RAA Personal Loan Review

Read all about RAA personal loans and see whether they’re right for you, as well as compare a range of options, here with Savvy.

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, updated on May 28th, 2024       

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While you may know RAA best for its service across South Australia and Broken Hill relating to roadside assistance and motor vehicle, home and travel insurance, they also provide personal finance products.

Of course, you should always ensure that the personal loan you sign up for is the best for your needs based on an educated decision, which Savvy can help you make with detailed comparison information.

We’ve broken down all of the key areas to consider about RAA personal loans so you can decide whether it’s right for you, as well as compare a range of other loan offers right here today.

*Please note that Savvy does not represent RAA for their personal loan product.

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The features and benefits of RAA personal loans

Competitive RAA personal loan rates from 5.20%

If you’re an RAA member, you’ll qualify for a 1% p.a. discount on your personal loan, meaning you can be approved for as little as 8.60% p.a. (8.97% p.a. comparison).

Repay your loan over seven years

You can take as long as seven years to pay off your personal loan, ensuring you have the means to space out your repayments to a point where you can comfortably manage them.

Borrow from $8,000 to $100,000

With available amounts from as little as $8,000, you can take out a loan to cover minor or large expenses or use it to supplement your savings for a bigger purchase.

Secured or unsecured loans

You have the option to select between providing an asset as security for your personal loan or leaving it unsecured

No ongoing fees

Fortunately, you won’t have to worry about paying any added costs on top of your monthly repayments, as there aren’t any fees charged on either loan type.

Fixed interest rates

Because RAA personal loan rates are fixed across the life of their loans, you’ll be able to budget more accurately and effectively around your repayments each month.

The pros and cons of personal loans with RAA


Fast pre-approvals

You can receive pre-approval as soon as seven business hours after submitting your application, giving you peace of mind sooner that your application was successful.

100% online process

There’s no need for you to be making any trips into your local RAA to complete your application; the whole process takes place online to make it most convenient for you.

Establishment fee discount for members

While you’d be required to pay an establishment fee of $355 for your personal loan as a non-member, you can receive a $100 discount on that amount if you hold an RAA membership.


Early repayment fee charged

You could be charged an early repayment fee of $225 on your personal loan if you decide to complete your repayments within the first two years of your term.

$20,000 maximum unsecured loan amount

If you’re looking to take out an RAA unsecured personal loan, you’ll only be able to borrow up to a maximum of $20,000 on your loan, severely hampering your borrowing power compared to other lenders.

Unsecured only available to homeowners

On top of this, you have to be a homeowner to be approved for an unsecured personal loan, which may discount a range of potential borrowers.

More about RAA personal loans

What is the application process for an RAA personal loan?

It’s important to familiarise yourself with the application process of your chosen lender before proceeding with your submission, as you can know exactly what to expect. No matter how simple the process may be, it’s still important to ensure that you’re across it prior to applying. The RAA personal loan application process is as follows:

Make sure you’re eligible to apply

Above all else, you should make sure you qualify for the loan. Applying for a loan you’re ineligible for can only serve as a waste of time which could’ve been spent applying for a different loan. The main criteria to meet are:

  • You must be 18 years of age or older
  • You must be a citizen or permanent resident living in South Australia or Broken Hill
  • You must be earning a regular income from stable sources
  • If taking out a secured loan, your car, caravan or boat must be 15 years old or less and your motorbike or jet ski must be no older than ten years

You should also make sure you can afford your loan repayments. You can use Savvy’s personal loan calculator for RAA or any other loan to work out its estimated cost.

Send through your application

Once you’ve received a quote estimate of your interest rate and repayments, you can proceed with your application.  This is an online form which should only take you around ten minutes to complete and send off.

Receive an outcome and send supporting documents

You can be notified of the outcome of your application within seven working hours and, if successful, can continue with the process. This will primarily involve sending the required documents to RAA so they can verify the information included in your application form.

Sign your contract and receive your funds

Once they’re satisfied, they’ll let you know that you’ve been formally approved and will send through a contract for you to sign. After you’ve done this electronically and returned it to them, your funds can be released directly into your account and you can use them however you wish.

What are the documents I’ll need for my personal loan application?

The documents required for your RAA personal loan application are fairly standard when compared to those requested by other lenders across the personal finance space. You should ensure you have these on hand before starting your application to maximise the speed of approval and cut down on hiccups. These documents are:

Proof of identity

You’ll need to send through a copy of your driver’s licence to prove your identity. If you’re applying for an unsecured personal loan with RAA, though, you can also supply a passport in place of your licence.

Residential details

RAA will want to see that your recent residential history has been stable, as frequent address changes can suggest a similar pattern into the future which may impact your ability to pay your loan.

Employment information

As part of your application, you’ll need to explain what your role is, where you work and how long you’ve been working there. In some instances, you may be required to supply a letter from your employer confirming this.

Proof of income

You’ll be asked to supply recent payslips and bank statements to show what you’re earning month-to-month. This is crucial, as you’ll need to prove that the amount you’re earning is enough to cover your repayments.

Assets and liabilities

Let RAA know about any assets you currently own, such as property or vehicles, as well as liabilities such as outstanding loan or credit card debts.


On top of this, it’s important to show how you spend your money. Your bank statements will also give them an idea of your outgoing expenses on top of you breaking down the most relevant ones for you, such as rent, food, school fees and more.

Common RAA personal loan queries

What can I use my personal loan for?

Just about anything you like – personal loans are designed to be flexible and used for personal purposes, so you can dedicate your funds towards any project or purchase you wish. For instance, you might need additional money to help pay for a wedding or a funeral, cover your accommodation while studying or even something as simple as paying for your new bicycle.

Will I be able to use a personal loan for my business?

Yes – many startup business owners who struggle to access the financing they need will turn to a personal loan to help their business. This is achievable because the loan is taken out in the name of the borrower, not the business, which may not be established enough to be able to provide the required documents.

How much will I be able to borrow with RAA?

You can borrow between $8,000 and $100,000 with RAA. However, how much you can be approved for will depend on your profile as a borrower and a variety of factors, such as your income, borrowing history, the value of security (if applicable), preferred loan term and more. You can use Savvy’s personal loan borrowing power calculator for RAA or other loans to give you an estimate of this.

Do RAA personal loans come with redraw facilities?

No – there aren’t any redraw facilities attached to your RAA personal loan. If you’re in the market for a personal loan which enables free additional repayments and the ability for you to withdraw from them when you like, you can compare different finance offers from across Australia with Savvy.

Do I have to use RAA insurance if I’m buying a car?

No – while you may think that you’ll be required to take out comprehensive car insurance with RAA if you use them to finance your vehicle purchase, this isn’t the case. This enables you to compare insurance offers and choose the best one to suit your needs.

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