First Option Bank Special Car Loan Offer
- Application Fee
- paid only if loan is approved
- Interest Rate (p.a.)
- From 5.69% (fixed)
- Comparison Rate (p.a.)
- Max Loan Amount
This product is no longer available.
First Option Bank provides a special fixed rate car loan where the interest rate stays the same for the course of the loan. While the standard loan term is 7 years you can make extra repayments whenever you want without paying penalties and there is also no penalty for paying the loan off before the term expires. You can access your extra repayments using a redraw facility and you don’t have to pay any monthly or annual fees. If you need help narrowing down on a suitable car, you can make use of a free car buying service.
Existing customers will receive a rate of 10.99% p.a. and a comparison rate of 11.24% p.a. Existing customers can also borrow from as little as $15,000.
|Product Name||First Option Bank Special Car Loan Offer|
|Interest Rate (p.a.)||5.69%|
|Comp. Rate (p.a.)||5.93%|
|Interest Rate Type||Fixed|
|Min Loan Amount||$20,000|
|Max Loan Amount||$100,000|
This product is no longer available.
First Option Credit Union has been rebranded to First Option Bank.
Things to consider about the First Option Bank Special Car Loan Offer
If you're looking for a fixed rate car loan so you don't have to worry about fluctuating interest rates or repayments, this special Car Loan offer by First Option Bank is worth considering. You can use proceeds from this loan to buy a new car, and to help you look for cars within your buying capacity First Union provides free pre-approval. To help you find a suitable car, they also put you in touch with a free car buying service.
Once you get the loan you can make extra repayments at any time and you can also pay the loan off completely ahead of time. The fact that this loan does not attract any ongoing account-keeping fees is a plus as well.
The standard and 'Special' features of this loan
This special offer Car Loan provided by First Option Bank comes with various features, and here are the details to know about:
- Fixed interest rate. Expect a fixed interest rate of 10.99% p.a. through the entire loan term, and this ensures that there is no change in the interest rate or repayment size anywhere down the line. If you want to stick to a budget and don't want the uncertainty that comes with a variable rate loan, this one can help.
- Loan amount. New customers can apply for a car loan from $20,000 - $100,000. Existing customers however can apply for $15,000 - $100,000.
- Free pre-approval. First Option provides free pre-approvals and getting one before you begin your search for a car helps base your search on the amount you're qualified to borrow.
- Extra repayments. This loan does not charge any penalties for additional payments and you can make them as and when you want. Making extra repayments reduces your balance, and therefore the interest you're required to pay.
- Early payouts. You can pay the loan off earlier than scheduled, and doing so does not attract any penalties.
- Redraw. If you, at any time, end up needing the money you've paid towards the loan as additional repayments, you can access these easily using a redraw facility. This service comes with a fee of $10 and you have to redraw a minimum amount.
What costs will apply?
Repaying the loan entails repaying the amount you borrow along with the interest it attracts, and there are also other fees and charges associated with this loan. First Option gives you a loan offer document that lists all associated fees and charges and going through these before you accept the contract is always a good idea. While there are certain fees like the loan administration fee that you have to pay, you can avoid ones like direct debit dishonour fees. This is what the basic fee structure looks like:
- Loan administration fee: $175
- Monthly/ annual account-keeping fees: $0
- Redraw fee: $10
How you can take up this offer
You can apply in-person by visiting any First Option Bank branch, you can apply by speaking to a First Option representative over the phone, or you can submit an online application. Applying online does not take much time, but before applying, establish if you meet the following criteria to qualify:
- You are over 18 years of age
- You have good credit history
- Have been in solid employment for preferably over 12 months
Successfully completing the application involves providing a variety of information, which includes the following.
- Personal details like name, date of birth, marital status, and number of dependants
- Your residential address, residential status, phone number, and email address
- Your employer's name and contact details along with your employment status
- Details about your income and expenses
This fixed rate car loan brings with it a certainty about repayments along with several features, but since this is not the only car loan of its kind, comparing few car loans before deciding makes sense.
Compare car loan providers
You are about to post a question on finder.com.au:
- Do not enter personal information (eg. surname, phone number, bank details) as your question will be made public
- finder.com.au is a financial comparison and information service, not a bank or product provider
- We cannot provide you with personal advice or recommendations
- Your answer might already be waiting – check previous questions below to see if yours has already been asked