Cheap Car Loans
Compare Australia's cheapest car loans with Savvy
Buying a car under finance can be an expensive process when you go it alone, both in terms of the purchase of the vehicle itself and the time you dedicate towards finding the right deal. It can be very easy to miss key deals when there’s such a mountain of cheap car finance products on the market, which is where Savvy can help you out.
When you apply with us, we do the heavy lifting for you: finding the most suitable and affordable deals for your profile based on our nationwide panel of lenders. Our smart technology and car loan consultants sift through a sea of offers to find cheap car loan rates and deals for our customers every day, saving you valuable money in the process. Get started with your application now by taking out a quick quote and reap the rewards of low-cost financing.
The features and benefits of a cheap car loan through Savvy
We’re partnered with a diverse set of competitive financiers whose car loan interest starts at basement levels, allowing you to secure cheap car finance rates from the beginning.
Even ongoing and establishment fees may apply to your loan, up to $20 and $600 respectively, many of our lenders are willing to reduce or waive these in certain circumstances.
You can pay a lump sum at the beginning of your car loan to help offset your loan amount and reduce the payable interest on your deal overall.
Our flexible lenders also offer many borrowers the opportunity to make extra repayments free of charge, which can go a long way towards reducing your loan debt.
You’ll have a say in what your personal loan repayments cost based on the length of your term, with loans available over as little as one year all the way up to seven.
You can secure a cheap car loan deal for your car regardless of whether it’s new or used or whether you’re buying from a dealership or a private seller.
Because your car loan is secured by the purchase of the vehicle itself, you can enjoy a lower interest rate than other similar types of finance (such as personal loans).
You can also make use of commercial finance products such as chattel mortgages, car leases and hire purchases to enjoy various tax benefits.
Why so many Australians find cheap car loans with Savvy
How to save money on your car loan
One of the most effective ways of reducing the cost of your car loan is by entering the process with a strong credit rating. This indicates to your lender that you’re reliable and trustworthy when it comes to taking on and repaying debts, whether they be for loans or standard household bills.
Customers with high scores are typically exposed to the lowest interest rates, which can save them thousands of dollars overall. You can improve your score by lowering limits on your credit cards and paying off outstanding debts.
Lenders won’t look solely at your credit score, though; how you’ve built that score is also of importance to them. Having successfully repaid a similar car or personal loan within the past few years will instantly increase a lender’s confidence in you as a borrower and lower your interest rate overall.
This is because taking on a large debt and consistently repaying it requires discipline, so your financier will want to know whether you’ve proven yourself able in the past or have simply built up a score over time from paying bills and credit card debts.
Making additional payments above the minimum is a simple way for you to potentially save hundreds of dollars on your car loan. The way that interest is calculated is based on your outstanding loan amount at any given time, meaning that a steeper decline in your principal will result in a faster drop in interest.
For example, paying an extra $100 each month on your $50,000, five-year car loan at 4% p.a. could save you $570 in interest overall and shorten your term by six months.
A deposit is a lump sum paid at the beginning of your car loan, which takes a portion out of the required loan sum. This is essentially a contribution towards your loan without any interest payable, saving you money in that respect.
However, where it’s perhaps the most important is in reducing repayments. Many borrowers are motivated to supply a deposit because it means that they’ll save month to month, giving them more disposable income to work with.
Finally, it’s important to know that signing onto your car loan doesn’t mean that you’re locked in for good. You should always keep an eye out for great car loan deals even when you’re midway through repaying your current one.
This may be to access a lower rate, which could’ve come about thanks to the improved credit score through your loan payments, or to extend your loan and give you more time and lower repayments each month.