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Tips to get the best car loan deal

  • Yellow Loans
  • Jan 19, 2022
  • 5 min read

Updated: Jan 30, 2022



Getting the best car loan rates can save you money by slashing your repayments over the term of your loan. The most effective way to secure a competitive interest rate to reduce your repayments is by getting Yellow Loans to do the groundwork using our industry knowledge and relationships with the best car loan providers in Australia.


Here is what we suggest.


1. Work out your objectives.


First we will work out what you need your car loan for. Are you going to use it for your personal travel, or can you claim a deduction if you are using it at all for work, travel or business? There are certain car finance packages that not only offer the best interest rates, but also provide the opportunity to make a range of deductions such as repayments, interest you pay, GST and depreciation.


2. Find out your credit history and credit score


When you know how good (or bad) your credit history and credit score is, you can streamline your car loan application. This is your interests because:


- If you have a good credit score and credit history it can definitely assist you in getting the best car loan interest rates which can ultimately save you a lot of money over the life of your loan.

- If you have a credit history and credit score it is best to know upfront. The lenders that consider car loan applicants with a tarnished credit history are limited and many of them operate a rate for risk model where credit impaired applicants are considered higher risk and therefore will attract a higher interest rate. If the approve your application, you can expect to pay a higher loan repayment than someone without any adverse credit history, and may also need to put in a deposit to reduce the risk to the lender.

- By knowing your credit score, we can get an idea of which lender is the most suited to get you the best care loan deal. There is no point putting in multiple applications, because this will only bring down your credit score and reduce your chances of getting approved for a car loan in the future.


3. Shop around for the best car loans


Once we establish how you are going to use your new car, we can research the best car loans so that we can offer you a range of car finance solutions that will save you the most money over the life of your loan.


We will compare car loans and provide you with the best options that suit your needs. We will provide you all the information you need to make the best decision in your car loan choice. For each option you can expect to receive all the details such as interest rate, fees and repayments as well as the lenders Product Disclosure Statement so that you know your are choosing the best car loan.


There are a range of car loans to suit every buyer. They include:


Car Loans for Private Buyers


If your new car is for your day to day use such as personal transport, picking up the kids from school or the local shopping run, then a secured car loan is likely to be your best car loan option.


An unsecured car loan (also known as a personal loan) involves the lender providing the funds to purchase your new car without holding security on the vehicle.


A Novated Lease is a three-way agreement between your employer, a financier, and you as an employee to purchase a car through a lease agreement as part of a salary package.


Most people with bad credit don’t even know they have it and spend endless amounts of time applying for car loans and car finance only to get declined without knowing the reason why


Car Loans for Business Use


A chattel mortgage is similar to a secured car loan only for assets that are purchased primarily for business use.


A Commercial Hire Purchase is a commercial finance product that involves the customer hiring the vehicle from the financier for a fixed monthly repayment over a set period of time.


A finance lease is a form of car finance for business owners that allows a customer the use of a commercial vehicle or car while enjoying all the benefits of ownership while the lender owns the car until you finish your lease term


4. Make your repayments on time.


Making your repayments on time will make it easier to get approved for a car loan or credit in the future.


5. Let us do the work for you


We will use our expert knowledge and relationships with lenders to streamline the most appropriate loans based on your personal circumstances to ensure you get the best car loan with the most competitive interest rates.


With access to over 40 lenders we can make sure you have access to the most competitive car finance products and competitive interest rates.


6. Save time and money using our exclusive car buying service


Yellow Loans has a car broker division, Yellow Automotive, who specialising in finding our clients the best new car deals and discounted car prices.


Our car buying experts work for you to achieve the best new car prices by bypassing the car salesman and dealing directly with fleet departments to get the biggest new car discounts on all makes and models Australia wide.


Our clients include private buyers, businesses and employees buying a new car as part of a salary package all who benefit from our buying power and new car buying expertise.

Our unique tendering system, places dealers in direct competition who fight for your business by offering the best price on your new car.


We offer New Cars at heavily discounted prices. We do this is through our inside knowledge of manufacturers pricing structures, pricing fluctuations, understanding of negotiation tactics, experience with wholesale trading, buying cars in bulk, access to Fleet Pricing with most car manufacturers, and using our decades of experience in the car sales industry.

If you would like to access the best car loans or save thousands on your new car contact Yellow Loans using our 30 second enquiry form and one of our experts will contact you asap.

Below you will find some useful links that will provide you with all the information you need to make the best loan decision. In the meantime if you want some free professional assistance, you can contact a loan specialist on 1300 199 964

or

SYDNEY | Level 21, 133 Castlereagh Street Sydney NSW 2000 |

MELBOURNE | Level 11, 456 Lonsdale Street Melbourne VIC 3000 |

BRISBANE | Level 10, 95 North Quay Brisbane QLD 4000 |





 
 
 

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