Australia’s best car loans for November 2025

By Jasmine Gearie · · 5 min read
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A happy family packing their car for a holiday.

Not everyone can afford to buy a car outright, so if you’re in need of some extra cash before getting the keys to a new vehicle, a car loan is one option to help. Whether you want a new or used car, it’s important to compare car loans and look at personalised quotes before you jump online or head into a car dealership.

Some of the best car loans in our database offer low interest rates, low (or zero) fees and payment flexibility. Our top picks are on this page, and include some of the winners from the Mozo Experts Choice Awards for Car Loans in 2025, along with our editor’s picks.

Car loan rates

The lowest car loan rate in the Mozo database is 5.09% p.a. (5.78% p.a. comparison rate*) from RACV’s Green Car Loan (Fixed).

Below we’ve listed the average rates for fixed and variable car loans in our database (on 4 November, 2025).

  • Average rate for new car (fixed and variable): 7.10% p.a.
  • Average rate for used car (fixed and variable): 7.53% p.a.

Source: Mozo database on 4 November, 2025. Average car loan interest rates for fixed and variable on a $30,000 loan. Average rates include the lowest rate for risk-based priced loans.

Best car loans: November 2025

Car loan with no monthly service fees: our pick

Mozo may receive payment if you click products on our site. Mozo does not compare the entire market.
Important disclosures and comparison rate warning*
OurMoneyMarket Car Loan (secured)
  • Fixed interest rates from 6.28% p.a. (6.28% p.a. comparison rate*)
  • No monthly fees, exit or early repayment fees
  • Borrow between $5,000 up to $100,000

  • Establishment fee may apply based on your loan amount

Chosen from: editor’s picks

Borrowers can access fixed rates from 6.28% p.a. (6.28% p.a. comparison rate*) depending on your credit history. OurMoneyMarket’s (OMM) car loan comes without a monthly service fee, and you’re free to make extra repayments on your car loan without paying a penalty. Plus if you pay back your loan early, there’s no exit fee.

Do note that OMM charges an establishment fee based on your loan amount, and it can vary between 0-6% of the amount you borrow, based on your credit assessment. Loan terms range between 1-7 years, and you can borrow between $5,000 and $100,000.

Low fixed rate car loan: Mozo Experts Choice Award winner

Mozo may receive payment if you click products on our site. Mozo does not compare the entire market.
Important disclosures and comparison rate warning*
IMB Bank New Car Loan (secured)
  • Fixed rate from 5.99% p.a. (6.34% p.a. comparison rate*)
  • Fast online conditional approval
  • No monthly account fee

  • $250 application fee
  • No redraw

Chosen from: 2025 Mozo Experts Choice Awards

IMB Bank was a multi-award winner in this year’s Mozo Experts Choice Awards for Personal Loans, including the Car Loan and Used Car Loan categories.

This particular loan offers a highly competitive fixed rate from 5.99% p.a. (6.34% p.a. comparison rate*) when taking out a new car loan for vehicles up to 4 years old. There are no monthly fees or penalties for paying off the loan early, but there is a $250 application fee.

You can borrow up to $125,000 depending on your credit assessment, and IMB Bank says you can get fast conditional approval when you apply online.

Low variable rate car loan: our pick

Mozo may receive payment if you click products on our site. Mozo does not compare the entire market.
Important disclosures and comparison rate warning*
Loans.com.au New Car Loan Special (secured)
  • Variable rate from 5.99% p.a. (7.12% p.a. comparison rate*)
  • Approval available within 24 hours
  • Borrow between $5,000 up to $150,000

  • $400 application fee
  • $8 monthly fee

Chosen from: editor’s picks

Loans.com.au’s New Car Loan is available for new and demo vehicles, provided they’re no more than 18 months old and have done under 7500km.

Variable rates start from 5.99% p.a. (7.12% p.a. comparison rate*), and you can choose a loan term between 3 to 7 years. The provider also says you can receive approval within 24 hours, which could cut down the time you have to wait before heading to a car dealership.

Keep in mind that this car loan includes a $400 one-off application fee and an $8 monthly service fee.

Unsecured car loan: our pick

Mozo may receive payment if you click products on our site. Mozo does not compare the entire market.
Important disclosures and comparison rate warning*
Revolut Unsecured Personal Loan
  • Fixed rates from 6.17% p.a. (6.17% comparison rate*)
  • No monthly fees or penalties for early repayments
  • Apply and manage everything in-app

Competitive fixed rates for borrowers on 1-7 year loans from $5,000 up to $50,000. $0 monthly fees and no early repayment fees to pay. Fast application process on the Revolut app. According to Revolut and subject to loan approval, receive your money into your Revolut account straight away.

You may be charged an upfront establishment fee for processing a new loan application. The establishment fee will only be charged once your loan is funded, and will be added to your total loan amount. Revolut says it will make it clear upfront whether establishment fees apply when you get a quote.

Car loan over $20,000: Mozo Experts Choice Award-winning provider

Mozo may receive payment if you click products on our site. Mozo does not compare the entire market.
Important disclosures and comparison rate warning*
Police Credit Union Better Car Loan (secured)
  • Fixed rate of 5.99% p.a. (6.40% p.a. comparison rate*)
  • Available for new and used cars
  • No monthly or annual fees

  • $295 application fee
Find out more

Chosen from: 2025 Mozo Experts Choice Awards

Police Credit Union was named Australia’s best credit union in the Mozo Experts Choice Awards, and its car loan is available for new and used cars, as well as caravans, motorcycles, boats and trailers.

It has a competitive fixed rate of 5.99% p.a. (6.40% p.a. comparison rate*), and you must be borrowing a minimum of $20,000 to apply.

There are no monthly or annual fees with this loan, and if you have cash to spare to make extra repayments, there’s no penalty for paying off your loan early – excellent news. However, there is a $295 application fee to consider.

Mozo may receive payment if you click products on our site. We don’t compare the entire market, but you can search our database of 91 car loans using the filters.
Last updated 14 November 2025 Important disclosures and comparison rate warning*

Car loan comparisons on Mozo

  • Promoted

    Car Loan

    • Variable, Secured
    Interest rate from
    5.99 % p.a.
    Comparison rate from
    7.12 % p.a.
    Based on $30,000 over 5 years
    Monthly repayment
    $608
    Go to site

    Low variable car loan rate for purchasing new and demo vehicles from dealers. Personalised loan amounts between $5,000 and $150,000. Flexible repayment options. Choose between the 3 to 7 year loan terms. Good credit history. Stable employment history and Australian citizenship or PR required.

  • Promoted

    New Car Loan

    • up to 4 years old, Fixed, Secured
    Interest rate from
    5.99 % p.a.
    Comparison rate from
    6.34 % p.a.
    Based on $30,000 over 5 years
    Monthly repayment
    $608
    Go to site

    Fast online conditional approval. No monthly account fee. Unrestricted additional repayments. No penalty for early payout, and a fast application process. Borrow up to $125,000. Apply online in under 10 minutes.

  • Promoted

    Used Car Loan

    • Fixed, Secured, No vehicle age limit, $5,000-$100,000
    Interest rate from
    6.28 % p.a.
    to
    18.99 % p.a.
    Comparison rate from
    6.28 % p.a.
    to
    21.78 % p.a.
    Based on $30,000 over 5 years
    Monthly repayment
    $611
    Go to site

    Get a competitive fixed interest rate on a secured used car loan of up to $100,000 depending on your credit score. No vehicle age limits. Easy online application. Fast pre-approval. Pre-approved funds held for 1 month. No monthly account keeping fees, no exit fees and no early repayment fees. Flexible weekly, fortnightly or monthly repayments on terms from 1 to 7 years.

  • Promoted

    Express Personal Loan

    • Secured
    Interest rate from
    16.95 % p.a.
    to
    29.95 % p.a.
    Comparison rate from
    32.99 % p.a.
    to
    45.5 % p.a.
    Based on $10,000 over 3 years
    Monthly repayment
    $713
    Go to site

    Access fast finance on loans from $3,000 to $25,000 with a Jacaranda Finance Personal Loan. Terms from 25-36 months. Check if you qualify with no impact on your credit score. Enjoy a speedy, online approval.

  • Promoted

    New Car Loan

    • Fixed, Secured, $5,000-$100,000
    Interest rate from
    6.28 % p.a.
    to
    18.99 % p.a.
    Comparison rate from
    6.28 % p.a.
    to
    21.78 % p.a.
    Based on $30,000 over 5 years
    Monthly repayment
    $611
    Go to site

    Get a competitive fixed interest rate on a secured new car loan of up to $100,000 depending on your credit score. Easy online application. Fast pre-approval. Pre-approved funds held for 1 month. No monthly account keeping fees, no exit fees and no early repayment fees. Flexible weekly, fortnightly or monthly repayments on terms from 1 to 7 years.

  • Promoted

    Car Loan

    • Fixed, Secured
    Interest rate from
    6.54 % p.a.
    Comparison rate from
    7.67 % p.a.
    Based on $30,000 over 5 years
    Monthly repayment
    $613
    Go to site

  • Unsecured Personal Loan

    • Fixed
    Interest rate from
    5.76 % p.a.
    to
    24.03 % p.a.
    Comparison rate from
    5.76 % p.a.
    to
    24.52 % p.a.
    Based on $30,000 over 5 years
    Monthly repayment
    $606
    Go to site

    Fast, easy and 100% online, this is a low cost loan with no ongoing fees or extra repayment penalties. It's perfect for savvy borrowers with great credit. If you’re over 18 and earn above $30,000, you could qualify (other eligibility criteria may apply).

  • Debt Consolidation Loan

    Interest rate from
    5.76 % p.a.
    to
    24.03 % p.a.
    Comparison rate from
    5.76 % p.a.
    to
    24.52 % p.a.
    Based on $30,000 over 5 years
    Monthly repayment
    $606
    Go to site

    Roll multiple debts into one loan to streamline your finances with one set of repayments and one interest rate. Competitive fixed interest rates with no monthly or early repayment fees and flexible repayment options. Easy online application and funding in as little as 24 hours (subject to approval).

  • New Car Loan

    • up to 4 years old, Fixed, Secured
    Interest rate from
    5.99 % p.a.
    Comparison rate from
    6.34 % p.a.
    Based on $30,000 over 5 years
    Monthly repayment
    $608
    Go to site

    Fast online conditional approval. No monthly account fee. Unrestricted additional repayments. No penalty for early payout, and a fast application process. Borrow up to $125,000. Apply online in under 10 minutes.

  • Car Loan

    • Variable, Secured
    Interest rate from
    5.99 % p.a.
    Comparison rate from
    7.12 % p.a.
    Based on $30,000 over 5 years
    Monthly repayment
    $608
    Go to site

    Low variable car loan rate for purchasing new and demo vehicles from dealers. Personalised loan amounts between $5,000 and $150,000. Flexible repayment options. Choose between the 3 to 7 year loan terms. Good credit history. Stable employment history and Australian citizenship or PR required.

Showing 8 results from 91 car loans. Use the filters to see more

CAR LOANS INFORMATION AND RESOURCES

Secured vs unsecured car loans

A secured car loan means that if you’re unable to make your car repayments, your lender can seize the car and sell it to recoup its costs.

Secured car loans typically come with lower interest rates because your car is used as security (or collateral) for the loan, similar to how your property acts as security if you default on mortgage repayments.

On the other hand, an unsecured car loan doesn’t use your vehicle as security if you can’t make your repayments.

Unsecured car loans can be more risky to lenders, which means they tend to come with higher interest rates. Note that in some situations when using a car loan to buy an older vehicle, the used car might not be eligible as security and your lender might only offer you an unsecured loan.

Fixed rate vs variable rate car loans

Car loans come with either a fixed or variable rate, though the majority of car loans in our database come with a fixed rate:

Fixed rate car loans

Your car repayments will remain the same throughout your loan term with a fixed rate, which gives you certainty and can help you plan your budget. You’ll be safe from interest rate rises, but you won’t benefit from rate cuts either. Fixed car loans often come with perks associated with variable rates, such as free extra repayments.

Variable rate car loans

A variable rate car loan means your car repayments can change over time. Variable rates tend to fluctuate in line with the Reserve Bank of Australia’s (RBA) official cash rate, but the decision to pass on rate rises or rate cuts is ultimately up to your lender.

Bank car loans vs dealership finance: what’s the difference?

When you head to a dealership to buy a new car, you’ll probably be offered dealership finance to make your purchase. It can differ in some ways to a car loan you get through a bank or online lender – here’s what to keep in mind:

Car loan

Depending on the bank or lender, a car loan can be used on a wider range of vehicles, including new, used and classic cars, to motorcycles, caravans and more. The number of providers on the market means you can shop around and compare rates before heading to the seller. This may give you more choice on the terms and features of the loan, but it does require more effort on your behalf.

Car dealership finance

May be a more convenient option and allows you to go over the terms of the loan in person. Interest rates can be lower through dealership finance, but pay close attention to the comparison rate to get a more accurate understanding of the loan’s true cost. If advertised interest rates are low, consider what terms are the cause, such as a balloon payment.

What’s a balloon payment?

Some car loans and dealer finance come with a balloon payment, which is a lump sum you’ll need to repay at the end of a loan.

If your car loan comes with a balloon payment, you can expect your monthly repayments to be relatively low, but you’ll be up for a large one-off payment at the end of your loan term.

On top of this, the balloon payment still attracts interest. This means that while the lump sum payment is delayed until the end of your loan, you’ll likely end up paying more in interest than you would have if the loan was repaid evenly over time.

What to look for when comparing car loans

Interest rate

Used to calculate how much interest you’ll be charged on the amount you borrow. It’s a good starting point, but it doesn’t factor in additional fees you might need to pay. Also consider how the interest rate will affect the balloon payment (if applicable).

Comparison rate

Indicates the true cost of a loan at a glance. It combines the interest rate, along with most fees and charges into one simplified percentage figure, making it easier to compare car loans from multiple lenders.

Fees

Car loans or dealership finance can come with fees attached. Some to look out for are application fees, monthly fees and early repayment penalties.

Loan length

Car loans typically come with terms that range between 1-7 years. A shorter loan term will give you higher repayments, while a longer term will likely make your monthly repayment amount lower. The longer the term, the more interest you’re likely to pay.

Car loans: FAQs

What is a car loan?

A car loan is a type of personal loan that’s used for purchasing a new or used vehicle. These loans are usually repaid with an interest rate over a period ranging from 1 to 7 years, and the vehicle being purchased can act as security for the loan.

What’s the difference between a car loan and a personal loan?

A personal loan can be used for a variety of purchases including holidays, home renovations, a new car or a wedding. A car loan can only be used to purchase a vehicle, such as a car, motorcycle or caravan.

Some car loans use the vehicle you’re purchasing as security for the loan, which means the car can be repossessed and sold if you default on repayments. Unsecured car loans are also available, but they may come with higher interest rates as they are deemed riskier to lenders.

Personal loans can also be secured or unsecured, depending on whether or not you provide an asset to act as security (or collateral) for the loan.

What do repayments look like for a $30,000 car loan?

The repayments for a car loan vary depending on a number of factors, including:

  • loan amount
  • loan term
  • interest rate
  • upfront or ongoing fees

For example, let’s say you take out a $30,000 car loan and agree to pay it back over 5 years. If you have an interest rate of 8.00% p.a. and pay no monthly fees, your repayment will be $608 a month.

To find out how much car loan repayments might look like for you, find these details and use our car loan repayment calculator.

Why are secured car loans cheaper?

Secured car loans can cost less than unsecured car loans because the asset being purchased (the vehicle) acts as security for the loan, and the lender can repossess it if you default on repayments.

In return for this security, banks and lenders tend to offer more competitive rates, so you end up paying less in interest.

* WARNING: The Comparison Rate combines the lender's interest rate, fees and charges into a single rate to show the true cost of a personal loan. The comparison rates displayed are calculated based on a loan of $30,000 for a term of 5 years or a loan of $10,000 for a term of 3 years as indicated, based on monthly principal and interest repayments, on a secured basis for secured loans and an unsecured basis for unsecured loans. This comparison rate applies only to the example or examples given. Different amounts and terms will result in different comparison rates. Costs such as redraw fees or early repayment fees, and cost savings such as fee waivers, are not included in the comparison rate but may influence the cost of the loan.

Mozo provides general product information. We don't consider your personal objectives, financial situation or needs and we aren't recommending any specific product to you. You should make your own decision after reading the PDS or offer documentation, or seeking independent advice.

While we pride ourselves on covering a wide range of products, we don't cover every product in the market. If you decide to apply for a product through our website, you will be dealing directly with the provider of that product and not with Mozo.