Car Loan Calculator – Easy Car Loan Comparison

How do you choose the best car loan? This easy car loan comparison shows you how to cut through the BS and choose the best and cheapest car loan.

Doing this makes car finance easy, and allows you to identify the truly cheap car loans from the more expensive ones. The best car loan rates are often not the best way to choose a loan – because fees and charges add substantially to the real cost of car finance. Choosing the lowest car loan repayments is a flawed strategy too.

This review is a simple ‘how to’ guide to deciding – simply and logically – which car loan is the best car loan for you.

Don’t decide on the spot at the dealership – take your time and look hard at any finance that is offered to you.

For more information on the different types of car finance, go here:

If you need help getting a bunch of solid car finance options in front of you – all from reputable Australian lenders – contact me here:

You can be sorted in under 48 hours.

And don’t stress if you have a bad credit history – reputable lenders have tailor-made products for you, subject to meeting some sensible credit criteria. Don’t be put off by the names – ‘bad credit loans’ or ‘bad credit car loans’ – these are reputable commercial car finance products.

13 thoughts on “Car Loan Calculator – Easy Car Loan Comparison

  1. Don’t get lumbered with expensive car finance. Here’s how to tell a good
    car loan from an extortionate one.

  2. Thank you John for posting another consumer related video report. However I
    would like to know your opinion of buying a demo car (typically less than
    2000km). Maybe you could do one in the future? Thanks :)

  3. Many Thanks for this Video John very informative for the everyday car buyer
    like me 🙂 keep up the good work

  4. Thanks for explaining why the lowest rate may not always be the best choice
    for a car loan John . You make it simple to understand .

  5. Another great Video John. Here is another way to compare loans, buy using
    the comparison rate.

    Lenders are obliged by law to include a comparison rate when advertising a
    loan interest rate, but in the loan marketplace, comparison rates are often
    misunderstood amongst borrowers.

    Essentially, a comparison rate is a tool to help consumers identify the
    true cost of a loan which is a rate that includes both the interest rate
    and the fees and charges relating to a loan, combined into a single
    percentage figure. Well it might not give you an exact money breakdown as
    your approach John it does give a cursory indication of cost of the loan as
    to whether it’s comparable to another.

    The secret to this is not to use the advertised comparison rate as it’s
    usually based on a hypothetical situation, i.e.: $30,000 over a 5 year term
    based on their interest rate. Since each person’s loan requirements might
    be different, so will be your comparison rate.

    Now before you think you’ll need to be a mathematician to work all this
    out, I used this comparison rate calculator from ANZ which enables you to
    compare loans side by side.

    Another thing to consider also is Loan protection insurance or gap cover;
    these are additional protections that can be added to your repayments of
    your loan and subsequently your repayable interest.

  6. Great advice. I agree 100% with 100% of it. Ive informally handled 15-20
    buying transactions of my friends over the years. Im gonna add two more
    salient points to your list — not that you left them off b/c you didnt
    think of them, but because it wasnt really the focus of your video. The
    first is “ability to afford” and the second is “residual value”. The first
    is about being able to properly afford a vehicle. Just because someone can
    make all the payments doesnt in any way mean they can afford the car
    (usually the opposite in my experience). My usual tipping point is if you
    cannot reasonably afford to pay off a new car in 36 months, you are
    probably buying too much car for your income. This ends up pissing off most
    of my friends when I tell them they have Ferrari taste on a Ford budget,
    but the bank couldnt care less when you wrap the car around a telephone
    pole and you’ve got $21,000 left on the loan and your car is only worth
    $15K and you’re asking your in-laws for $6K in love money to save yourself
    from a P-M-I-T-A prison. The second is the residual value and what I
    consider the biggest hidden cost in any new car purchase. Will this thing
    be worth anything once Im done paying for it? Loss of residual value is
    just like paying for a car with a higher MSRP.. Sometimes it pays to buy a
    more expensive car b/c its not a turd on the secondary market and is simply
    more car per dollar. Ive steered folks towards lightly optioned BMWs and
    Volvos for $6-8K more MSRP but end up being worth $10-14K more 5yrs later
    rather than the gigantic turd they were looking at from Chevy that is like
    pissing money down a laundry chute. Everybody says they are gonna drive a
    new car until the wheels fall off but we all know thats fantasy. The six
    year itch always catches up. And if your drinking problem necessitates a
    liver transplant and you need to sell your assets to pay for it, you might
    want to own a car that’s not worth 10 cents on the dollar that you paid for
    it. Stuff happens in life. Get the most value out of every dollar you
    spend, even if you have to spend slightly more or less to get it. Or go a
    step further and buy 2-3yr old cars like I do and let someone else get bent
    over with the initial depreciation curve. I drive a Cayman S for the same
    money my neighbor drives a Chevy Equinox. I tell him all the time, “I cant
    afford to drive new cars like you” just to mess with his head. He gives me
    that divide-by-zero look. Its fun.

  7. I wish you would have posted this video 1 month earlier, although I benefit
    a lot from your earlier videos, Thanks John 

  8. Hey man, you are a legend. Bluntly honest and knowledgeable. I need you to
    buy my next car. Found you video enlightening.

  9. hey john i would greatly appreciate if you shared your thoughts on novated
    leases. are they worth it? is it a good idea to have the car repayments and
    maintenance costs deducted straight from my pay?

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