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.

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 finance 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.

Compare Car Loans Archives

New Car Loan Interest Rates Australia

Whether you're upgrading your current car or looking for a new vehicle for your first car purchase, a new car loan can help you finance your set of wheels. Find out everything you need to know about new car loans to help you find the right loan for you.

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