RACQ Bank Car Loan

RACQ, or Royal Automobile Club of Queensland, was founded in 1905 by a motor enthusiast who wanted to help other people experience the pleasures of motoring. It currently provides member services and products that include roadside assistance, finance, travel and insurance.

If you're in need of vehicle finance, you can consider the competitive options available from RACQ. Find out more about these below.

Main points to consider with the RACQ Car Loan Special

You can apply for between $3,000 and $100,000 and get a loan term up to 7 years for a new car, or 5 years for a used car. If you're getting a loan for a used car, the vehicle must not be older than 12 years at the end of the loan term.

You won't be charged a penalty for making extra repayments and there is no monthly fee.

How does compare?

• High Finder Score. This product's low costs and strong features place it in the top 12% of car loans reviewed by Finder.
• Competitive interest rate. The minimum interest rate of 6.69% p.a. is among the more competitive rates in the market.
• No ongoing fees. You can save money over the life of the loan as there are no monthly account keeping fees.
• EV financing available. You can use this loan to finance an electric vehicle which isn't an option with all car loans.

• You might pay a higher interest rate. The advertised rate of 6.69% p.a. is only available to applicants with an excellent credit history and your final rate could be as high as 12.99% p.a. depending on your personal circumstances.
• There is a membership requirement. You must be an RACQ member to be eligible for this loan which adds an ongoing cost starting from $26 per year that you won't find with many other lenders.
• Fewer flexible features are available. Loan terms are restricted to between 3 and 5 years and there is no redraw facility to access extra repayments which makes it less flexible than some competing car loans.

Features of the RACQ car loan

• Fixed rate. You'll receive an interest rate of 6.69%, with a comparison rate of 6.86%.
• Pre-approval of loan. Borrowers can get pre-approval for the loan, which allows them to find the best option within a given budget.
• No ongoing fees. These loans do not have any ongoing monthly fees.
• Flexible repayment options. The repayments can be made fortnightly or monthly according to your cash flow needs. There is a direct debit facility as well as an option to make extra repayments to reduce interest costs and finish the loan faster.
• Discounted car maintenance. You can take advantage of discounts on car maintenance if you're approved for the loan.
• Short processing time. The application can be submitted online, and approval over the phone is also possible. The outcome of the application is generally available within five business hours.

Fees and charges

• Loan document fee. You'll need to pay a fee of $120.

Is your car eligible for a secured loan from RACQ?

RACQ considers the following vehicles for loans:

• New vehicles
• Used vehicles (the vehicle must be no more than 12 years old by the end of the loan)
• Cars, caravans, watercraft and motorcycles

How to apply for a RACQ car loan

If you want to take advantage of the benefits on offer, click 'Go to Site' to apply with RACQ.

Eligibility

You'll need to meet the following eligibility criteria to apply:

• You must be at least 18 years of age
• You need to be a permanent resident/citizen of Australia or have a valid work visa
• You need to have income sufficient to meet the loan repayments
• Have a good credit history

If you meet these criteria you can submit an application.

Documentation

You will need the following documents on hand:

• Identification. You'll need to supply proof of your identity, such as your driver's licence.
• Proof of income. Current pay advice or a group certificate will be required to prove your income and that you'll be able to repay the loan.
• Employment history. Applicants might be asked for their employment history to finalise the loan process.
• Other details. You might be asked for details of your housing situation (ownership/renting) references and credit history.

You can take advantage of pre-approval and can find if you've been approved in five business hours.

It is important to have a competitive loan that can help offer smooth repayments and manageable interest. RACQ's car loan provides very competitive interest rates with flexible terms for borrowers.

Before applying, it's better to compare car loans in the market before making a final choice.

Compare other products from RACQ

• RACQ home loans
• RACQ savings accounts
• RACQ term deposits
• RACQ personal loans
• RACQ health insurance
• RACQ travel insurance
• RACQ home insurance
• RACQ car insurance
• RACQ motorcycle insurance
• RACQ caravan insurance
• RACQ pet insurance