New Car Loans

Learn how to find and compare new car loan options, it could save you hundreds of dollars.

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RACV New Car Loans

RACV New Car Loans

From

4.99 %p.a.

fixed rate

From

5.69 %p.a.

comparison rate

  • Low fixed interest rate
  • No ongoing fees
  • Borrow from $5,000
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100% confidential application

RACV New Car Loans

Featuring fast approval times, no monthly account fees and friendly service it could be worth your while comparing the RACV Car Loan.

  • Interest rate from: 4.99% p.a.
  • Comparison rate: 5.69% p.a.
  • Interest rate type: Fixed
  • Application fee: $499
  • Minimum loan amount: $5,000
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Compare new car loans

⚡ Quick Tip: Enter the price of the vehicle you are looking at below and how many years you would want to take out financing and compare repayment amounts instantly.

$
Name Product Interest Rate (p.a.) Comparison Rate (p.a.) Min Loan Amount Loan Term Application Fee Monthly Service Fee Monthly Repayment
RACV New Car Loans
From 4.99% (fixed)
5.69%
$5,000
1 to 7 years
$499
$0
You'll receive a fixed rate from 4.99% p.a.
A larger loan of $5,000 or more to help you buy a new or used car. 5-hour pre approval available and no ongoing fees.
Plenti Car Loan
From 4.89% (fixed)
5.44%
$2,001
3 to 7 years
from $249 to $799
$0
You'll receive a fixed rate from 4.89% p.a.
Borrow up to $100,000 with a Plenti Car Loan and benefit from no early repayment or exit fees.
Loans.com.au - New and Dealer Used Car Loan
From 4.67% (fixed)
5.22%
$5,000
3 to 5 years
$400
$0
You'll receive a fixed rate from 4.67% p.a. based on your risk profile
Finance a new car and benefit from features such as fast approval, no ongoing fees and an optional balloon payment. Settle the loan before 30 November 2021 and enter the draw to win a $1,000 fuel gift voucher. T&Cs apply.
Credit Concierge Car Loan
From 3.35% (fixed)
4.41%
$10,000
1 to 7 years
$350
$8.50
You'll receive a fixed rate of 3.35% p.a. with a comparison rate of 4.41% p.a.
Get access to over 20 providers to fund a new or used car.
Wisr Secured Car Loan
From 4.74% (fixed)
5.01%
$5,000
3 to 7 years
$195 for refinance and dealer sale ($245 for private sale)
$0
You'll receive a personalised interest rate from 4.74% p.a. to 16.01% p.a. based on your risk profile
A flexible car loan from $5,000 - $63,000 with personalised rates and rewards for strong credit customers.

⭐Special Offer: Wisr's standard establishment fee $605 will be reduced to $195 for applications submitted through Finder. T&Cs apply.
OurMoneyMarket Car Loan
From 5.35% (fixed)
5.65%
$2,001
1 to 7 years
$250
$0
You'll receive a fixed interest rate from 5.35% p.a. to 14.99% p.a. based on your risk profile.
Borrow between $2,001 and $75,000 to finance a new or used car up to 10 years.
Stratton Finance New Car Loan
From 3.85% (fixed)
4.05%
$10,000
3 to 7 years
$700
$8.25
You'll receive a fixed rate from 3.85% p.a. depending on the lender you are approved with
Apply for up to $250,000 and use cash or trade in a vehicle to use as a deposit. Optional balloon payment available.
IMB New Car Loan
4.99% (fixed)
5.34%
$2,000
1 to 7 years
$275.12 ($250 Application fee + $25.12 PPSR fee)
$0
You'll receive a fixed rate of 4.99% p.a.
A low minimum borrowing amount of $2,000 that you can use to purchase a new car or one that's up to two years old.
NRMA New Car Loan
From 4.99% (fixed)
5.69%
$5,000
1 to 7 years
$499
$0
You'll receive a fixed rate from 4.99% p.a.
Purchase a new or used car up to 3 years old and benefit from a fixed rate and no monthly fees. Pre-approval available within 5 business hours.
NAB Personal Loan Unsecured Fixed
From 6.99% (fixed)
7.91%
$5,000
1 to 7 years
$150
$10
You'll receive a fixed rate between 6.99% p.a. and 18.99% p.a. ( 7.91% p.a. to 19.83% p.a. comparison rate) based on your risk profile
Borrow from $5,000 to $55,000, with 1 to 7 year loan terms available. This loan comes with no fees for extra repayments and no early exit fees.
Heritage Bank Car Loan
4.89% (fixed)
5.53%
$5,000
1 to 7 years
$200
$5
You'll receive a fixed rate from 4.89% p.a.
Finance a new or used car up to 5 years old. Large maximum borrowing amount up to $100,000 and terms up to 7 years.
SocietyOne Car Loan
From 5.95% (fixed)
5.95%
$5,000
2 to 5 years
from $0 to $595
$0
You'll receive a fixed rate between 5.95% p.a. and 17.49% p.a. based on your risk profile
A loan from $5,000 to use for a range of purposes. Benefit from no ongoing fees and no early repayment fee.
Driva Car Loan
From 2.85% (fixed)
4.39%
$2,000
1 to 7 years
$295 (Varies by lender, starting from $295)
$10
You'll receive a fixed rate from 2.85% p.a.
Borrow up to $250,000 with loan terms from 1 to 7 years. Get access to a range of lenders.
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How new car loans work

The majority of new car loans are secured loans, meaning the lender has the right to repossess the vehicle if you default on your loan. While this is a steep price to pay, it also means you get a lower interest rate. Getting a new car loan doesn't mean you have to buy a car from a dealership – the majority of lenders will accept a vehicle up to two years old from a second-hand car dealer or a private sale.

When you apply, you and your car will need to pass the eligibility criteria. Depending on how strict the lender is, you may need to use the entire loan amount on the car, although some lenders may allow you to borrow some extra money to cover the costs that come with buying a new car. You will need to repay the loan over the pre-agreed loan term.

Types of new car loans

  • Secured car loan
    With a secured car loan, the bank is able to use the new car as security. That means it has a registered interest in the car and can repossess it if you default on your payments. The interest rate is lower than the rate you would get with an unsecured loan because a lender views it as less risky.
  • Unsecured car loan
    An unsecured car loan works a little differently, as the bank or loan company does not hold the new car you are purchasing or any of your assets as security. If you fail to make your personal loan repayments, the bank has little power to do anything about it, except send reminders. When you've consistently lapsed on repayments, it will send a debt collector to try and obtain the money. Your assets are safe, but the lender could take you to court. In response to the increased risk taken on by the lender, the interest rates are raised when compared with a secured loan.
  • Bad credit car loan
    If your credit report isn't quite as stellar as you'd like and you still want a new car, you should consider a bad credit secured car loan. These loans come with a higher interest rate due to the increased risk factor.

What is the difference between fixed and variable new car loans?

Variable rate car loans

A variable rate means the interest rate will fluctuate (according to the Reserve Bank of Australia's cash rate), while a fixed rate remains the same for the length of the loan's term. The variable rate might be cheaper now, but it can and will fluctuate with the market interest rates. This means your repayments might increase if the rates go up. Your payments may also come down if the rates start to fall.

Fixed rate car loans

By comparison, a fixed rate loan might initially be a bit higher than the variable rate, but you know that your repayments won't change throughout the loan term. If the rates increase over the next few years, it is possible that the fixed rate may end up being lower than the resulting variable rate.

How to compare new car loans

Listed below are the key factors you should consider when comparing new car loans.

  • Interest rate and comparison rate
    You need to compare rates to check how competitive a loan is. The comparison rate includes additional costs, such as application fees, cost of the car valuation, legal fees and any other yearly or monthly charges that could be included.
  • Other fees and charges
    Some charges are excluded from the comparison rate, such as early termination fees. The loan company should inform you of all possible charges before you finalise your loan agreement.
  • Redraw facility and extra repayments
    These extra features can help you repay your loan earlier than expected. However, be mindful that costs related to redraw fees or early repayment fees and any cost savings, including fee waivers, are not part of the comparison rate and could have an influence on the loan's overall cost.
  • Eligibility and suitability
    Will you be eligible for the new car loan and does your car meet the criteria set by the lender? You should check the minimum and maximum loan amounts on offer as well as the loan terms to ensure the loan is right for your needs.

Did you know

Finder not only helps you find and compare new car loans, but we also have vehicle comparisons. If you still aren't sure about which car you are going to purchase, read our car reviews and compare models against each other.

The benefits and drawbacks of a new car loan

  • It fills your coffers so you can buy a new car.
  • It spreads the cost over several years.
  • New cars are generally easier to finance, so you could find a lender without fuss.
  • You get a new vehicle, benefiting from improved safety equipment, fuel efficiency, technology and passenger comforts.
  • The price of the car is often higher than the resale value of the car. This is because all loans attract interest and new cars can lose market value quickly, through depreciation.

Not sure which car you are going to purchase? Car buying research taking up a lot of your time? Check out some of the vehicles below. We also have car reviews on Finder which cover the good and the bad points of vehicles, to help you make a more informed decision. Below are some best-selling new cars and how much they cost.

Car modelPriceFinder rating Reviews
Toyota HiLuxToyota HiLuxFrom $27,84776.6%Comparison review
Hands-on review
Ford Ranger 4x4Ford RangerFrom $32,38585%Comparison review
Hands-on review
Toyota Corolla Ascent SportToyota CorollaFrom $26,92780.25%Comparison review
Hands-on review
Mazda 3 G20 PureMazda 3From $28,88883%Comparison review
Hands-on review
Hyundai i30 ActiveHyundai i30From $20,99082.20%Comparison review
Hands-on review
Mazda CX-5 Maxx Sport FWDMazda CX-5From $33,99083.25%Comparison review
Mitsubishi Triton GLX+ Mitsubishi TritonFrom $24,99080.50%Comparison review
Toyota RAV4 GXLToyota RAV4From $34,81082.75%Comparison review
Hands-on review
Nissan Qashqai STNissan X-TrailFrom $28,99076.25%Comparison review
Mazda CX-3 MAXX SPORT AWDHyundai Tucson$28,99079%Comparison review
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Things to look out for with new car loans

  • Once you have decided to take out a new car loan, it is essential that you work out all the costs associated with the car loan. The obvious things are the interest rates but there are other charges too. These may vary depending on the lender.
  • Fixed interest rates are common among car loan companies and they will not change throughout the loan period. If you choose a variable interest rate, the loan provider could alter the interest rate at any time depending on the Reserve Bank rates.
  • You should negotiate early repayment fees and redraw fees with the loan provider just in case your situation changes during the loan period.

Car insurance for your new car

While CTP insurance is a legal requirement in Australia, taking out additional comprehensive or third party cover is highly recommended. Avoiding additional car insurance could mean unforeseen expenses if you were ever involved in an accident, even if it was not your fault. Our extensive car insurance guide will give you all the information you might need about insurance, its types, costs and more. You'll also be able to compare insurance providers and get quotes side by side.

Compare car insurance in Australia

Frequently asked questions about new car loans

Should I put down a deposit?

Some car loan brokers let you put down a deposit. If you can afford to put down 5-20% of the car loan value, you'll have to borrow less. Lenders calculate the risk you present using the loan-to-value ratio (LVR). Lowering your loan amount, compared with the value of the vehicle, can help tip things in your favour.

As you're taking on some of the risk of the loan, a lender might offer you a more competitive interest rate. In the long run, if you crunch the numbers, this should save you money. As an added bonus, you'll have lower monthly repayment amounts.

How can I work out my new car loan repayments?

You can use the Finder car loan repayment calculator.

When's the best time of year to buy a new car?

There are a few times a year when you can grab a bargain on a new car.

First, if a car is due a facelift as part of its product cycle – right when the new model arrives on the forecourt is a good time to purchase the runout car. If you can live with the older spec, you could save thousands of dollars. Sometimes, car makers raid the parts bin, adding extra tech and equipment to create limited edition, runout models.

During end of financial year promos, car dealers run massive campaigns to sell off older stock. At this time, models with a previous year's build date or ex-demonstrator vehicles have thousands knocked off. Last year, the biggest saving we found was $36,910 off a BMW 6340i M Sport. The end of a calendar year might also be a good time, or early in the new year.

Also, the end of each month might see car dealers hustling to meet their targets and more inclined to strike a juicy deal.

Do any brands offer pre-approval? Should I get pre-approved for a car loan?

If you want to buy from a dealer, knowing the exact amount you can borrow and how much it'll cost per month is a real ace up your sleeve.

A pre-approved car loan is the answer.

Bank or dealership, which is better?

Speaking generally, dealerships advertise more attractive interest rates. However, the financing division usually requires a residual or balloon payment. With these types of deals, you have to stump up a considerable sum, into the tens of thousands on higher-end models. Yes, the interest rate looks good, but with the balloon payment factored in, it is off-putting for many to pay this last sum off.

On the other hand, the car dealer will handle all the paperwork. The application process is probably a little more streamlined. Dealers might also consider financing you even if you have a bad credit history.

Opt for a loan from a broker though and you'll likely get finance with no dealer markup. Plus, you can go for pre-approval, meaning you have more power when negotiating with the car salesperson. You have to do a bit more legwork yourself, but many view the advantages of this route as outweighing the downsides.

I'm on a pension, can I still get a loan?

You may still be eligible for a loan from a bank or a short-term loan provider. Please take a look at our guide on personal loans for pensioners.

New car loans eligibility criteria

Generally, to be eligible for a car loan, you'll need to:
  • Be 18 or older
  • Have a regular, verifiable income
  • Be a permanent resident of Australia, or possess an appropriate visa
  • Have an acceptable credit history

What documents do I need to apply for a car loan?

You need to gather up some documents. A lender might want to see:
  • Driver's licence
  • Details of your employer and employment history
  • Income info (from bank statements)
  • Details of assets
  • Proof of savings
  • Info about any other loans or credit you have
  • Expenses and bills

You can find a checklist of documents for car loan applications on our main hub.

What are balloon payments?

Some finance agreements let you set a balloon payment.

This payment is a final lump sum that clears the loan, right at the end of the finance term. The benefit is lower monthly repayments, but the downside is you need to find a hefty sum of money to settle the loan.

Find out more about car loan balloon payments.

How do I apply for a new car loan?

You can apply over the phone or online. For most lenders, it takes up to 10 minutes. Some are quicker though.

All you need to do is click the link in our car loans comparison table to visit the site of each respective lender.

Logo for IMB New Car Loan
IMB New Car Loan

You'll receive a fixed rate of 4.99% p.a.
A low minimum borrowing amount of $2,000 that you can use to purchase a new car or one up to two years old.

Logo for Beyond Bank Low Rate Car Loan "Special Offer"
Beyond Bank Low Rate Car Loan "Special Offer"

You'll receive a fixed rate of 4.69% p.a.
Take advantage of a competitive rate, pre-approval and no early repayment fees when you finance a car under two years old.

Logo for RACV New Car Loans
RACV New Car Loans

You'll receive a fixed rate from 4.99% p.a.
A larger loan of $5,000 or more to help you buy a new or used car. 5-hour pre approval available and no ongoing fees.

Logo for NRMA New Car Loan
NRMA New Car Loan

You'll receive a fixed rate of 4.99% p.a.
Purchase a new or used car up to 2 years old and benefit from a fixed rate and no monthly fees. Pre-approval available within 5 business hours.

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