If you’ve got debt, getting rid of it quickly is important because the longer you owe money, the more you actually end up paying because interest continues to accrue on your outstanding loan balance.

Here’s how to tackle your personal loan debt so you can start living that debt free life.

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

Lender

FixedNew1 year
More details
Approval within 24 hoursEarly payout available
  • Required: Good credit history, stable employment history. Aus citizenship or PR.
Approval within 24 hoursEarly payout available

New Car Loan - Special (Fixed)

  • Required: Good credit history, stable employment history. Aus citizenship or PR.
FixedNew1 year
More details
Approval within 24 hours
  • Save the planet. Save thousands on your car loan.
  • Get a discounted rate if you buy electric
  • Required: Good credit history, stable employment history. Aus citizenship or PR.
Approval within 24 hours

Green Car Loan Fixed

  • Save the planet. Save thousands on your car loan.
  • Get a discounted rate if you buy electric
  • Required: Good credit history, stable employment history. Aus citizenship or PR.
FixedNew2 years
More details

New Vehicle Fast Loan Low Rate

    FixedNew99 years
    More details
    Loan amounts from $2k to $75k
    • Available for any new motorised vehicle
    • No ongoing or early exit fees
    • 1-7 years loan terms. Pay monthly, fortnightly, or weekly
    • Get quick decision. Funds in 24 hrs if approved
    Loan amounts from $2k to $75k

    New Car Loan

    • Available for any new motorised vehicle
    • No ongoing or early exit fees
    • 1-7 years loan terms. Pay monthly, fortnightly, or weekly
    • Get quick decision. Funds in 24 hrs if approved
    VariableNew1 year
    More details

    New / Demo Car Loan (Variable)

      FixedNew1 year
      More details

      New / Demo Car Loan (Fixed)

        FixedNew, Used99 years
        More details

        New or Used Car Loan Special

          FixedNew, Used7 years
          More details
          No ongoing fees
          No ongoing fees

          Plenti Car Loan (Refinance)

            FixedNew, Used99 years
            More details

            Unsecured Car Loan Excellent Credit

              FixedNew5 years
              More details

              Fixed Car Loan (New)

                FixedNew, Used7 years
                More details

                Secured Car Loan

                  VariableNew, Used10 years
                  More details

                  Car Loan

                    FixedNew, Used99 years
                    More details

                    Car Loan

                      Important Information and Comparison Rate Warning

                      All products with a link to a product provider’s website have a commercial marketing relationship between us and these providers. These products may appear prominently and first within the search tables regardless of their attributes and may include products marked as promoted, featured or sponsored. The link to a product provider’s website will allow you to get more information or apply for the product. By de-selecting “Show online partners only” additional non-commercialised products may be displayed and re-sorted at the top of the table. For more information on how we’ve selected these “Sponsored”, “Featured” and “Promoted” products, the products we compare, how we make money, and other important information about our service, please click here.

                      The comparison rates in this table are based on a loan of $30,000 and a term of 5 years unless indicated otherwise. The comparison rates for car loans and secured personal loans for the relevant amounts and terms are for secured loans unless indicated otherwise. The comparison rates for unsecured personal loans are applicable for unsecured loans only. WARNING: This comparison rate applies only to the example or examples given. Different amounts and terms will result in different comparison rates. Costs such as redraw fees or early repayment fees, and cost savings such as fee waivers, are not included in the comparison rate but may influence the cost of the loan. Comparison rates are not calculated for revolving credit products.

                      Monthly repayment figures are estimates only, exclude fees and are based on the advertised rate for the term and for the loan amount entered. Actual repayments will depend on your individual circumstances and interest rate changes. Rates correct as of May 26, 2024. View disclaimer.

                      1. Make additional repayments

                      Making additional repayments is an easy way to pay off your personal loan faster, but you should check with your lender first because the amount you’re allowed to repay and whether or not you can make additional repayments at all depends on the lender and the loan type.

                      Most variable-rate personal loans will allow you to make additional repayments while most fixed-rate personal loans do not allow this. There may be some fixed-rate personal loans that allow additional repayments, but there may be a limit on the amount that can be repaid early and you may also be charged early repayment fees and an early exit fee if you repay the loan earlier than the initial loan term.

                      Before you make any additional repayments, ask your lender what their repayment flexibility is like so that you don’t wind up being penalised for making additional repayments.

                      2. Increase your repayment amounts

                      You may be able to increase your repayment amounts if you’re on a personal loan with a variable interest rate. By upping the amount you repay, the less interest you’ll be charged, saving you money.

                      3. Increase the frequency of your repayments

                      If you want to make an even bigger impact on your loan, increase the frequency of your repayments as well as increase your repayment amount. The general rule is that the more often your repayments are, the less interest you’ll have to repay because interest is calculated daily. So instead of making monthly repayments, switching to fortnightly repayments (to coincide with when you get paid) can make a huge difference, particularly if the fortnightly repayments are exactly half of what the monthly repayment amount is.

                      4. Put any bonus money into loan repayments

                      If you’ve received any bonus cash, like a tax refund, put this towards an additional repayment on your loan rather than spending it.

                      5. Consider a debt consolidation loan

                      Paying one loan off is fairly straightforward - but what if you have multiple debts you want to get rid of?

                      A debt consolidation loan allows you to roll all your debts into one single loan with one monthly repayment. Not only does this make your debts easier to manage because you’ve only got one due date to remember, it could also save you money if the interest rate on the debt consolidation loan is substantially lower than the interest rates on other debts. Just beware of turning short-term debts into long-term debts, because that could cost you more.

                      Savings.com.au’s two cents

                      No one likes being in debt, but there are steps you can take to relieve the financial pressure. Make sure you have a clear picture of how much you owe, work out how much you can afford to repay and start making additional and more frequent repayments, if your loan type allows it.

                      If you feel like you’re really struggling, remember that you can always reach out to a free financial counsellor for advice. You can ring the National Debt Helpline on 1800 007 007 for free advice on managing your debt.

                      Photo by ASHRAFUL ALAM on Unsplash