Friday, September 16th, 2011
Looking for a car loan? Don’t go to the bank.

In a comparison of car loans Australia-wide, credit unions have beaten the banks, offering better interest rates and overall fees. The research, conducted by Your Money Magazine, compared over 120 loans to find the total cost of a $20,000 loan over a four-year period. Dealer finance performed the worst with higher interest rates costing drivers.

Managing editor of Your Money Magazine Jackie Pearson said buyers should look for the loan with the lowest interest rate and lowest overall fees.

“Cars depreciate over time so it doesn’t make sense to pay more than you need for a loan,” said Pearson. “Our gold medal-winning loans offer the best value in the market, potentially saving you thousands of dollars over the life of the loan.”

Pearson also cautions against dealer finance.

“A typical dealership loan charges interest rates around 15 per cent whereas the lowest rates on offer can be around 8-9 per cent,” said Pearson. “Make sure you shop around and choose a loan appropriate to the car you want to buy and your financial situation.”

For more information about the best car loans plus the latest money management news and updates, pick up the latest issue of Your Money Magazine. On sale now at leading newsagents and online at


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Your Money Magazine

Your Money Magazine is for all Australians looking to increase their personal wealth and achieve the lifestyle they desire. Your Money Magazine’s key focus is to educate the Australian public about money management by providing down-to-earth, easy to comprehend content, detailed product comparisons across a range of categories, and recommendations from some of the country’s leading industry experts.

Combining in-depth research and product comparison tools with shrewd financial education materials, Your Money Magazine takes a unique place in the Australian market allowing readers to not only compare existing products but to educate themselves and take decisive action all in one place.

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Lisa Narroway
P: 02 8437 4726


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