Compare Car Loans

Refinance Car Loans from 3.14%

Whether it’s to secure a lower interest rate, add flexibility or consolidate debts, a refinance car loan (switching from one loan to another) can be a good option to consider.

In the market for a new car? The table below features car loans with some of the lowest interest rates on the market.

Lender

VariableNew1 yearMore details
NO ONGOING FEES
  • Unlimited extra repayments
  • Flexible repayment options
  • Can apply online
  • You could win a $1,000 fuel gift voucher. Open to customers who settle a car loan with loans.com.au. Terms and conditions apply.
NO ONGOING FEES

New - Prime Special

  • Unlimited extra repayments
  • Flexible repayment options
  • Can apply online
  • You could win a $1,000 fuel gift voucher. Open to customers who settle a car loan with loans.com.au. Terms and conditions apply.
FixedNew, Used99 yearsMore details
APPLY ONLINE
  • No ongoing fees
  • No early exit penalty
  • Flexible repayment options
APPLY ONLINE

Car Loan

  • No ongoing fees
  • No early exit penalty
  • Flexible repayment options
FixedNew2 yearsMore details
NO ONGOING FEES
  • No ongoing fees
  • No early exit penalty
  • Apply online
NO ONGOING FEES

New Car Loan

  • No ongoing fees
  • No early exit penalty
  • Apply online
FixedNew2 yearsMore details
QUICK APPLICATION PROCESS WITH NO FEES
  • Quick application process and no monthly fees
  • Low fixed interest rates with terms of up to seven years
  • New car loans cover cars up to 3 years old
QUICK APPLICATION PROCESS WITH NO FEES

New Vehicle Fast Loan Low Rate

  • Quick application process and no monthly fees
  • Low fixed interest rates with terms of up to seven years
  • New car loans cover cars up to 3 years old
FixedNew, Used7 yearsMore details

Secured Car Loan Fixed

    FixedNew, Used5 yearsMore details

    Car Loan - Fixed

      FixedNew99 yearsMore details

      New Car Loan (NSW, ACT & QLD only)

        FixedNew, Used10 yearsMore details

        (5 Years)

          FixedNew, Used5 yearsMore details

          Fixed Car Loan (with Low Emission Vehicle discount)

            FixedNew1 yearMore details

            Green Car Loan Fixed

              FixedNew, Used7 yearsMore details
              No ongoing fees
              No ongoing fees

              Plenti Car Loan (Refinance)

                FixedNew, Used99 yearsMore details

                Liberty Drive Car Loan (Excellent Credit History)

                  FixedNew5 yearsMore details

                  Fixed Car Loan (New)

                    FixedNew, Used99 yearsMore details

                    Car Loan

                      FixedNew, Used99 yearsMore details

                      Personal Loan Fixed

                        FixedNew, Used5 yearsMore details

                        Secured Car Loan

                          VariableNew1 yearMore details
                          APPLY ONLINE
                          APPLY ONLINE

                          Electric and Hybrid Car Loan

                            *Comparison rates based on a loan of $30,000 for a five-year loan term. Warning: this comparison rate is true only for this example and may not include all fees and charges. Different terms, fees or other loan amounts might result in a different comparison rate. Rates correct as of May 22, 2022. View disclaimer.

                            Why refinance your car loan?

                            Save on fees

                            Your current car loan may be hitting you with unwanted, or unnecessary fees. Some car loans charge you a monthly/yearly fee. These fees can add significant cost to your loan over its lifespan. Refinancing may allow you to change to a lower fee loan with another lender.

                            Better interest rates

                            Interest rates are generally lower than they’ve ever been. It’s very possible that interest rates have gone down since you first took out your car loan. Refinancing may allow you to lock into a lower interest rate. And if you think interest rates will go up, you can lock in a competitive rate for repayment certainty.

                            Better features

                            Different lenders will offer different features for your car loan. You may wish to refinance to access a loan that allows you to make lump sum or additional repayments to pay off the loan sooner, or you might be looking to lower your repayments by extending the time of your loan, to make smaller payments over a longer period of time, putting more money into your personal cash flow. Whatever the case, refinancing allows you to shop around and find a loan that better suits your needs.

                            What to consider before refinancing you car loan?

                            Car Value

                            Before refinancing your car loan, it’s important to consider the value of your vehicle. Typically, this will not be the amount you paid for it. Cars are one of those purchases which generally lose value (depreciate) over time. If you owe more money to the lender than what your car is currently worth, you would likely be considered a higher lending ‘risk’ and might discover it difficult to find someone willing to refinance your vehicle loan.

                            This is because if you defaulted on a payment and your lender had to seize your car and sell it, they probably wouldn’t get the full amount back that you owed them. This is called ‘negative equity’. There are insurance policies - called ‘car gap’ or ‘motor equity’ insurance that covers this, but it might not be worth it, and not all lenders offer it.So to ensure that you have a good chance of refinancing, have a good idea of what your car is currently worth and make sure it is more than what you currently owe.

                            Remaining term left on your loan

                            Car loan terms are almost always significantly shorter than home loan terms, with typical loan periods between one to seven years. To determine how soon you can refinance your car loan, you should look at your current loan length and decide if it’s worth the time, effort and potential cost of refinancing. For example, if you only had a year left on your car loan, refinancing could end up costing you more in fees than if you were to complete the final year of payments.

                            In contrast to that, if you still had five years to go of a seven-year term and don’t believe you’re getting the best interest rate, it might be an idea to consider refinancing.

                            Get across the 'change' costs

                            This goes hand in hand with your loan length and is a critical thing to consider before refinancing your car loan. Some of the costs involved in refinancing can include exit fees, valuation fees, application fees and break fees. For people who don’t have long left on their term, these types of costs could mean that they end up paying more in fees than what they will save by switching to a better interest rate.

                            Many lenders understand this and will from time to time make special offers to waive some of these fees, so it always pays to keep an eye on special promotions being offered in the car lending marketplace.

                            Looking after your credit score

                            Another thing most people don’t realise is that every application they make for credit goes onto their personal credit file and can negatively influence their individual credit score. This might mean that refinancing your car loan too often could make it difficult to receive a good value interest rate on future applications of credit in other areas such as a home loan or a personal loan.

                            Whether it’s to secure a lower interest rate, add flexibility or consolidate debts, a refinance car loan could be a good option to consider.

                            Frequently Asked Questions

                            Before you refinance your car loan, there are a few things that could be helpful to know. You should know the car’s current value, how long you have left on your loan, and how much it would cost you to refinance.

                            With all these things in mind, you can calculate whether refinancing actually saves you money, or if it’s better to wait it out.

                            There’s no month of the year when it’s best to refinance. Technically, you could refinance as soon as your car loan begins. However, it can be better to refinance after six months or a year, when you’ve paid off some of the loan. Refinancing too soon could also affect your credit score, which can be harmed by multiple credit applications within a short period.

                            Applying to refinance your car loan is typically the same process as applying for a regular car loan. You will need to meet the lenders' eligibility criteria which may relate to your age, residency status, your income, expenses, and your credit history.

                            You will also need to supply all your supporting documents and provide security for the loan (if you’re applying for a secured car loan).

                            Refinancing to a car loan with a lower interest rate can lower your repayments. Ultimately, it depends on your reason for refinancing. If you’re refinancing to borrow more money, for example, then this may increase your repayments.