SocietyOne Car Loan review

Main points to consider with a SocietyOne Car Loan

SocietyOne's car loan comes with a secured or unsecured option. With the secured loan, you have higher borrowing amounts. Your interest rate will be based on a number of factors, including your credit score, employment status, cash flow, loan term and loan amount. They offer loans with terms up to 2 years, 3 or 5 years for unsecured or up to 7 years for secured loans. The lower your term, the lower your credit score. You can use the loan funds to purchase either a new or used car.

How does compare?

• Competitive interest rate. The minimum interest rate of 6.39% is in the top 25% of lower rates on the market making it a highly competitive option.
• Flexible repayments. You can make extra repayments at any time without penalty helping you pay off your loan faster and save on interest.
• High Finder Score. This loan has a Finder Score of 7.9 which is a high score compared to other car loans we've reviewed.

• There are higher-rated options. While its Finder Score of 7.9 is good there are higher-rated car loans available on the market.
• High maximum interest rate. The maximum interest rate of 17.99% is on the higher end of the market and you may not be approved for the lowest advertised rate unless you have an excellent credit history.
• Multiple fees apply. This loan comes with an application fee of up to $495 and an ongoing monthly account fee of $10.
• Balloon payment risk. The balloon payment option can lower your regular repayments but you will be left with a large lump sum to pay at the end of your loan term.

What features does the SocietyOne Car Loan offer?

• Varying loan amount depending on security. You can borrow from $5,000 up to $70,000 secured, or up to $50,000 unsecured.
• Varying loan terms. Secured loans come with terms up to 7 years. Unsecured loans come with terms up to .
• Secured or unsecured. You can choose to secure the loan or opt for the unsecured option. Secured loans come with higher borrowing amounts and comparatively lower rates.
• Personalised rate. Rates are based on factors such as your credit score, employment status, cash flow, loan term and loan amount.
• New or used. You are able to purchase both new and used cars with this loan.
• Fixed rate. SocietyOne offers fixed rate loans. This means that your repayments will not change over the life of the loan. This makes it easier to budget for your loan repayments.
• No early repayment penalties. If you wish to make additional repayments or repay your loan early, you can do so penalty-free.
• Flexible repayments. Repay your loan fortnightly or monthly, depending on your preferences.
• Direct debit payments. Payments will be automatically taken from your nominated bank account on the agreed-upon dates.
• Get a rate estimate. You can get an estimated rate from SocietyOne, without affecting your credit score.

What interest rate will I qualify for?

SocietyOne works on a tiered rate system – the better your loan application, the lower your interest rate and fees. The repayment term you select also affects your rate. There are four loan grades, with the loan grade you receive based on your credit history and credit score, employment status, cash flow and the loan amount you request.

Interest rates for secured loans range from 6.99% p.a. to 13.24% p.a.

Interest rates for unsecured loans range from 7.99% p.a. to 14.24% p.a.

How much does the SocietyOne Car Loan cost?

The costs associated with this loan include:

• Loan principal
• Fixed interest rate
• Establishment fees ranging from $50 to $545

This loan does not charge monthly fees. Other fees can include:

• Late repayment fee of $35
• Direct debit dishonor fee of $15

How to apply for a SocietyOne Car Loan

To apply for a car loan with SocietyOne, simply click "Go to site" to visit the lender's website directly and submit an application. To apply, you must:

• Be at least 18 years old
• Earn more than $30,000 p.a.
• Be able to afford the loan
• Have at least two years of good credit history
• Not be in hardship with another financial provider
• Not have a pending, current or previous bankruptcy
• Be using the loan for personal use

You will also require the following documentation in order to apply:

• Copy of your driver's licence
• Copy of your passport
• Payslips
• Three months of your bank statements
• Credit card or loan statements

While this is a competitive car loan product, it's still a good idea to compare a range of car loans yourself, prior to submitting an application.