When studying in Australia, owning a car can significantly improve your quality of life, especially if you plan to travel or commute frequently.
However, international students may face challenges when applying for car loans, as many lenders require a stable credit history and a permanent resident status.
Fortunately, there are a few financial institutions in Australia that offer car loans to international students, making it easier to finance a vehicle for your time abroad.
In this article, we’ll cover the 7 best car loans for international students in Australia, providing a comparison of key details such as loan amounts, co-signer requirements, interest rates, loan terms, and eligibility criteria.
We’ll also discuss each loan provider in more detail to help you make an informed decision.
Best Car Loan for International Students in Australia
Loan Provider | Loan Amount | Co-signer Requirement | Interest Rates | Loan Terms | Eligibility Requirements |
---|---|---|---|---|---|
Commonwealth Bank of Australia | Up to AUD 50,000 | Yes | 6.99% – 13.5% | 1 – 7 years | International students enrolled at recognized Australian universities |
ANZ Bank | Up to AUD 40,000 | Yes | 7% – 14% | 5 – 7 years | International students with an Australian student visa |
Westpac | Up to AUD 60,000 | Yes | 6.5% – 12.5% | 5 – 10 years | Full-time international students with proof of enrollment |
NAB Bank | Up to AUD 35,000 | Yes | 7.5% – 13% | 5 – 7 years | Students with an Australian student visa |
Bank of Melbourne | Up to AUD 45,000 | Yes | 6.75% – 12% | 5 – 7 years | International students enrolled at recognized institutions |
College Ave Student Loans | Up to $80,000 | No | 5.99% – 12.99% | 5 – 15 years | Students enrolled in an eligible institution (international option) |
Bendigo Bank | Up to AUD 40,000 | Yes | 6.5% – 11.5% | 5 – 10 years | Students with valid student visa and enrolled in a university |
1. Commonwealth Bank of Australia
- Loan Amount: Up to AUD 50,000
- Interest Rates: 6.99% – 13.5%
- Loan Terms: 1 – 7 years
Commonwealth Bank offers car loans of up to AUD 50,000 with interest rates ranging from 6.99% to 13.5%.
The loan terms are flexible, allowing you to choose between 1 and 7 years.
To be eligible, international students must be enrolled in a recognized Australian university and may require a co-signer.
This loan can be used to finance both new and used cars.
2. ANZ Bank
- Loan Amount: Up to AUD 40,000
- Interest Rates: 7% – 14%
- Loan Terms: 5 – 7 years
ANZ Bank provides loans of up to AUD 40,000 with interest rates between 7% and 14%.
The repayment term ranges from 5 to 7 years, and a co-signer is required.
ANZ offers competitive terms and is a solid option for international students who have a valid Australian student visa and are enrolled full-time in their courses.
3. Westpac
- Loan Amount: Up to AUD 60,000
- Interest Rates: 6.5% – 12.5%
- Loan Terms: 5 – 10 years
Westpac offers one of the highest loan amounts for international students, with a limit of AUD 60,000.
The interest rates range from 6.5% to 12.5%, and the loan term can span from 5 to 10 years.
International students who are enrolled in full-time studies at recognized Australian universities can apply, but a co-signer is typically required.
4. NAB Bank
- Loan Amount: Up to AUD 35,000
- Interest Rates: 7.5% – 13%
- Loan Terms: 5 – 7 years
NAB Bank offers car loans up to AUD 35,000 with interest rates ranging from 7.5% to 13%.
The loan term is 5 to 7 years, and international students with an Australian student visa can apply.
As with most Australian car loans, a co-signer is required, and the loan can be used for financing both new and used cars.
5. Bank of Melbourne
- Loan Amount: Up to AUD 45,000
- Interest Rates: 6.75% – 12%
- Loan Terms: 5 – 7 years
Bank of Melbourne offers car loans of up to AUD 45,000 with interest rates between 6.75% and 12%.
The loan term can range from 5 to 7 years, and it is available to international students who are enrolled in recognized Australian institutions. A co-signer is also required for this loan.
6. College Ave Student Loans
- Loan Amount: Up to $80,000
- Interest Rates: 5.99% – 12.99%
- Loan Terms: 5 – 15 years
College Ave Student Loans provides car loans of up to $80,000, which can be ideal for international students needing significant financial assistance.
The interest rates range from 5.99% to 12.99%, with loan terms ranging from 5 to 15 years.
One of the benefits of College Ave loans is that they do not require a co-signer, making it an excellent option for international students who might not have a co-signer in Australia.
7. Bendigo Bank
- Loan Amount: Up to AUD 40,000
- Interest Rates: 6.5% – 11.5%
- Loan Terms: 5 – 10 years
Bendigo Bank offers car loans up to AUD 40,000 with interest rates ranging from 6.5% to 11.5%.
The loan term can range from 5 to 10 years, and it is available to international students enrolled full-time in recognized Australian universities. A co-signer is required for this loan.
Quick One: We have other useful loan articles here.
Frequently Asked Questions
Can international students apply for car loans in Australia?
Yes, international students in Australia can apply for car loans. However, most lenders require students to have a valid student visa and may require a co-signer. There are also several banks that provide loans specifically for international students, such as Commonwealth Bank, ANZ, and Westpac.
Do I need a co-signer for a car loan as an international student?
In most cases, a co-signer is required when applying for a car loan in Australia. This is because international students typically have limited credit history in Australia. However, College Ave Student Loans offers car loans without the need for a co-signer, which can be a great option if you don’t have one available.
How much can I borrow for a car loan as an international student?
The maximum amount you can borrow depends on the lender. For example, Westpac offers loans of up to AUD 60,000, while ANZ and NAB provide loans up to AUD 40,000. Make sure to compare the loan limits, interest rates, and terms to find the best loan for your needs.
Conclusion
Owning a car while studying in Australia can greatly improve your mobility and convenience, but financing the purchase might seem daunting for international students.
The 7 best car loans listed in this article provide a range of options to suit various financial needs.
Whether you need a loan with a co-signer or prefer one without, there are plenty of choices to help you drive towards your educational goals in Australia.
Consider the loan amounts, interest rates, and eligibility criteria before making your decision, and be sure to select a loan that best fits your budget and future plans.