Guide to car loans

It’s the end of the financial year and with car dealerships in mega sales mode it can be a great time to snap up a new car bargain. But before you step foot onto the car lot, it’s important to spend some time wising up on dealer finance tactics. Mozo asked car finance expert Rob Chaloner of stratton to highlight some of the most frequent car finance mistakes and how you can avoid them, here’s his advice:

Whether you’re looking for a family car, something to zip around the city or you need a ute for your next adventure, Mitsubishi has a lot of options on offer. And when it comes to financing the vehicle you fancy, there’s plenty of choice there too. It’s all about finding the right loan option for you. Let’s start with the three main options: 

So you’ve decided to buy a Toyota. Oh what a feeling! For years after the first Land Cruiser arrived in Australia in 1958, Toyota has been a popular choice for many drivers. From a reliable Yaris, to a hybrid Prius, to a heavy duty Hilux, there are plenty of options out there. But what choice do you have when it comes to financing your new vehicle? Read on and find out…

Vehicle finance, or car finance, refers to money you borrow in order to purchase a car. Whether you choose to take out a car loan from a bank or from the car dealership, you’ll have to pay what was lent to you over a certain period of time with the addition of interest. 

So you’ve decided to buy your first car. Hello freedom! But there are a few costs to know about first:

There is no doubt about it, cars can be expensive. But for many Aussies access to a car is essential, so the thought of not being able to pay off a car loan can be pretty stressful.

Did you know that there’s such a thing as ‘dealer delivery’? Are you aware that ‘on-road’ costs are sometimes added as a cost on top of what you pay for your car? Among other things, these are just some of the costs you need to be aware of when buying your next car.

You’re buying a car? Well break out the champers! Ok, maybe not yet, because we have a lot of work to do yet. You’re going to have to have a little think about how you’re going to finance your new set of wheels and for how long. It’s all about budget and wishlist. If you can make a compromise somewhere in between then you’ll be cracking out the bubbly in no time. Let’s have a closer look at your options: 

So you’re getting a car loan for a new car. This is exciting! 

Who doesn't love pre-loved? When it comes to cars, opting for a used vehicle often means you're likely looking at a lower price with the added bonus of a little bit of character. 

When considering purchasing a car, the matter of what you can afford is a huge question. First off, you need to determine whether or not you plan to buy the car outright. And if you plan to get a loan, how much money you are willing to sacrifice towards repayments. 

If you can’t afford to upgrade or trade in, repairing your car for any major dings or mechanical problems may be the way to go. But this can come with quite a price tag... So what's an option? A car repair loan!

So you're thinking of selling your car. Whether you're upgrading, giving yourself a little cash injection or just feel like going car-free, if your current vehicle has an outstanding loan, there are a few things you need to know. 

Buying a car, whether new or second hand is an exciting time. 

When buying a car, where do you start? Will your decision be based on the shape, the brand or how many passengers it can carry?

Cars are a necessary part of everyday life that let you get to work, the shops or weekend destinations conveniently. But they can also be expensive and sometimes shelling out a large lump of cash up front isn’t a viable option. That’s where car loans come into play. A car loan can help you get the finance you need, for the car you want.

How exciting! You’re about to apply for a car loan, and get yourself a new set of wheels.

Whether you’re about to apply for a car loan or still just thinking about it, it’s a good thing you’re here.

A car loan could be your saviour when it comes to turning your auto dreams into reality. Whether you choose to take out a car loan from a bank, credit union, peer to peer or online lender there are many terms and phrases or fees and features you may not be aware of.

It’s no secret that your credit score can affect the interest rate you might receive on a car loan. And in some cases it might impact your chances of getting a loan at all. But the question is, what exactly is a “good credit score” to get your hands on a low-rate car loan? Well, that’s up to the lender. You may have heard of tiered car loan interest rates. This is where a car loan lender advertises a loan with a range of rates attached to it, the lowest on offer being available to those with an excellent credit rating and the highest for those with a more unhealthy credit rating. Although, for those with bad credit rating this is still within reason, so remember that it’s up to the lender to decide whether or not to offer you a loan at all. When you apply for the loan, the lender will assess your credit history and rating, and may offer you a rate that depends on that assessment - this is also known as risk-based pricing. Generally speaking, your credit score will range between 0 to 1,000 or 1,200 and the higher it is the better. Essentially, if you have a high credit rating it means that your credit history shows you are less of a risk to potential lenders, which means you’re more likely to get a lower rate.  

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 when it comes to getting a car loan that 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… 

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: 

Yes you can! … if you’re the right type of borrower. According to the Mozo database, three car loan providers are offering fixed and variable rate options that start with a 3 right now. This is extremely competitive, as the current average variable car loan rate on our database is 6.68% across new and used vehicles. Here’s what’s on offer: