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. With a minimum interest rate from 6.99% p.a. this loan sits in the top half of lower-rate car loans on the market.
• No ongoing fees. SocietyOne doesn't charge any ongoing monthly fees which can save you money over the life of the loan compared to other lenders.
• EV financing available. You can use this loan to finance an electric vehicle which isn't an option offered by all lenders.
• High Finder Score. This loan has a Finder Score of 7.9 which places it among the higher-scoring car loans we've reviewed.

• High maximum interest rate. While its lowest rate is competitive interest rates can go as high as 23.99% p.a. which is high for a car loan
• Upfront establishment fee. An establishment fee between $395 and $695 applies and is added to your total loan amount meaning you will pay interest on it
• Early exit fees apply. You may be charged a $150 fee for paying off your loan early or a higher fee of $700 if you repay the loan within the first year
• Good but not a market-leading Finder Score. This loan's Finder Score of 7.9 out of 10 is good but it is outranked by other car loans that may offer more competitive features or rates.

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.