Australia’s Best Car Loans for November 2021


As the days tick down towards the end of the year and the country continues to emerge from COVID-induced restrictions, plenty of Australians will be dreaming about hitting the road for the first time in months for a summer holiday or to visit relatives. Some will even be looking for some new wheels to do so.

Whether it’s a new or used vehicle, the good news for car buyers looking to finance their purchase is that car loans interest rates are at some of the lowest levels they’ve been in years. For instance, the average rates in the Mozo database are just 5.95% for a new car loan and 6.57% for a used car loan - the lowest in at least two years. And there are lenders offering rates starting with a ‘4’ and even a ‘3’, especially for borrowers with great credit history or for hybrid and electric vehicle (EV) buyers.

But with so much competition around, how can you narrow down your choices to find a great car loan match? Features like a low interest rate, low fees and payment flexibility will tick a lot of boxes, but at the end of the day there’s no simple answer when it comes to finding the best car loan - that will come down to your own needs and financial situation.

What we have done though is rounded up a range of different loan options. These include some of the best car loan winners from our 2022 Mozo Experts Choice Personal Loan Awards^, plus winners from our 2021 Mozo People’s Choice Awards^ and a few of the car loans which have recently caught the eyes of the Mozo editors.

Best car loans for November 2021

Expert recommendations: Mozo Experts Choice Award-winning best car loans


Throughout the year our team of in-house experts assess a range of banking and financial products as part of the Mozo Experts Choice Awards, including car loans. For the 2022 Mozo Experts Choice Personal Loan Awards our judges analysed 338 personal loan products from 82 Australian financial institutions based on data in Mozo’s product database, naming winners in categories such as best New Car Loan, best Used Car Loan and best Green Car Loan. Here are some of those award winners:

Best Used Car Loan

OurMoneyMarket - Car Loan
  • Fixed rates from 5.35% p.a. (5.65% p.a. comparison rate*)
  • No monthly fees
  • Extra repayments allowed

Online lender OurMoneyMarket’s Car Loan impressed our judges enough to be named a best Used Car Loan winner in the 2022 Mozo Experts Choice Awards^. Borrowers will be able to access fixed rates from as low as 5.35% p.a. (5.65% p.a. comparison rate*) depending on their credit history, and they won’t need to worry about forking out any monthly service fee. There is an application fee which can vary from $250 to 1.5% of the loan size though. Loans can be taken out over a 1-7 year period with a borrowing range of $2,001 and $75,000, and OurMoneyMarket customers can make extra repayments towards their loan.

Heritage Bank - Car Loan
  • 4.89% p.a. (5.53% p.a. comparison rate*) fixed interest rate
  • Make extra repayments for free
  • Borrow up to $100,000
Find out more

Heritage Bank’s Car Loan was named by our judges as a 2022 Mozo Experts Choice Award^ winner for best Used Car Loan - and with a competitive fixed interest rate of just 4.89% p.a. (5.53% p.a. comparison rate*), it’s not hard to see why. With amounts from $5,000 - $100,000 available, the loan could be used to fund vehicle purchases big and small, and loans can be taken out over 1-7 years. Borrowers will also be able to make extra repayments towards their balance to pay it off faster. The loan does come with a $200 application fee and $5 monthly service fee, but just remember, it was judged as one of the best value loans in our database even with those costs.

Best Green Car Loan - Clean Green Car Loan
  • 4.29% p.a. (4.83% p.a. comparison rate*) fixed interest rate
  • Loans from $5,000 to $100,000
  • Further rate discounts for homeowners

In the market for an electric or hybrid vehicle? Well you may want to get to know the Clean Green Car Loan from - winner of our 2022 Mozo Experts Choice Award^ for best Green Car Loan. The loan can be used to purchase eligible electric and hybrid vehicles, with loan amounts ranging from $5,000 to $100,000 and terms from 3-5 years. The Clean Green Car Loan also features a fixed interest rate of just 4.29% p.a. (4.83% p.a. comparison rate*), plus homeowners can access even lower rates. While borrowers won’t have to worry about paying any ongoing service fee, there is a $400 application fee to consider.

Best Excellent Credit Used Car Loan

Wisr - Secured Car Loan
  • Fixed rates from 4.74% p.a. (5.01% p.a. comparison rate*)
  • Flexible repayment options
  • Borrow between $5,000 and $64,000

One of just two winners in our Excellent Credit Used Car Loan category, the Secured Car Loan from Wisr features fixed rates starting from as low as 4.74% p.a. (5.01% p.a. comparison rate*) for borrowers with a top-notch credit history. Car buyers can borrow $5,000 to $64,000 with the loan over terms ranging from 3-7 years. One of the benefits of the loan is that there’s no ongoing service fee to add to your costs, though there is a $195 application fee to consider. Wisr also offers its Secured Car Loan customers the flexibility to make their repayments on a weekly, fortnightly or monthly basis, and extra repayments can also be made.

Customer Favourites: Best car loans from Mozo People’s Choice Award winners


For the Mozo People's Choice Awards, we ask everyday Australians about their own banks, energy providers and insurance companies in order to help reveal the country’s favourite financial and household service providers. Participants are asked to rate their providers on everything from trust, satisfaction, customer service and whether or not they’d recommend them to friends or family. Take a look at some of the 2021 winners and the car loan options they have on offer:

Great Southern Bank - Secured Car Loan
  • 6.79% p.a. (7.16% p.a. comparison rate*) fixed interest rate
  • Zero service fee
  • Make extra repayments and redraws

Great Southern Bank (formerly CUA) was named a double winner in our 2021 Mozo People’s Choice Awards^, taking out wins in the Excellent Customer Service and Highly Trusted categories. Its Secured Car Loan offers a fixed rate of 6.79% p.a. (7.16% p.a. comparison rate*), with eligible car buyers able to borrow amounts from $5,000 up to $100,000 over terms of 1-7 years. There is a $265 application fee to budget for, but the good news is that there’s no monthly service fee! Great Southern Bank also gives customers the option of making extra loan repayments, and there’s even a redraw facility available.

Greater Bank - New Car Loan
  • 4.98% p.a. (5.36% p.a. comparison rate*) fixed interest rate
  • Borrow up to $100,000
  • Make additional repayments and redraws
Find out more

To say that Greater Bank is popular with its customers may be an understatement, because it took out Mozo People’s Choice Awards^ in five categories: Outstanding Customer Satisfaction, Excellent Customer Service, Highly Trusted, Mobile Banking Experience and Most Recommended. Greater Bank’s New Car Loan may also prove a hit with new car buyers, as it offers a competitive fixed rate of 4.98% p.a. (5.36% p.a. comparison rate*) and doesn’t come with any monthly service fee. There is a $275 application fee though. Borrowers can choose a loan term from 1-7 years and loan amounts between $5,000 and $100,000, plus extra repayments and redraws are both available.

Editor’s pick of the month: best car loan deals on Mozo in November


If you’re interested in comparing even more options, our editors have wrapped up a selection of car loan deals from our partners which really stood out to them. Of course, you can also expand your search further on our car loan comparison hub where you’ll be able to browse through the 180+ car loans being tracked in the Mozo database.

Special home owner rates - New Car Loan
  • 4.99% p.a. (5.53% p.a. comparison rate*) fixed interest rate
  • Special rates for home owners
  • Borrow up to $100,000

With a fixed rate of 4.99% p.a. (5.53% p.a. comparison rate*), is already offering one of the most competitive rates in our database with its New Car Loan. But the online lender is also offering even lower rates to home owners looking to purchase a new vehicle, with fixed rates from just 3.99% p.a. (4.53% p.a. comparison rate*) available to eligible borrowers. The New Car Loan has loan amounts from as little as $5,000 up $100,000 available, though borrowers will need to pay their loan back over a term of 3 to 5 years. And while there are no monthly or annual services fees to worry about, the New Car Loan does come with a $400 application fee.

Sharp rates for excellent credit history

Plenti - Car Loan
  • Fixed rates from 4.89% p.a. (5.44% p.a. comparison rate*)
  • Make additional loan repayments
  • No service fee

If you’re on the hunt for a new set of wheels then you may want to take a closer look at online lender Plenti’s Car Loan. The loan comes with some seriously sharp fixed rates starting at just 4.89% p.a. (5.44% p.a. comparison rate*) for borrowers with excellent credit history. There’s also plenty (get it?) of flexibility, with car buyers able to access loans from $10,001 all the way up to $100,000 on loan terms between 3 - 7 years, although repayments must be made on a monthly basis. And speaking of repayments, borrowers can make extra repayments towards their loan in order to pay it off faster. Finally, there’s zero monthly fee, though there is a $399 application fee.

Society One - Car Loan (Excellent Credit)
  • Fixed rates from 4.95% p.a. (5.64% p.a. comparison rate*)
  • Loans from $5,000 to $70,000
  • Extra repayments option

Online lender Society One offers personalised rates with its Car Loan (Excellent Credit) which, as the name implies, gives borrowers with excellent credit access to fixed rates from as low as 4.95% p.a. (5.64% p.a. comparison rate*). With the secured option, eligible car buyers will be able to borrow between $5,000 and $70,000 over 2-7 year loan terms, or between $5,000 and $50,000 over 2-5 year loan terms with the unsecured option. Borrowers may appreciate the option of being able to make extra repayments on their loan, as well as the lack of any ongoing service fee, but it’s worth noting that there is a $495 establishment fee.

Most common FAQs about car loans

What kind of car loan can I get?

When comparing loans you’ll notice that there are different types of car loans available based on the type of car you’re buying and how you want to secure the loan. These distinctions are important - not only so you can identify the type of loan that’s right for your situation, but because they can impact the interest rate you receive.

  • New vs used car loans - On the surface the difference between new and used car loans is pretty obvious: new car loans are used to finance new car purchases while used car loans are for the purchase of second-hand cars. But it’s worth knowing that new car loans typically come with lower interest rates than used car loans. 
  • Secured vs unsecured - If you opt for a secured car loan your vehicle will be used as collateral against the loan, so if you default, your lender will be able to take possession of the car. Unsecured loans, as the name suggests, don’t require security. However, because unsecured car loans are deemed riskier by lenders, the interest rates offered with them tend to be higher.
What are the best car loan features I should look out for?

When searching for a loan it can help to identify the car loan features which will help you best achieve your goals. Aside from actually buying a vehicle, these could include making sure that your loan costs are as low as possible, or paying off your loan as quickly as you can. To do that, you may want to find a loan that offers:

  • A low interest rate: The lower the interest rate, the lower your repayments will be. Though it’s always worth looking at the comparison rate too, because this also takes into account fees and other costs attached to the loan. 
  • Low or no fees: Similar to nabbing a low interest rate, finding a car loan with low fees or even zero fees can help you reduce your overall costs. 
  • Repayment flexibility: Repayment flexibility can mean different things. It could mean being able to make repayments on a schedule that suits your budget (e.g. weekly, fortnightly or monthly), or it could be having the option of making extra repayments towards your balance so you can pay it off faster. 
  • Loan term: Car loan terms typically range from 1-7 years. Striking the right balance when choosing a loan term can be important, because while you may need to make larger repayments on a shorter loan term you’ll also reduce the amount of total interest you pay (assuming rates are the same).
What’s best, a fixed rate or a variable rate car loan?

The best type of interest rate to opt for with a car loan will depend on your own needs. For instance, if you want to know exactly how much you’ll need to make in terms of loan repayments then a fixed rate may be a good choice. Otherwise if you’re happy to be more flexible and make the most of any interest rate drops that come about, a variable rate may be what you’re after. Of course, interest rates can always jump higher too.

Which bank has the best car loan rates?

Because of the fluctuating nature of interest rates it’s difficult to highlight any one loan which has the lowest (or ‘best’) interest rate. After all, lenders can change their interest rates at any time, so a rate that’s competitive one week may not be the next. 

And not every borrower will have access to some of the lowest rates on offer. For example, many lenders offer personalised rates based on a customers’ credit history, which is why you may see an interest rate range, rather than a single rate, next to a car loan.

Can I refinance my car loan to a better rate?

Yes, in many situations you will be able to refinance your car loan to another lender. However, you’ll have to weigh up whether it’s worthwhile. While you may be able to reduce your repayments by switching to a loan with a lower rate, you’ll need to factor in the costs of switching, including any exit or break fees with your existing lender or application fees with your new lender. If you are interested in making the switch, check out our dedicated refinance car loan comparison table to compare offers.

How can I get the best deal on a car loan?

There’s no single best car loan deal out there - it’s all about what you want as a borrower. That’s why taking the time to figure out which type of loan you need, the features you want, and then comparing a range of options can be a good way of finding the ‘best’ loan for you. As the team at ASIC’s Moneysmart says, “Most people shop around before they choose a car. You should also shop around before you choose a car loan. It can save you thousands in interest and help you pay off your car faster.”

Comparing award-winning car loans - like the ones we’ve laid out above - could be one place to find a great value loan, otherwise if you’re ready to cast your eyes over even more offers then why not head on over to the Mozo car loan comparison hub where you can compare over 180 different car loans.

Are these car loans best for me?

We have provided some of our editor’s picks and information about products which have got Mozo’s tick of approval through the Mozo Experts Choice and Mozo People’s Choice Awards. At the end of the day though, you will need to consider your own priorities and financial needs in order to identify which options are best for you. Be sure to read the information provided on a product issuer’s website before making a decision.

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.