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Car Finance Calculator: The Info You Need To Know
April 6, 2020● 10 minute read●
Written by - Jacaranda Team
Working out your potential costs
Looking to purchase a new car? Maybe you’re in the market for a used car? Whatever vehicle you are looking to purchase, the first step is figuring out how much it might cost you. A car finance calculator can give you a good idea of the cost involved with purchasing a car. Want to know more? We recommend you keep reading.
What is a car finance calculator?
Let’s start with the basics. A car finance calculator is basically just a tool that calculates the weekly/fortnightly/monthly repayments on a car loan. A car finance calculator can be extremely useful when it comes to figuring out whether or not you can afford the repayments on a potential car loan. It is important to keep in mind that a car loan will, most likely, attract interest and this should be included when calculating repayments.
Where can I access a car finance calculator?
Good question! It really depends on where you are applying for a loan. If you’ve chosen to submit an application with one of the big banks, a member of the lending team will probably calculate your repayments before you agree to sign a contract. If you’ve decided to apply with an online lender, you might be able to access an online car finance calculator. Keep in mind that you should always assess whether or not you will be able to make the repayments on a loan before signing an agreement. Whatever method you use for calculating the repayments on a potential car loan, it is important that you consider whether or not you can afford to make the repayments.
What should I consider when searching for a car loan?
There are a number of different things to consider when looking for the right car loan. We know, it can be confusing. Here are few important things you should consider:
Fixed vs. variable interest rates
Never heard of fixed or variable interest rates? Don’t sweat it. Basically, a fixed interest rate means the rate of interest payable on the loan stays the same all the time. That means the same amount of cash will be taken out of your account each payment across the lifetime of your loan. Fixed interest rates allow for stability and are traditionally associated with less risk.
On the other hand, a variable interest rate means the amount of interest payable on a loan can fluctuate. If interest rates go up, the repayments on your loan could be higher. Whereas, if interest rates go down repayments could be lower. Variable interest rates can be a little more risky than fixed interest rates, however, both have their pros and cons. It is important to remember to assess which option is better for your individual financial situation.
Secured or unsecured?
Don’t know what we mean by a secured or unsecured car loan? Don’t worry. If you’ve been searching the web for a car finance calculator then you’ve probably heard these two words before. So, let us explain.
Secured car loans
A secured car loan basically means that collateral is required as security against the loan. What is collateral and why does my lender need it? Collateral is basically like a form of insurance that you will repay your loan. Collateral or an asset as it’s sometimes referred to, could be a car, motorbike or boat that you can attach to your loan as security.When getting a car loan, the car you purchase is usually used as collateral against the loan. If you fail to make repayments, your lender could repossess your asset. Don’t stress though! This is usually only done as an absolute last resort.
Unsecured car loans
So, what’s an unsecured car loan? An unsecured car loan is basically just a car loan that does not need collateral as security. Unsecured loans are usually for smaller amounts of cash and are therefore less of a risk for the lender. In most cases, an unsecured loan is a smaller amount of cash when compared with a secured loan. Keep in mind that unsecured loans can attract a higher rate of interest in some cases.
Do I need to use a car finance calculator?
It’s a very smart idea to consult a car finance calculator before agreeing to a car loan – regardless of the lender you are choosing to apply with. A car finance calculator provides consumers with the knowledge necessary to make an informed decision as to whether a specific loan product is right for their individual financial situation. Remember to always read through your agreement before signing a contract to ensure you are aware of the full terms and conditions of the loan.
At Jacaranda Finance, we’re giving Aussies the fair go they deserve. If you’ve been busy googling ‘car finance calculator’ then you probably already know how many lenders are on the market. At Jacaranda, we keep things as simple as possible. Our team works hard to make it easy and stress-free for more local Aussies to access the fast, reliable cash they need without the hassle of traditional lenders. The best part is you won’t even have to leave your living room to submit an application.
That’s right, when we say 100% online we really mean it! At Jacaranda, we’ve developed our lending process to be simple and user-friendly. That means you can apply for a loan wherever you are and whenever you like. You won’t even need to leave your living room. The Jacaranda team won’t ask you to submit any paper documents either, these can all be uploaded in our online application form. The application itself could only take you a few short minutes to complete. The best part is, if you complete you submit your application during regular business hours our team could have an outcome for you in just a few minutes. At Jacaranda, we know how busy our clients are. That’s why we’re committed to providing outcomes as soon as possible!
Who is eligible to apply?
Good question. At Jacaranda Finance, we want to give all Aussies the chance at safe, reliable and fast cash for a car loan. So, if you can meet our basic application criteria, we’ll happily assess your car loan application. All applicants must:
- Be over 18 years old;
- Be an Australian citizen or permanent resident;
- Have a driver’s licence;
- Be receiving a regular work income into a personal bank account for the last 3-months.
Pretty simple isn’t it? We don’t think it should be difficult to access a car loan that you can trust. If you have met the criteria above then you could scroll up right now and start an application.
What documents will I have to submit?
Our loan assessment team will need a few important documents to be able to properly assess your loan application. As we mentioned, you won’t need to submit paper copies of your required documents, this can be done 100% online. If you’re ready to get started on your application then we recommend you have these things handy:
- Personal details like your online banking & employment info;
- An active email address and mobile number;
- The reason you are applying for the loan;
- Your MyGov details (if you are receiving Centrelink payments);
- Employer and contact details.
Why do I need to submit my online banking details?
Good question. Don’t worry, we won’t be using your online banking details to access your real bank account! At Jacaranda, our team uses online banking details to access read-only copies of your bank statements. Why do we need to look at your bank statements? At Jacaranda, we prefer to take a realistic look at lending. Our team uses your bank statements to get a better idea of your spending habits, income and regular deposits. This information allows us to properly determine whether or not you will be able to afford the repayments on a car loan.
Concerned about the security of your information? There is no need to be. At Jacaranda, we use the latest in safe-banking technology to encrypt your information. That means no one will ever be able to see your passwords or personal details. Still have questions? Our friendly team is more than happy to help. Why not get in touch?
Wondering whether the Jacaranda team will conduct an employment check when you apply for a car loan? In most cases, we will get in touch with your employer. Our team conducts employment checks as a way of confirming some important details. There’s no need for stress, employment checks are a routine part of our assessment process. The Jacaranda team pride themselves on professionalism, so you can rest easy knowing that no personal information will ever be revealed to your employer – this includes the reason why you are applying for a loan. If you’ve still got questions our team are happy to help. You can get in touch any time and we’ll do our best to get back to you as quickly as possible.
Hidden fees and charges
At Jacaranda, we don’t believe in tricking our clients. That means what you see is actually what you get! Our team won’t try and hide anything from you. The terms and conditions of your loan will be clearly outlined in our agreement. It is, however, your job to make sure you read through your contract carefully and make yourself aware of any possible fees or charges that could incur. It is a good idea to keep in mind that you could incur a fee if a payment is missed. Unsure regarding the terms and conditions of your agreement? You can get in touch with the Jacaranda team. We are more than happy to assist!
At Jacaranda Finance, we prefer to take a realistic approach to lending. What does that mean? Basically, we do our best to focus on how you are going to repay your loan. Our team will most likely check your credit score whilst conducting a loan assessment, however, this doesn’t have to be the be all and end all. Our team is realistic and down-to-earth. We understand that life gets in the way and mistakes are made. If your credit report is less than fantastic you can be guaranteed that the team at Jacaranda will still give you a fair go. If we can see you have made an effort to reconcile bad credit you could still be eligible for a car loan. So, what have you got to lose? Why not scroll up and apply today!
With the introduction of instant banking, Jacaranda Finance is proud to announce that we can now provide cash straight to your bank. Borrowers with NPP or Osko enabled bank accounts could now have the cash in their account and ready to use in just 60 seconds once approved. At Jacaranda, we know you don’t have time to wait around. So, we’re making it simpler than ever for Aussies to get fast, stress-free cash on the same day. Not sure if your bank account is compatible? Get in touch with your local branch to find out.
What are you waiting for?
So, now you know what we’ve got to offer why not get started on an application? If you’ve been busy googling ‘car finance calculator’ then you might have just found the perfect lender for the job. If you submit your application during AEST business hours you could even have an outcome from our team in just 60 minutes. We’re all about convenience! If you’re having trouble remembering all of this we’ve got you covered. The following table summarises the more important points regarding Jacaranda’s car loans:
|Loans||Between $5,000 and $35,000 depending on the car you are wanting to buy.|
|Term||Between 1 and 5 years depending on how much you would like to repay at a time and how regularly you would like to make the repayments.|
|Eligibility ||You must be 18-years or older; be an Australian citizen or a permanent resident; have a valid driver’s license; be receiving a regular work income into a personal bank account for the last three months.|
|Documentation||You must provide us with some personal details (such as your name, date of birth, address etc), and contact details (such as your email address and mobile number).|
Written by Jacaranda Team