Car Loan Calculator Australia
Work out your car loan repayments, then see how a balloon payment, lender fees or a different term change the real cost. Weekly, fortnightly and monthly repayments, in Australian dollars.
Estimate only. It assumes one rate for the whole term. The comparison rate shown is our own estimate for this loan and will differ from the figure your lender is required to show. Check with your lender or a licensed broker.
Repayment schedule
| Year | Principal | Interest | Repaid | Balance |
|---|
Your car loan payoff timeline
How the balance falls, and how much principal and interest you have paid by the end of each year.
Principal paid:
Interest paid:
How this car loan calculator works
Enter the car price, your deposit or trade-in, the interest rate and how long you want the loan to run. The calculator shows the repayment on a standard car loan, and you can switch between weekly, fortnightly and monthly repayments. If you only want a quick figure, those four inputs are enough. The extra boxes are there for when you're comparing real quotes.
The repayment is worked out the way most lenders do it: interest is charged on the balance each period, and what's left of your repayment goes against the principal. Early on, more of each repayment is interest. Near the end, most of it is principal. The schedule under the calculator shows this year by year or repayment by repayment.
A quick example. You buy a $35,000 car with $5,000 down, so you borrow $30,000. At 8.5% over five years, the repayment is about $615 a month. Across the 60 months you'd repay roughly $36,900, which means about $6,900 goes to interest. Stretch the same loan to seven years and the monthly figure drops, but the interest bill climbs well past $9,000.
Interest rate vs comparison rate
The headline interest rate is only part of the story. Lenders in Australia also have to show a comparison rate, which folds the standard fees and charges into one annual figure so you can compare loans on a like-for-like basis. A loan with a lower advertised rate can end up costing more than a competitor if it comes with a high establishment fee and a monthly account fee.
Our calculator shows an estimated comparison rate for the exact loan you've entered, including the fees and any balloon. It's our own estimate, so it won't match a lender's published figure to the decimal, but it's good for seeing how much fees lift the true cost. When you get quotes, compare the comparison rates side by side and then look at the fees line by line.
Balloon payments: lower repayments now, a bill later
A balloon payment (sometimes called a residual) is a lump sum you agree to owe at the end of the loan. Because you're not paying it off along the way, your regular repayments are smaller. It's common on car finance, especially for business buyers and people who plan to swap the car after a few years.
The catch is that interest is charged on the balloon for the whole term, so you pay more in total. And when the loan ends, you still need to deal with the lump sum: pay it in cash, refinance it, or sell the car and use the proceeds. If the car is worth less than the balloon at that point, you'll be covering the gap.
Same loan, with a balloon. Take the $30,000 loan above and set a balloon of 30% of the car price, which is $10,500. Your repayment falls to about $475 a month, roughly $140 less. But you'd owe $10,500 at the end, and total interest rises to around $9,000, about $2,000 more than with no balloon. Open the balloon box in the calculator to test your own numbers.
Fees that change the real cost
Most car loans have an establishment (application) fee, and many add a monthly or annual account fee on top. Some lenders charge early exit or early repayment fees, particularly on fixed rate loans, and you may pay for a valuation or a security registration. None of these show in the advertised rate, which is why the comparison rate matters.
The calculator lets you add the establishment fee to the loan or pay it in cash. Adding it to the loan keeps your upfront costs down, but you pay interest on it for the full term. Whichever you choose, enter the account fee too, because $10 a month is $600 over five years.
Secured, unsecured and novated options
A secured car loan uses the car as security. Because the lender can repossess it if you stop paying, rates are usually lower than for an unsecured loan. An unsecured personal loan doesn't need the car as security, which gives you more freedom (it may suit an older car or a private sale), but the rate is typically higher. Lenders can also price differently depending on the car's age, so a loan for a newer vehicle often comes cheaper than one for an older vehicle.
A novated lease is a different arrangement. Your employer deducts the lease payments from your salary, often before tax, and handles the running costs. It can suit some employees, but it comes with its own residual, fees and tax rules, including special treatment for some electric vehicles that has changed over time. Our calculator doesn't model novated leases, so get a quote from a provider and read the current ATO guidance before you decide.
Choosing a loan term
A longer term gives you a smaller repayment and a bigger interest bill. A shorter term does the opposite. The risk with long loans is that cars lose value quickly, so after a few years you can owe more than the car is worth, which makes it harder to sell or trade in. Try 3, 5 and 7 years in the calculator and compare the total interest, not just the repayment. If the lowest repayment is the only way the loan fits your budget, the car may be priced too high.
Costs outside the loan
The loan is only part of what a car costs. On top of the price you'll face stamp duty, registration and compulsory third party (CTP) insurance, and the amounts vary by state and territory and by the vehicle. Then there's comprehensive insurance, fuel or charging, servicing and tyres. Enter your stamp duty and rego figure in the "Lender fees & upfront costs" box to see how much cash you need on the day, and check your state or territory transport authority for the exact amounts.
Get pre-approval before you shop
Pre-approval from a bank, credit union or broker tells you what you can borrow and at what rate before you walk into a dealership. It puts you in a stronger position to negotiate on the car's price, and you can compare it against any finance the dealer offers. Pre-approvals are usually valid for a limited time and aren't a guarantee, so the final loan is still subject to the lender's checks on you and the car.
Frequently asked questions
How much is the repayment on a $30,000 car loan?
It depends on the rate and term. At 8.5% over five years, a $30,000 loan costs about $615 a month. Use the calculator to try your own rate, and remember to add any fees.
What is a good interest rate for a car loan in Australia?
Rates vary with your credit profile, the lender, whether the loan is secured and the age of the car. Rather than chasing a "good" number, collect two or three quotes and compare the comparison rates.
What's the difference between the interest rate and the comparison rate?
The interest rate is the cost of borrowing the money. The comparison rate adds the standard fees and charges into one yearly figure, so it gives a fuller picture of what the loan really costs.
Is a balloon payment a good idea?
It lowers your repayments, but you pay more interest overall and you still owe a lump sum at the end. It can suit people who plan to change cars or have a way to cover the balloon. If you're only using it to make the repayment fit, it's worth a second look at the budget.
Should I pay weekly, fortnightly or monthly?
Paying more often can match your pay cycle and slightly reduces interest because the balance falls sooner. The difference on a car loan is usually small, so pick the schedule that fits your cash flow.
Does the calculator include stamp duty and registration?
You can enter them as a cash cost to see your total upfront outlay, but they aren't added to the loan. They differ by state and territory, so check your local transport authority.
How accurate are the results?
They're estimates based on a constant interest rate and the figures you enter. Lenders calculate repayments and comparison rates slightly differently, so confirm the final numbers with your lender.
This calculator provides general information only and isn't financial, credit or tax advice. It doesn't consider your personal circumstances. Speak with a licensed finance broker or financial adviser before making a decision, and compare lenders using the comparison rate as well as the headline rate.
Looking at other kinds of borrowing? Try our mortgage calculator, loan calculator or personal loan calculator.