Bank Australia personal loans

Bank Australia
Bank Australia's overall rating for personal loans

(as rated by the Mozo community)

7.6 / 10

based on 15 reviews

Are you looking for an alternative lender to the big banks in Australia? Do you like the thought of borrowing from a customer owned provider? Then Bank Australia could be the financial institution for you.

Bank Australia, formerly known as Bankmecu is 100% owned by its members, which means rather than passing on profits to shareholders, the financial provider passes on profits to its customers by offering competitive personal loan deals. Want to find out more? Read on as we provide a full run through on the different personal loans available from Bank Australia.

Bank Australia offers the following personal loans

Rates and fees verified as correct at 14 August, 2020. Other information correct at the time of writing.

Product Interest rate from Comparison rate from* Upfront fee
Car Loan (Fixed, Secured)
Bank Australia

6.45% p.a.

6.66% p.a.based on $30,000
over 5 years


7.89% p.a.

8.92% p.a.based on $10,000
over 3 years


11.89% p.a.

12.94% p.a.based on $10,000
over 3 years


5.45% p.a.

5.45% p.a.based on $30,000
over 5 years


*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. WARNING: 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.

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What personal loans do Bank Australia offer?

Unsecured personal loans

Bank Australia’s unsecured personal loan is dubbed the ‘Lifestyle Personal loan’ for a reason, as you can use the loan to fund a great range of things from holidays through to renovations. The personal loan comes with a variable interest rate, meaning it will change over the term of the loan to align with the economy. While there is an initial upfront fee that you’ll have to pay when you take out the loan, there’s $0 ongoing service fees, late payment fees or exit fees. You can choose to borrow from $1,000 upwards over a term of 1 to 10 years. We should mention a 10 year term is pretty flexible, as many loans put caps of up to 5 years. Plus, additional payments are allowed on the loan helping you pay it off sooner but there’s no redraw facility available.

Secured personal loans

Bank Australia’s secured personal loan is only available to property owners and requires the property to be used as security for the loan. The variable interest rate that comes with the secured ‘Lifestyle Personal Loan’ is much more competitive than the unsecured alternative, which could potentially save you big bucks in interest over the life of the loan. Other than the interest rate the unsecured and secured loans are relatively similar with the same upfront fees and no ongoing, late payment or exit fees and loans are available over a 1 to 10 year period.

Car loans

Are you shopping for a new car and want a car loan that not only has a competitive fixed rate but low fees as well? Bank Australia’s secured car loan could be the solution to your borrowing needs. As it’s a secured loan the car you’re purchasing will be used as security. The loan’s interest rate is fixed, so you don’t have to worry about your provider lifting the rate and it has no ongoing or late payment fee. While you will need to budget for an establishment fee, it will be wiped if the car you’re purchasing has a 5 star ANCAP crash rating or greenhouse rating of 7+. Terms can range from 1 to 7 years, but this is cut short at 5 years if the car you’re purchasing is a used car. The car loan comes with an extra repayments facility, so you can pay more on your loan when you please and the best part is if you end up paying the loan off early you won’t incur an early repayment fee.

Bank Australia personal loan features at a glance

Flexible repayment cycles: With Bank Australia’s personal loans you can choose a repayment frequency to suit you e.g weekly, fortnightly or monthly.

Extra repayments facility: Unlimited additional payments are available with all of Bank Australia’s personal loans without penalty.

Secured loans: If you want a better interest rate, Bank Australia has the option of putting up your property as security for the loan to score a better deal.

How are Bank Australia personal loan products rated?

Bank Australia personal loans sound pretty good, right? Get the final verdict, by reading reviews from Bank Australia's customers here.

How do you apply for a Bank Australia personal loan?

Once you’re sure a Bank Australia personal loan is right for you, here is some of the information you’ll need to provide:

More helpful personal loan quick links