Car Loan Rates

Car Loan Rates Australia

Current car loan interest rates as of September 2026. We track rates across 50+ Australian lenders to help you find the best deal.

Current Market Rates Overview

Car Loans

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p.a. indicative — rates vary by lender and profile

All Vehicle Types

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p.a. indicative — rates vary by lender and profile

Specialist Options

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p.a. indicative — a specialist confirms your actual rate after a soft credit check

*Rates shown are indicative only and are the lowest available for borrowers with excellent credit.

WARNING: The comparison rate is true only for the examples given and may not include all fees and charges. Different terms, fees or other loan amounts might result in a different comparison rate. All rates are subject to change and depend on individual circumstances.

How Lenders Set Your Car Loan Rate

Rates vary by lender, security, credit profile and loan amount. Indicative rates are set by the lender A specialist confirms your actual rate after a soft credit check.

Rates are indicative and subject to change. Individual rates depend on full credit assessment, loan amount, vehicle age and lender criteria.

What Affects Your Car Loan Rate?

Credit Score

Higher scores (700+) qualify for the best rates. Check your score before applying.

Vehicle Age

Newer vehicles attract lower rates due to better resale value and lower risk.

Loan Amount

Very small loans may have higher rates. Sweet spot is usually $15,000-$60,000.

Deposit Size

A larger deposit (20%+) reduces lender risk and can lower your rate.

Employment Stability

Permanent employment and 6+ months in current role helps secure better rates.

Loan Term

Shorter terms often have slightly lower rates but higher monthly payments.

Tips to Get the Best Car Loan Rate

Check your credit report and fix any errors before applying
Save at least 10-20% deposit to reduce borrowing and improve your application
Compare multiple lenders, don't just accept dealer finance
Consider a shorter loan term if you can afford higher repayments
Get an indicative quote before car shopping to understand your budget
Avoid multiple credit applications in a short period (damages credit score)
Choose a newer, popular vehicle model for better rates
Provide complete documentation to speed up approval and avoid rate loading

Car Loan Rates FAQs

What is a good car loan interest rate in Australia?

A good car loan rate depends on your credit profile, the vehicle, and current market conditions. Well-qualified borrowers are generally offered a lender's sharpest pricing. Your actual rate is confirmed after a soft credit check with a specialist.

How are car loan rates determined?

Car loan rates are based on the RBA cash rate, your credit score, employment stability, loan-to-value ratio, vehicle age, and whether the loan is secured. Lenders also consider their own cost of funds and risk appetite.

Fixed vs variable car loan rates - which is better?

Fixed rates provide payment certainty and protection against rate rises, ideal if you prefer predictable budgeting. Variable rates may start lower and can decrease if the market drops, but can also increase. Most Australians choose fixed rates for car loans.

What is a comparison rate for car loans?

A comparison rate includes the interest rate plus most fees and charges, giving a more accurate cost picture. By law, lenders must display comparison rates. However, comparison rates are based on a $30,000 loan over 5 years, so your actual rate may differ.

How can I get a lower car loan rate?

To get lower rates: maintain a good credit score (pay bills on time), save a larger deposit (20%+ helps), choose a newer vehicle, provide stable employment history, and compare multiple lenders. We do the comparison work for you across 50+ banks and lenders.

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Find out what rate you qualify for with no impact on your credit score.

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