Volvo parked side of the road

Compare Volvo Finance Options

Looking to buy a Volvo? Our financing guide will help you understand the different purchasing options

Volvo is a Swedish automaker with a well-earned reputation for building secure and reliable premium cars. Volvo has pioneered many safety features that are now industry standards. For example, the company developed the first three-point seat belt in 1959, but then admirably gave up the patent rights so that all car makers could adopt this life-saving invention.

Volvo also created the rearward-facing child safety seat, side-impact airbags and blind spot monitoring. Volvo continues to be early-adopters, announcing that from 2019, all new Volvo models will be electric or hybrid powered.

Prices in this guide are for postcode 2000.

Volvo Australia models

In Australia, Volvo sells eight models.

SUVs

  • Volvo XC90 - A serious rival to the Range Rover and other luxury SUVs, available with a diesel, petrol or electric/petrol hybrid engine. Top of the range Excellence models feature massage, temperature controlled seats, a fridge with room for two wine bottles and a set of matching Swedish crystal glasses to drink from. Prices start at $93,900.
  • Volvo XC60 - The XC60 has won several awards including Drive’s car of the year and the World Car of the Year for 2018. This midsize luxury SUV features advanced driving assists and safety technology. XC60 prices start at $69,000.
  • Volvo XC40 - Volvo’s first compact SUV, available as a diesel or petrol. Options include adaptive cruise control, a parking assist pilot, a 360-degree camera and a Harmon Kardon sound system, among others. Prices start around $48,000 before on-road costs.

Wagons

  • Volvo V90 Cross Country - The imposing Cross Country V90 Wagon is perfect for those living in or travelling to areas less ventured, including unsealed roads and rough tracks. Prices start at $110,000 for a 2.0L Diesel AWD model with an 8-speed automatic gearbox.
  • Volvo V60 - A practical and well-received Wagon with all of Volvo’s trademark technology. Available with a petrol or diesel engine and several trim levels to suit most buyers. Also available as a Cross Country model or in sporty Polestar guise.
  • Volvo V40 - More of a hatch than a wagon, the V40 is perfect for those living in metro areas. Comes with a 2.0L Diesel or a 1.5L Petrol engine and retails around $45,000. Volvo also makes a Cross Country model and a racey R-Design trim variant.

Sedans

  • S90 - An executive sedan version of the V90 wagon. Volvo offers three trims for the S90 - Momentum, R-Design and Inscription. Inscription S90s have a hybrid petrol/electric drive option. Prices start around $89,500.
  • S60 - A smaller sedan with several trim options from the everyday Momentum specification to the performance-enhanced Polestar model. Starting price is $55,800.

Volvo operates a 30 strong dealership network nationwide.

Loans to consider when purchasing a Volvo

Rates last updated April 22nd, 2019
$
Name Product Interest Rate (p.a.) Comparison Rate (p.a.) Min Loan Amount Loan Term Application Fee Monthly Service Fee Product Description Monthly Repayment
Latitude New and Used Car Loan
From 6.99% (fixed)
8.1%
$5,000
1 to 7 years
$295
$10
You'll receive a fixed rate between 6.99% p.a. and 14.99% p.a. based on your risk profile
Apply for a loan from $5,000 to finance a new or used car. Flexible repayments and options to finance a classic car.
IMB New Car Loan
5.89% (fixed)
6.24%
$2,000
1 to 7 years
$250
$0
You'll receive a fixed rate of 5.89% p.a.
A low minimum borrowing amount of $2,000 that you can use to purchase a new car or one up to two years old.
Beyond Bank Low Rate Car Loan
From 5.69% (fixed)
5.97%
$25,000
1 to 7 years
$175
$0
You'll receive a fixed rate of 5.69% p.a.
Take advantage of a competitive rate, pre-approval and no early repayment fees when you finance a car under two years old.
Loans.com.au - New Car Loan
5.44% (fixed)
5.99%
$5,000
3 to 5 years
$400
$0
You'll receive a fixed rate of 5.44% p.a.
Finance a new car and benefit from features such as fast approval, no ongoing fees and an optional balloon payment.
Stratton Finance New Car Loan
From 5.34% (fixed)
6.6%
$7,500
1 to 7 years
$459.20 (for private seller vehicles this fee is $608)
$8.90
You'll receive a fixed or variable rate depending on the lender you are approved with
Apply for up to $150,000 and use cash or trade in a vehicle to use as a deposit. Optional balloon payment available.
RACV New Car Loans
From 5.99% (fixed)
6.55%
$15,000
1 to 7 years
$399
$0
You'll receive a fixed rate of 5.99% p.a.
A larger loan of $15,000 or more to help you buy a new or used car. 5-hour pre approval available and no ongoing fees. Note: Product only available to residents of Victoria.
Credit Concierge Car Loan
From 4.99% (fixed)
6.23%
$10,000
1 to 7 years
$350
$5
You'll receive a interest rate from 4.99% p.a. with a comparison rate from 6.23% p.a.
Get access to over 20 providers to fund a new or used car.
Westpac Car Loan
From 8.49% (fixed)
9.67%
$10,000
1 to 7 years
$250
$12
You'll receive a fixed rate of 8.49% p.a.
Finance a new or used car and benefit from convenient features for car buyers including a car search tool and the option to borrow extra for on-road costs.
St.George Secured Personal Loan - Fixed Rate
From 8.49% (fixed)
9.6%
$3,000
1 to 5 years
$195
$12
You'll receive a fixed rate from 8.49% p.a. based on the value of your car
Get a competitive rate and apply for a larger loan up to $80,000 when you attach a new or used car as security to the loan.
IMB Secured Personal Loan
6.89% (fixed)
7.24%
$2,000
1 to 5 years
$250
$0
You'll receive a fixed rate of 6.89% p.a.
Benefit from this competitive rate by securing the loan with a vehicle up to 6 years old. Use this flexible loan for any purpose.

Compare up to 4 providers

Finance offers for a new Volvo

Explore Volvo financing options, including consumer loans, chattel mortgages, novated leasing or secure/unsecured car loans.

  • Volvo Australia chattel mortgage. Volvo displays chattel mortgage deals on its website. To qualify for a chattel mortgage, you must hold an Australian Business Number (ABN). A chattel mortgage is similar to a secured car loan only the vehicle must see at least 50% business use. As a bonus, chattel mortgages can provide more favourable rates and you become the owner of the vehicle right from the off, while the lender has a registered interest in the car. Volvo secured chattel mortgages require a 12-15% deposit and a 20% balloon payment at the end of the lease term, although dealers can arrange up to 100% finance for approved customers and even offer payment breaks when it’s time to renew your insurance. For more information on this financing route, read our chattel mortgage guide.
  • Secured loan or car loan. If you’re prepared to use the vehicle as security for your borrowing, a secured car loan is one option to consider. Generally, secured loans are only available for new vehicles, though there are some secured car loans for used Volvos around. The amount you can borrow is limited to the value of the vehicle, so you cannot also borrow funds to cover on-road costs like registration and insurance, compulsory third party insurance (CTP) and dealer fees. Secured car loans have either fixed or variable interest rates.
  • Novated lease. If you’re employed and your employer is open to novated leasing schemes, you can reduce your taxable income through this option. You make an agreement between your employer, yourself and a third-party lender. You’re then free to purchase a vehicle of your choice and the lease repayments and maintenance costs come out of your pre-tax salary. Find out more about novated leasing, how to arrange one and the benefits and possible drawbacks.
  • Car lease. This is an excellent option if you don’t have the capital to purchase a car outright. In effect, it’s like renting the car for a pre-agreed term. Some leases require an initial down payment, which lowers the monthly cost. At the end of the agreement you can hand the car back and get something else or pay the outstanding total and buy it outright. Find out how much you’ll spend on a car lease and contact a broker with our car lease calculator.
  • Commercial hire purchase. Some Volvo dealers also list commercial hire purchase as an additional financing option. This is a good way of breaking up the cost of a new Volvo for your business and you’ll own the car at the end of the contract. Read more about commercial hire purchases.
  • Unsecured car loan. If you’re looking for a used Volvo or you’d like to use the loan funds to pay for something unrelated to your car, unsecured loans may be an option to think seriously about. Unsecured loans have higher interest rates. We’ve prepared a comparison of unsecured loans to help you learn more about them.

Volvo loan example

How much will a Volvo chattel mortgage cost?

Let’s take a look at some of the current chattel mortgage offers Volvo is running for the Volvo V40 hatch in either T3 Momentum, T4 Inscription or T5 R-Design.

V40 Hatch T3 Momentum

  • Retail price: $35,888
  • Chattel mortgage rate on 60-month terms: 4.60%
  • Deposit: 15%
  • Final balloon payment: 20%
  • Monthly repayment: $484.65

V40 Hatch T4 Inscription

  • Retail price: $43,888
  • Chattel mortgage rate on 60-month terms: 4.60%
  • Deposit: 15%
  • Final balloon payment: 20%
  • Monthly repayment: $597.96

V40 Hatch T5 R-Design

  • Retail price: $49,888
  • Chattel mortgage rate on 60-month terms: 4.85%
  • Deposit: 15%
  • Final balloon payment: 20%
  • Monthly repayment: $671.30

By way of comparison, a secured car loan for the same amounts, the T3 would cost around $698.48 per month with a 6.34% interest rate. The T4 works out to $853.11 and a hot hatch T5 would be $969.07.

Volvo prices quoted are for postcode 2000.

Don’t get confused with all the jargon and information around car loans, use our car loan repayment calculator to work out exactly how much you’ll pay each month.

Car running costs

Car running costs including fuel, insurance, servicing and maintenance all quickly add up. Weekly running expenses for a Volvo T40 Inscription, covering 15,000km per year, could be as much as $0.078 in fuel, $0.097 for servicing/repairs per km and a depreciation of $97.04 per week. If you’re covering more miles, your costs will increase exponentially.

Save money by driving more economically, shopping around for fuel and making sure you compare insurance policies at renewal time. To cut depreciation, spec your car wisely. Satellite navigation and leather interiors generally add value but less popular colours may knock money off.

Which Volvo financing option is best?

We can’t tell you which way to go with financing your new Volvo. It depends on the amount of capital you have and the monthly payments you can afford. Here are a few key areas to consider, though.

  • Interest rates. This is how financing companies make their money and offset risk. Examine the interest rate. Dealer rates may not always be the most competitive so shop around. Calculate how much you’re actually paying for the vehicle.
  • Fees. Are there any additional fees associated with the financing option? Will you pay an application fee, admin charge or an early repayment charge? Even if you don’t expect to ever miss a payment, ask about missed payment penalties. Find out before you commit.
  • Flexibility. Does this financing option offer a payment break when it comes to insurance time? Can you change the payment schedule from monthly to weekly or alter the amount as you need?
  • Balloon / Deposit payments. Can you afford to pay a sizeable deposit or balloon payment? This could reduce the monthly cost of your loan dramatically.

Frequently asked questions about Volvo financing

Should I buy a new or used Volvo?

New cars offer a long warranty, backing and support from a dealer with the option to tailor the colour, trim and optional extras, creating the exact car you want. Buying from the manufacturer is often easier than arranging your own finance and handling all the ensuing paperwork. The downside to owning a new car is the depreciation when it comes to selling the car.

On the other hand, if you opt for a used but well-loved Volvo, you could save on depreciation. But there’s the risk you’re purchasing from an untrustworthy seller who’s passing you a lemon. If you don’t know much about cars, take someone along with you who does.

Which Volvo should I buy?

This really depends on your personal taste and circumstances. If you have a family and want a bit more room, go for one of the SUV or Wagon models. Volvo wagons are legendary for safety, reliability and high build-quality.

I want a car that has lots of advanced driving technology

Volvo can boast some of the most advanced driving assists on the road today and the XC90 plus several other models also have hybrid options.

I’m looking for a luxury SUV

The XC90 is the car for you. It is a true Range Rover competitor with a fridge and massage seats, though these comforts come at a premium price.
Pictures: Shutterstock
Prices & rates accurate as at time of publishing: 14/05/2018

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Car Loan Offers

Important Information*
IMB New Car Loan

You'll receive a fixed rate of 5.89% p.a.
A low minimum borrowing amount of $2,000 that you can use to purchase a new car or one up to two years old.

Latitude New and Used Car Loan

You'll receive a fixed rate between 6.99% p.a. and 14.99% p.a. based on your risk profile
Apply for a loan from $5,000 to finance a new or used car. Flexible repayments and options to finance a classic car.

Beyond Bank Low Rate Car Loan "Special Offer"

You'll receive a fixed rate of 5.69% p.a.
Take advantage of a competitive rate, pre-approval and no early repayment fees when you finance a car under two years old.

Loans.com.au - New Car Loan

You'll receive a fixed rate of 5.44% p.a.
Finance a new car and benefit from features such as fast approval, no ongoing fees and an optional balloon payment.

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