8.5 / 10

based on 783 reviews as rated by Mozo community

Teachers Mutual Bank car loans

Since Teachers Mutual Bank opened its doors to workers in the industry over 50 years ago, the provider has grown to offer two secured car loans and an unsecured option. The best part is, these competitive loans are not only offered to current teachers but retired education workers and their families too. If you're considering a variable rate Teachers loan to finance the car of your dreams, you’ve landed on the right page as we’ll run through each one in detail below.

Teachers Mutual Bank offers the following car loans

Rates and fees verified as correct at 05 December, 2020. Other information correct at the time of writing. Advertiser disclosure.

Product Interest rate from Comparison rate from Upfront fee
All Purpose Loan (Fixed, Unsecured)

8.95% p.a.

10.64% p.a.based on $10,000
over 3 years

$100

All Purpose Loan (Variable, Unsecured)

13.19% p.a.

13.90% p.a.based on $10,000
over 3 years

$100

Car Loan (Fixed, Secured)

4.99% p.a.

5.66% p.a.based on $10,000
over 3 years

$100

Car Loan (Variable, Secured)

9.95% p.a.

10.64% p.a.based on $10,000
over 3 years

$100

Secured New Car Loan (Variable)

8.39% p.a.

8.53% p.a.based on $30,000
over 5 years

$100

WARNING: 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 calculated based on a loan of $30,000 for a term of 5 years or a loan of $10,000 for a term of 3 years as indicated, based on monthly principal and interest repayments, on a secured basis for secured loans and an unsecured basis for unsecured loans. This comparison rate applies only to the example or examples given. Different amounts and terms will result in different comparison rates. Costs such as redraw fees or early repayment fees, and cost savings such as fee waivers, are not included in the comparison rate but may influence the cost of the loan.

Mozo may receive a payment from financial providers listed on the site. Customer reviews are in no way affected by any commercial relationships Mozo has with providers.

Teachers Mutual Bank car loan FAQs

What is a variable interest rate?

It’s simply a rate Teachers Mutual Bank can increase or decrease while you repay your loan, which will influence the amount you’re billed in interest against your debt. But don’t worry too much, as Teachers’ car loan interest rates are competitively low compared to major market providers. You also have the opportunity to payout your loan earlier than required, without forking out the extra cash in fees.

Should I secure my car to the loan?

Would you like to pay less in interest? Then tie the car you’re looking to purchase against your loan as security, essentially giving Teachers the power to repossess the vehicle in a loan default situation. If you’d rather ditch the extra paperwork and go for an unsecured car loan instead (dubbed the “All Purpose Loan”), keep in mind your interest rate will be higher.

How much can I borrow?

It really depends on your personal financial situation, but Teachers Mutual Bank secured car loans can range from $2k to $50k, and the unsecured version up to $80k. Choose a loan amount you can comfortably afford to repay for the length of your contract.

Can I buy a used car?

For sure. In fact, you can even use a Teachers Mutual Bank secured loan to purchase a classic car over 30 years old (a rarity among car loan providers)! Your interest rate will be a little higher than if you used the loan to buy a new set of wheels, but still far less in comparison to the unsecured version. Of course, the preloved car still needs to meet eligibility requirements such as being roadworthy and resaleable. Alternatively, you can also choose not to secure the ride.

How frequently will I need to make repayments?

Either each week, fortnight or month. It’s your choice!

Can I make additional loan repayments and use a redraw facility?

Absolutely, you can do both of these things at no extra cost.

How long can I take to pay off my loan?

Secured loans can range from 1 to 8 years, while terms on unsecured loans are capped at 6.

What will happen if I repay my loan early?

You won’t be charged a break fee.  

What’s the car loan application process like?

Super easy, only taking a few minutes of your time online, over the phone or at a branch near you. If you’re not a member already, you’ll need to become one first. The application process will include you providing info such as your:

  • Passport or driver’s licence to prove your ID
  • Employment details including annual salary
  • Full residential address in Australia

You should hear back from Teachers Mutual Bank on your car loan outcome within a few days. Best of luck and enjoy the ride!

How are Teachers Mutual Bank car loans rated?

Mozo users have rated Teachers Mutual Bank car loans on price, features, convenience, trust and customer service so you can see what real Aussies have to say about their experiences.

Icon of car-loans
Teachers Mutual Bank car loans
Overall
8.2/10
Price
Features
Customer service
Convenience
Trust

26 Reviews

Recent Teachers Mutual Bank car loan reviews

Teachers Mutual Bank Car Loan review
Overall 8/10
This bank is the best one I've been in

I've been with this bank for about 8 years now and I have had no problems with them. They are always friendly to talk to. Always want to go the extra mile to help me out. Nothing seems to be a problem for them. I've tried other banks but this one I've always come back to. They have better pricing and value. They call me if there's any problems. I recommend this bank to everyone.

Read full review

I've been with this bank for about 8 years now and I have had no problems with them. They are always friendly to talk to. Always want to go the extra mile to help me out. Nothing seems to be a problem for them. I've tried other banks but this one I've always come back to. They have better pricing and value. They call me if there's any problems. I recommend this bank to everyone.

Price
9/10
Features
8/10
Customer service
10/10
Convenience
10/10
Trust
10/10
Less
Tyson, reviewed over 5 years ago
Teachers Mutual Bank Car Loan review
Overall 8/10
Benefits for members

I love Teachers Mutual, they have great interest rates for loans and because I everyday bank with them applications are simple. Customer service is good, it never takes long to get through to someone (online chat, phone) or get a response (email). The only difficulty is not having a branch down the road when you need a bank cheque ASAP. But if you're more organised than me it's not an issue!

Read full review

I love Teachers Mutual, they have great interest rates for loans and because I everyday bank with them applications are simple. Customer service is good, it never takes long to get through to someone (online chat, phone) or get a response (email). The only difficulty is not having a branch down the road when you need a bank cheque ASAP. But if you're more organised than me it's not an issue!

Price
10/10
Features
10/10
Customer service
10/10
Convenience
5/10
Trust
10/10
Less
Lauren, reviewed almost 6 years ago
Teachers Mutual Bank Car Loan review
Overall 8/10
Great Rate. Great Car

Excellent rates, with good customer service. Easy to use with great care and advice from the team.

Read full review

Excellent rates, with good customer service. Easy to use with great care and advice from the team.

Price
8/10
Features
8/10
Customer service
9/10
Convenience
8/10
Trust
8/10
Less
Mozo community reviewer, New South Wales reviewed over 7 years ago
Teachers Mutual Bank Car Loan review
Overall 1/10
Slow service and waste of time

Customer service was terrible, took forever to return calls and messed me around many times. Complete waste of time and wouldn't recommend them.

Read full review

Customer service was terrible, took forever to return calls and messed me around many times. Complete waste of time and wouldn't recommend them.

Price
0/10
Features
0/10
Customer service
1/10
Convenience
0/10
Trust
0/10
Less
John, New South Wales reviewed over 7 years ago

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