Best Car Loans Australia

Best Car Loans Australia

With the gamut of car loan options available online and from traditional lenders, it’s not impossible to land the best car loans in Australia. Finding the best loan for a car is not impossible, but is not an easy feat either. When you compare car loans in Australia, you need to consider a lot of factors such as the application process, the requirements, the car finance interest rates, and the loan terms. If you want hassle-free application and competitive car finance offers, you might have a better chance with online car loans in Australia than traditional ones.

SocietyOne lets you take out a car loan from anywhere you are in Australia, as our process is completed 100% online. We have some of the best car loans in Australia as we offer you competitive rates and flexible repayment options, and you can either opt for a brand-new car, used, or a collector’s car model.

To help you compare car loans in Australia and see that SocietyOne is where you can get the best car loans in Australia, first, expand your knowledge about car loans, such as the different types of loans for cars, how an auto loan can affect your credit profile, and what to look for when choosing among loan companies.

What is the best way to finance a car in Australia?

The top two best car loans in Australia to consider when financing your car are:

Secured car loan

This type of loan lends you money to pay for the car you want and uses that car as collateral or guarantee against the loan. The advantage of a secured car loan is that you can borrow bigger loan amounts allowing you to buy more expensive cars since the risk you pose to the lender will be lessened by the collateral.

Unsecured car loan

Contrary to a secured car loan, an unsecured option doesn’t use the car you will buy as collateral. If you have a good credit history, this loan option is ideal for you since you are more likely to get a good deal. The process may also be faster since you’ll less likely need to provide too many documents about the vehicle.

SocietyOne offers both unsecured and secured car loans. With an unsecured loan, you can borrow anywhere from $5,000 to $50,000 over a period of up to five years. As for a secured car loan, we can lend you up to $70,000 for a loan term of up to seven years. Based on your unique credit profile, we can offer you a personalised rate that is calculated using a risk-based pricing mechanism, meaning the better your credit score is, the better the deal you can get.

Is there a way for me to lower my car finance interest rate?

The interest rate of car loans, even if they’re the best car loans in Australia, are calculated based on factors like your credit score, total loan amount, loan term, and car specifications. If the deal offered to you has a very high-interest rate, it could be that you have poor credit. When you have a poor credit profile – typically due to missing repayments from your other debts or filing bankruptcy – car loan providers may consider you a risk. Hence, they increase your rates.

One way to lower your interest rate is to improve your credit score before applying for a loan. You can do so by catching up on your due accounts, not missing any payments, and limiting your new loan accounts. If you’ve already taken out a loan on bad credit, you can try refinancing the loan in a few months (when your score has already improved) to get a better interest rate.

At SocietyOne, you can check your credit score on our platform for free. We will also give you access to some tips on how to improve your score, and you can even track your progress on our platform as well. The interest rates we offer at SocietyOne are fixed and have absolutely no hidden charges, so you always know how much your repayments will be.

What factors should I consider when looking for a car financing loan?

Choosing which among the best car loans in Australia you should go for can be overwhelming, so consider these factors to help you narrow down your options:

Loan amount

How much money do you need to pay for the car? Can your lender cover this amount? Find out how much the car you want costs, including the possible fees you will incur and make sure to get a loan that is able to cover everything or as much of the amount as possible. SocietyOne can lend you more than the car’s worth to cover expenses like car improvements and registration fees.

Loan term

The loan term or the length of your loan should be a determining factor as to which auto loan you should get. Longer terms can mean smaller monthly payments, but they can also extend the time you’ll have to pay for the interest. Take this into consideration when choosing a loan. At SocietyOne, we let you choose how much you want to borrow and for how long. You can even choose your payment frequency, either monthly or fortnightly.

Loan fees

Some lenders attract you with low-interest rates, but then they charge you with excessive fees and charges that add up to outrageous amounts. Make sure to go for a lender that is transparent with the fees you may have to pay. At SocietyOne, there are no monthly fees, early repayment fees, and hidden fees. We also have a personal loan repayment calculator on our platform where you can get an estimate of the loan you desire within a few minutes.

Discover other great low-interest personal loans on SocietyOne that may just be what you need. Aside from the best car loans in Australia, we also offer a variety of personal loans such as debt consolidation loans, loans for students, loans for renovations, green loans, and a lot more.

Request a personalised rate today so you can take one step closer to your financial goals.