Don’t get taken for a ride on your car loan

Choosing the right car loan can be tricky to navigate. From interest rates and fees to selecting the perfect loan term, there's a lot to think about.
So no matter if you opt to borrow from a traditional bank or an online lender, there are a bunch of dos and don'ts on getting a car loan you should know about, to avoid being taken for a ride.
Read on to find out Mozo’s expert car loan tips and compare top car loan deals on offer right now…
Car loan dos:
- Compare car loan interest rates: By weighing up your options across a number of lenders you give yourself a good chance of snagging a deal. Also remember, some lenders offer tiered rates that reward customers for having a good credit rating.
- Look beyond the big banks: Right now, the lowest car loan rate from the big four on the Mozo database starts with the number 6, meanwhile the lowest car loan rate from a smaller lender starts with the number 3. However, it’s still important to weigh up all your options to ensure the product you choose is suitable for you.
- Make sure you can make extra repayments at no extra cost: It’s always a good idea to take out a loan that allows you to make free extra repayments whenever you can, should you have some extra cash. Just be mindful, some loans come with early repayment penalties if you pay your entire loan off ahead of time.
Car loan don’ts:
- Beware of introductory car loan rates: Some car loans advertise a low intro rate, but keep in mind that after a period of time this rate will be hiked up, meaning so will your interest repayments.
- Watch out for multiple fees: While an application fee, a monthly charge and early repayment penalty may seem like small costs separately, when added up they could end up costing you thousands. For example, a $10 monthly fee might not sound like much but over a 5-year loan you’d end up $600 out of pocket on top of the interest you pay and any other fees.
- Remember, the longer the loan the more interest you pay: If you can and if it's feasible for you, opt for a shorter loan term. While your regular repayments may be higher it’ll save you in the long run as it means you’ll fork out less in interest. Just remember, only opt for this if you can afford a shorter term without compromising your everyday finances.
LOW RATE CAR LOANS MAY 2021 - last updated 13 August 2022
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New Car Loan - Special
Home Owner Discount, Including Demo, Fixed, Secured
Interest rate
comparison rate
Monthly repayment5.69% p.a.6.24% p.a.based on $30,000
over 5 yearsEligible for homeowners only. Low fixed car loan rate for purchasing new and demo vehicles from dealers. There is no monthly or ongoing fees and early payout options available. Winner of Mozo's Experts Choice Car Loan 2021 award^.
Repayment terms from 3 years to 5 years. Representative example: a 5 year $30,000 loan at 5.69% would cost $34,940.17 including fees.
CompareCompare- Interest rate
- 5.69% p.a.
- comparison rate
- 6.24% p.a.based on $30,000
over 5 years
- Interest rate
- 5.69% p.a.
- comparison rate
- 6.24% p.a.based on $30,000
over 5 years
- Upfront fees
- $400
- Monthly fee
- $0.00
- Exit fee
- $0.00
- Repayment options
- Weekly, Fortnightly, Monthly
- Early repayment penalty
- $700.00
- Minimum loan amount
- $5,000.00
- Maximum loan amount
- $100,000.00
- Minimum loan term
- 3 Years
- Maximum loan term
- 5 Years
- Security required
- Vehicle
Read our Mozo Review to learn more about the loans.com.au New Car Loan - Special
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Car Loan
Fixed, Secured
Interest rate
comparison rate
Monthly repayment6.25% p.a.6.87% p.a.based on $30,000
over 5 yearsAvailable for all New and Used cars up to 7 years. A quick and easy, 100% online application with loans up to $75,000. No printing. No paper. No fuss. No monthly account keeping fees, no exit fees and no early repayment fees.
Repayment terms from 1 year to 7 years. Representative example: a 5 year $30,000 loan at 6.25% would cost $35,258.67 including fees.
CompareCompare- Interest rate
- 6.25% p.a.
- comparison rate
- 6.87% p.a.based on $30,000
over 5 years
- Interest rate
- 6.25% p.a.
- comparison rate
- 6.87% p.a.based on $30,000
over 5 years
- Upfront fees
- $250
- Monthly fee
- $0.00
- Exit fee
- $0.00
- Repayment options
- Weekly, Fortnightly, Monthly
- Early repayment penalty
- 0
- Minimum loan amount
- $2,001.00
- Maximum loan amount
- $75,000.00
- Minimum loan term
- 1 Year
- Maximum loan term
- 7 Years
- Security required
- Vehicle
Read our Mozo Review to learn more about the OurMoneyMarket Car Loan
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Clean Green Car Loan
Home Owner Discount, New or Used, Fixed, Secured
Interest rate
comparison rate
Monthly repayment4.99% p.a.5.54% p.a.based on $30,000
over 5 yearsNo monthly or ongoing fees. Get a 0.70% discount on your car loan interest rate if you buy a qualifying green car. Winner of Mozo's Experts Choice Green Car Loan 2021 award^.
Repayment terms from 3 years to 5 years. Representative example: a 5 year $30,000 loan at 4.99% would cost $34,359.97 including fees.
CompareCompare- Interest rate
- 4.99% p.a.
- comparison rate
- 5.54% p.a.based on $30,000
over 5 years
- Interest rate
- 4.99% p.a.
- comparison rate
- 5.54% p.a.based on $30,000
over 5 years
- Upfront fees
- $400
- Monthly fee
- $0.00
- Exit fee
- $0.00
- Repayment options
- Weekly, Fortnightly, Monthly
- Early repayment penalty
- $700.00
- Minimum loan amount
- $5,000.00
- Maximum loan amount
- $100,000.00
- Minimum loan term
- 3 Years
- Maximum loan term
- 5 Years
- Security required
- Vehicle
Read our Mozo Review to learn more about the loans.com.au Clean Green Car Loan
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Used Car Loan
Fixed, Secured
Interest rate
comparison rate
Monthly repayment7.99% p.a.8.60% p.a.based on $30,000
over 5 yearsEnjoy a quick application process and no monthly fees on NRMA used car loans. Finance also available motorcycles, caravans and motorhomes. Low fixed interest rates with terms of up to seven years. Plus, NRMA Blue Member benefits apply so you could enjoy even lower rates as an NRMA Member**.
Repayment terms from 1 year to 7 years. Representative example: a 5 year $30,000 loan at 7.99% would cost $36,987.90 including fees.
CompareCompare- Interest rate
- 7.99% p.a.
- comparison rate
- 8.60% p.a.based on $30,000
over 5 years
- Interest rate
- 7.99% p.a.
- comparison rate
- 8.60% p.a.based on $30,000
over 5 years
- Upfront fees
- $499
- Monthly fee
- $0.00
- Exit fee
- $0.00
- Repayment options
- Fortnightly, Monthly
- Early repayment penalty
- $325 (no fee payable in the last 6 months of the loan term).
- Minimum loan amount
- $5,000.00
- Maximum loan amount
- -
- Minimum loan term
- 1 Year
- Maximum loan term
- 7 Years
- Security required
- Vehicle
Read our Mozo Review to learn more about the NRMA Used Car Loan
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Used Car Loan
Home Owner Discount, Dealer Only, Up to 5 years old, Fixed, Secured
Interest rate
comparison rate
Monthly repayment6.49% p.a.7.04% p.a.based on $30,000
over 5 yearsEligible for homeowners only. Low fixed car loan rate for purchasing new and demo vehicles from dealers. There is no monthly or ongoing fees and early payout options available. Winner of Mozo's Experts Choice Car Loan 2021 award^.
Repayment terms from 3 years to 5 years. Representative example: a 5 year $30,000 loan at 6.49% would cost $35,610.64 including fees.
CompareCompare- Interest rate
- 6.49% p.a.
- comparison rate
- 7.04% p.a.based on $30,000
over 5 years
- Interest rate
- 6.49% p.a.
- comparison rate
- 7.04% p.a.based on $30,000
over 5 years
- Upfront fees
- $400
- Monthly fee
- $0.00
- Exit fee
- $0.00
- Repayment options
- Weekly, Fortnightly, Monthly
- Early repayment penalty
- $700.00
- Minimum loan amount
- $5,000.00
- Maximum loan amount
- $100,000.00
- Minimum loan term
- 3 Years
- Maximum loan term
- 5 Years
- Security required
- Vehicle
Read our Mozo Review to learn more about the loans.com.au Used Car Loan
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Secured Car Loan
Fixed
Interest rate
comparison rate
Monthly repayment7.09% p.a.to 14.99% p.a.7.93% p.a.to 13.88% p.a.based on $30,000
over 5 yearsLow personalised rates, ideal for borrowers with excellent credit. No monthly account fees, no early payout fees, so you can pay off your loan sooner. Borrow between $5,000 and $79,000. Easy online application, receive a response in minutes and approved funds within 24-48 hours!
Repayment terms from 3 years to 7 years. Representative example: a 5 year $30,000 loan at 7.09% would cost $36,323.64 including fees.
CompareCompare- Interest rate
- 7.09% p.a.to 14.99% p.a.
- comparison rate
- 7.93% p.a.to 13.88% p.a.based on $30,000
over 5 years
- Interest rate
- 7.09% p.a.to 14.99% p.a.
- comparison rate
- 7.93% p.a.to 13.88% p.a.based on $30,000
over 5 years
- Upfront fees
- $605
- Monthly fee
- $0.00
- Exit fee
- $0.00
- Repayment options
- Weekly, Fortnightly, Monthly
- Early repayment penalty
- $0.00
- Minimum loan amount
- $5,000.00
- Maximum loan amount
- $79,000.00
- Minimum loan term
- 3 Years
- Maximum loan term
- 7 Years
- Security required
- Vehicle
Read our Mozo Review to learn more about the Wisr Secured Car Loan
-
Used Car Loan
Dealer Only, Up to 5 years old, Fixed, Secured
Interest rate
comparison rate
Monthly repayment7.49% p.a.8.04% p.a.based on $30,000
over 5 yearsUsed Car Loan with no monthly or ongoing fees, with a fixed rate for the life of the loan. Fast online application.
Repayment terms from 3 years to 5 years. Representative example: a 5 year $30,000 loan at 7.49% would cost $36,459.75 including fees.
CompareCompare- Interest rate
- 7.49% p.a.
- comparison rate
- 8.04% p.a.based on $30,000
over 5 years
- Interest rate
- 7.49% p.a.
- comparison rate
- 8.04% p.a.based on $30,000
over 5 years
- Upfront fees
- $400
- Monthly fee
- $0.00
- Exit fee
- $0.00
- Repayment options
- Weekly, Fortnightly, Monthly
- Early repayment penalty
- $700.00
- Minimum loan amount
- $5,000.00
- Maximum loan amount
- $100,000.00
- Minimum loan term
- 3 Years
- Maximum loan term
- 5 Years
- Security required
- Vehicle
Read our Mozo Review to learn more about the loans.com.au Used Car Loan
-
Car Loan
Up to 7 years old, Fixed, Secured
Interest rate
comparison rate
Monthly repayment5.39% p.a.6.03% p.a.based on $30,000
over 5 yearsPurchase or refinance a new or used vehicle, up to five years old. Choose a loan term from one to seven years. To be eligible you must be over 18, receiving a regular income and an Australian resident.
Repayment terms from 1 year to 7 years. Representative example: a 5 year $30,000 loan at 5.39% would cost $34,790.78 including fees.
CompareCompare- Interest rate
- 5.39% p.a.
- comparison rate
- 6.03% p.a.based on $30,000
over 5 years
- Interest rate
- 5.39% p.a.
- comparison rate
- 6.03% p.a.based on $30,000
over 5 years
- Upfront fees
- $200
- Monthly fee
- $5.00
- Exit fee
- $0.00
- Repayment options
- Weekly, Fortnightly, Monthly
- Early repayment penalty
- 0
- Minimum loan amount
- $5,000.00
- Maximum loan amount
- $100,000.00
- Minimum loan term
- 1 Year
- Maximum loan term
- 7 Years
- Security required
- Vehicle
Read our Mozo Review to learn more about the Heritage Bank Car Loan
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Clean Green Car Loan
New or Used, Fixed, Secured
Interest rate
comparison rate
Monthly repayment5.99% p.a.6.54% p.a.based on $30,000
over 5 yearsNo monthly or ongoing fees. Get a 0.70% discount on your car loan interest rate if you buy a qualifying green car. Winner of Mozo's Experts Choice Green Car Loan 2021 award^.
Repayment terms from 3 years to 5 years. Representative example: a 5 year $30,000 loan at 5.99% would cost $35,190.67 including fees.
CompareCompare- Interest rate
- 5.99% p.a.
- comparison rate
- 6.54% p.a.based on $30,000
over 5 years
- Interest rate
- 5.99% p.a.
- comparison rate
- 6.54% p.a.based on $30,000
over 5 years
- Upfront fees
- $400
- Monthly fee
- $0.00
- Exit fee
- $0.00
- Repayment options
- Weekly, Fortnightly, Monthly
- Early repayment penalty
- $700.00
- Minimum loan amount
- $5,000.00
- Maximum loan amount
- $100,000.00
- Minimum loan term
- 3 Years
- Maximum loan term
- 5 Years
- Security required
- Vehicle
Read our Mozo Review to learn more about the loans.com.au Clean Green Car Loan
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New Car Loan - Special
Home Owner Discount, Including Demo, Variable, Secured
Interest rate
comparison rate
Monthly repayment4.74% p.a.5.29% p.a.based on $30,000
over 5 yearsLow variable car loan rate for purchasing new and demo vehicles from dealers. Extra low rate for qualifying homeowners. Personalised loan amounts between $5,000 and $100,000. Flexible repayment options. Choose between the 3 to 5 year loan terms.
Repayment terms from 3 years to 5 years. Representative example: a 5 year $30,000 loan at 4.74% would cost $34,154.23 including fees.
CompareCompare- Interest rate
- 4.74% p.a.
- comparison rate
- 5.29% p.a.based on $30,000
over 5 years
- Interest rate
- 4.74% p.a.
- comparison rate
- 5.29% p.a.based on $30,000
over 5 years
- Upfront fees
- $400
- Monthly fee
- $0.00
- Exit fee
- $0.00
- Repayment options
- Weekly, Fortnightly, Monthly
- Early repayment penalty
- $700.00
- Minimum loan amount
- $5,000.00
- Maximum loan amount
- $100,000.00
- Minimum loan term
- 3 Years
- Maximum loan term
- 5 Years
- Security required
- Vehicle
Read our Mozo Review to learn more about the loans.com.au New Car Loan - Special
^See information about the Mozo Experts Choice Personal Loan Awards
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