CUA car loan FAQs
What’s the benefit of a fixed interest rate?
You may have noticed in the table above that CUA offers three car loan types with different fixed rates. With rates like these, you benefit through the peace of mind they give you during your loan term. Unlike variable rates, fixed rates cannot change, so from the moment you take out your loan, you’ll know how much money in interest will go to CUA.
Should I secure my car to a CUA loan?
The only way to take full advantage of CUA’s competitive rates is by securing your vehicle to one of its car loans. If you want to buy a set of wheels over the security age limit of more than seven years, you’ll need to select an unsecured loan instead with a higher rate.
What can the price of my car be?
With CUA car loans, there’s no minimum loan amount requirement, but the maximum is $100k. As the comparison tables detail above, your car’s price tag will influence what rate you are charged at.
What would a CUA car loan repayment look like?
Say you borrowed $25k from CUA to buy a 1 year old car. Based on the comparison rate at the time of writing, over a 5 year term your repayments would be $235. To work out what CUA car loan repayments could look like for your situation, try this nifty car loan repayments calculator.
How often would I make repayments on a CUA car loan?
With CUA car loans, you can choose between weekly, fortnightly and monthly loan repayment dates. This makes it easier on you if you’re keen on aligning repayment dates with pay day.
What do CUA loan terms look like?
They can range from 1 to 7 years. Choose a loan term that reflects what you can comfortably afford to pay on each repayment date.
Can I make more loan repayments?
Yes you can, but there’s no going back once it’s done. You can’t dip into extra repayments through a redraw facility.
What if I want to repay the loan early?
Even though CUA car loans have fixed rates, which generally involve break fees, you won’t be penalised in fees at all for clearing that debt early.
So...CUA doesn’t have a redraw facility?
That’s right, it doesn’t. Some people like to have that kind of flexibility and use it as a means of paying less interest while being able to draw upon the extra funds when needed. If this sounds like you, check out the range of loans we compare at Mozo.
Can I purchase a used car with a CUA loan?
You certainly can, but the age of the car can have interest rate consequences. For instance, if your car is more than 2 years old, your interest rate will be slightly higher than if it was younger. If you want to buy a set of wheels that has been on the road longer than 7 years, you won’t be eligible for a CUA car loan. You could try looking into an unsecured loan instead offered by CUA, or compare similar products at our car loan hub.
What is the consequence of making a repayment late?
It’s always best to avoid making car loan repayments after they’re due, as you can be charged in fees for doing so. Your credit rating is important too, so try your best to protect it by not falling behind on repayments.
How do I apply?
There’s really nothing to it. Just locate the comparison tables where you first started reading and click on a blue “go to site” icon beside the loan product of your choice. It will redirect you to CUA’s online application form and you can apply away!
For a smooth signup process, ensure you have:
- Proof of ID ready to supply
- Details of employment and your yearly salary
- A list of your assets and liabilities
If applying in person is what you’d prefer, head to a local CUA branch. Alternatively, give CUA’s customer service line a ring to apply verbally. Once it’s all done, CUA will notify you on the loan outcome as soon as possible. Generally loan approvals can take a few hours up to several business days.
