Australian Military Bank car loans

Australian Military Bank
Australian Military Bank's overall rating for car loans

(as rated by the Mozo community)

6.1 / 10

based on 18 reviews

Australian Military Bank is the longest operating financial institution connected to the defence force in Australia. When it comes to providing its customers with credit for car buying purposes, the customer owned bank has 5 car loans on offer. This page is designed to help you understand them, so scroll down and learn more...

Australian Military Bank offers the following car loans

Product Interest rate from Comparison rate from* Upfront fee
Equity Car Loan (Variable)
Australian Military Bank

6.50% p.a.

7.46% p.a.based on $30,000
over 5 years

$180

New Car Loan (Variable)
Australian Military Bank

6.59% p.a.

7.55% p.a.based on $30,000
over 5 years

$180

Unsecured Personal Loan (Variable)
Australian Military Bank

13.40% p.a.

13.62% p.a.based on $30,000
over 5 years

$150

Unsecured Personal Loan (Fixed)
Australian Military Bank

12.99% p.a.

13.21% p.a.based on $30,000
over 5 years

$150

Used Car Loan (Variable)
Australian Military Bank

6.59% p.a.

7.55% p.a.based on $30,000
over 5 years

$180

* 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 for the amounts and terms quoted, based on monthly principal and interest repayments, on a secured basis for secured loans and an unsecured basis for unsecured loans, and apply only to these examples. Different amounts and terms will result in different comparison rates. Full comparison rate schedules are available from lenders. Costs such as redraw fees or early repayment fees, and savings such as fee waivers, are not included in the comparison rate but may influence the cost of the loan.

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Australian Military Bank car loan FAQs

Should I go for a fixed or variable interest rate?

With Australian Military Bank, 4 out of its 5 car loans have variable rates, meaning their interest rates can be increased or decreased while you are still repaying debt. If you want the security that your rate won't change, then you could opt for a fixed rate unsecured loan instead, where the interest is guaranteed for the life of your loan.

The plus side with any Australian Military Bank car loans, is that rates are kept competitively low. Which one will you choose?

Should I secure my car to the loan?

That depends on the car you want to purchase and your personal preference. For instance, if you wanted to go for a vintage set of wheels the ride will not qualify as security, as it needs to be under 5 years old so Australian Military Bank can recoup their losses if you default on your loan.  

New cars (or approved preloved cars up to a certain age) on the other hand, can be written into your loan contract as collateral, and in return you’ll be given a lower interest rate.

What does the “equity car loan” involve?

Want to nab an even more competitive interest rate? Well, if you can hand over 20% of the car purchase price, you may be approved for an “equity car loan”, where your deposit is rewarded in the form of a lower rate.

How much can I borrow?

There are a range of loans to suit the amount you’re looking to borrow, whether it’s just $1k or $80k. Keep in mind that used car loans have a $70k limit, and unsecured fixed rate loans are capped at $50k.

How frequently will I need to make repayments?

Every week, fortnight or month for the length of your contract. You can choose a preferred billing cycle when you first take out the loan.

How long can I take to pay off my loan?

From 1 - 7 years with all car loans detailed on this page, except for the unsecured fixed rate loan, where term lengths can reach a maximum of 5 years.

Can I make extra repayments and use a redraw facility?

Yes, you certainly can with all Australian Military Bank car loans (even the fixed rate version). Another perk is that you won’t be penalised in fees for clearing your debt before required.

What’s the application process like?

Straightforward. Fill out your details online, over the phone or at a branch in person. Make sure you have the following personal bits of info to include, such as:

Once you’ve applied, Australian Military Bank will let you know how you went in a couple of days. Best of luck and enjoy the ride!

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