loans.com.au Green Car Loan

Main points to consider with the loans.com.au green car loan

This loan comes with a fixed rate from 6.99% p.a. and a comparison rate of 8.12% p.a. Loan terms are 3 years to 7 years. There is a one-off single establishment fee of $400 and $8 monthly account-keeping fees associated with this loan.

Borrowers for the green car loan can apply entirely online. If you're approved for a loan, payment for your new car will be made directly to the dealer.

How does compare?

• High Finder Score. The Alex Bank Car Loan scores an impressive 8.1 out of 10 in Finder's analysis which is high for this category.
• No ongoing fees. You won't be charged ongoing monthly fees or fees for making extra repayments saving you money over the life of the loan.
• Electric vehicle financing. You can use this loan to finance the purchase of a new or used electric vehicle.
• Flexible repayments. You can align your repayments to your pay cycle with flexible weekly, fortnightly or monthly options.
• Fast decision. Alex Bank offers a quick online application with a response in as little as 3 minutes.

• Not for larger purchases. The maximum loan amount is capped at $30,000 which may not be enough if you're looking to buy a more expensive vehicle.
• Strict vehicle requirements. Your car of choice must be 5 years old or newer which could limit your options in the used car market.
• Potentially high interest rates. While the loan's starting rate is low its maximum rate of 18.99% p.a. is high and may apply if you have a lower credit score.
• Shorter maximum loan term. Loan terms only go up to 5 years which is less flexible than some competitors offering 7 year terms.
• Lacks some loan features. The loan does not come with a redraw facility meaning you can't access any extra repayments you may have made.
• Tighter eligibility criteria. You'll need a good credit history and a minimum income of $40,000 to be eligible which could exclude some borrowers.

Features of a loans.com.au green car loan

Features associated with a loans.com.au green car loan include:

• Easy application. Apply entirely online in a matter of minutes.
• Straightforward transaction. Money for your new car will be paid directly to the dealer, so transactions are fuss-free.
• Flexible loan amount. Borrow any amount from $10,000 to $150,000.
• Fixed rate. This loan has a fixed interest rate from 6.99% p.a. and a comparison rate from 8.12% p.a.
• Loan term. Borrow the money for a period of 3 years, 4 or 7 years.
• Early repayment option. Repay your loan early and without penalty if you're in the last 12 months of your loan term.
• Lower emissions. Purchasing a green car using this loan is better for the environment than other types of vehicle.
• Lower running costs. Better fuel efficiency usually equals cheaper running costs, so you could save more money in the long run.

Fees and charges

• Establishment fee. $400
• Monthly fee. $8
• Early repayment fee. This will apply if the loan is paid off before the last 12 months of the loan term.

You will not be required to pay an early repayment fee if you pay off the loan within the last 12 months of the agreed term.

How to apply for a loans.com.au green car loan

You can apply for the loans.com.au green car loan by clicking "Go to site" and completing the application. The application process should take approximately 15 minutes to complete.

Eligibility criteria

• Over the age of 18
• A resident of Australia
• Be purchasing a car that is a new or demonstration vehicle, more fuel-efficient than average cars of its size.

Documentation

You'll need to provide:

• Proof of identity
• Proof of income
• Details of your assets and liabilities

Remember, it's always important to compare your car loan options prior to submitting an application