
Here's what the calculator tells Jane her repayments will be:
Jane will be making a monthly repayment of just over $100 and incur $1,054.24 in interest payments over the life of her loan. Jane decides that she can afford to put more than $100.90 a month towards her car and she wants to save herself some money on interest.
Here's what happens when she tweaks her loan term:
As you can see, by choosing a four year loan term instead of a five year loan term, Jane only increases her repayments by about $20 a month (only $5 extra a week) and she saves herself $217.64 over the life of the loan. Not to mention she pays off her loan one year earlier.
Jane decide that she wants to reduce her repayments and also save herself money on interest. Have a look at what happens when she decides to make weekly repayments instead of monthly:
By making her repayments weekly instead of monthly, Jane saves herself $2.40 a week and $12.39 over the life of her loan. Not much, but it's something.
Like Jane, see how much money you can save on your car loan by using the calculator. If you want to compare your car loan options, you can use the table below.