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1. What type of finance do you want to get? There are a huge variety of choices when it comes to financing your car. A few of the options include: Novated Lease: Buying your car with pre tax dollars, thereby effectively deducting your tax bill. Personal Loans: With a personal loan, you take a loan for a lump sum amount of money to purchase your vehicle. You then make consistent payments to pay the loan back. The payment periods range from 12 months to 7 years - the longer the time framepayment period, the less your actual repayments are but be aware that the total interest you pay over the life of the loan will be higher. The amount of money you can borrow depends on each lender so do your research and shop around. Car Loans: A Car Loan is similar to a personal loan, except that the loan is secured by the car. Some lenders use the term Secured Personal Loans and often the interest rate can be lower because the vehicle is security. In other words, if you fail to make your payments, the lender can repossess your vehicle. Credit Card: You may be able to use a credit card to purchase a vehicle and it might even be recommended by some lenders, especially if your desired loan amount is lower than their loan minimum. Check if the lender has a low rate credit card as part of their suite of products. 2. Be Very Cautious About Dodgy Dealer Financing. This is not something people in the car loans industry like to talk about but beware of dodgy loan offers from car dealers which give them a large commission but leaves you in debt for years. Try and organise your loan before you go and buy your car. This also helps you stay within to your budget because your loan would only have been approved to a certain limit. If you can't do that, then at least make sure you have separate negotiations with the dealer over the price of the car and then the loan cost. Also, do your research about interest rates so you don't get ripped off. A few minutes of research online could potentially save you thousands of dollars over the life of the loan. Time that is definitely well spent. 3. Check out non-bank lenders Banks have some good car loans but certain non bank lenders such as credit unions are specialising in car loans. Also, look at specialist providers of car loans because they offer some of the lowest rates available. Of course, check out each prospective lender on your shopping list because they all have their own terms, fees and special conditions.
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As the founder of the Platinum Car Loans Group, Zane continues to be closely aligned with business operations on a day to day basis. Zane is a novated lease specialist and he has developed one of Australia's top fully maintained Novated Leasing products (VIP), which is a total vehicle management solution for both individuals and companies. Its flexibility and cost structure gives it its competitive edge and it can not be beaten on price. If its car finance you are interested in, Zane will happily share his knowledge with you so that you can choose the solution that best meets your needs
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