February 1, 2021
Getting a car loan is much easier than it used to be. No more going to banks or printing and signing wads of paperwork and waiting. Make the fastest loans happen for you.
Firstly, the fastest loans in cash
Cash loans, (aka Payday loans) are typically instant cash loans of less than $2,000. They are deposited into your account after you provide the required documents, like ID.
These are called ‘payday loans’ as they are designed for people who might be short of cash until their next payday.
Commonly, these loans are for car repairs or bills or other urgent things. Payday loans can attract high interest rates and heavy repayments to get them paid off quickly. If a borrower has three or more payday loans, adding a car loan on top can be tough. When applying for a car loan, try to have minimal active payday loans.
These instant cash loans are typically not for larger amounts or for cars.
The fastest loans for cars
OnlineLoans offers some of the fastest turnaround times which can be as quick as one business day.
The time it takes to process a car loan depends on the information available to assess the borrower’s circumstances.
A car loan requires some form of assessment as lending institutions need to know the borrower’s ability to repay the loan. The information also needs to be verified.
An example of a borrower’s profile that is fast to assess might be; homeowner, minimal other loans, full-time PAYG employment, purchasing a new car. These tend to attract the fastest turnaround times when it comes to cars.
An example of a borrower’s profile that can take a little longer to assess might be; new rental agreement, other unpaid loans, part-time employment / multiple employers, purchasing a used performance vehicle.
Make your car loan as fast as possible
When applying for finance, you’ll need various documents. Depending on your situation, typically, you’ll need the following:
Photos of identification (eg: driver’s licence) and Medicare card
Bank statements (uploaded online)
Two most recent payslips (photos or emails)
1: Have your documents handy when you apply for finance.
2: If you regularly withdraw cash or send money to other bank accounts, some lending institutions may need more information.
3: For the best rates, make sure your credit score is the highest it can be.
If you don’t have payslips, you can use other financial documents to prove your income. Sole traders often use BAS statements for example.
Once your loan has been assessed, you’ll know the amount you’ve been approved for. Next, the fun part – car shopping.
Your loan amount and repayments will be readjusted once you find a specific vehicle. For example, you might get approved for $30,000 but find that perfect car for $28,000, therefore your loan amount would be $2,000 less.
Did you know? Around 90% of all new car sales in Australia are arranged through finance. Make sure you know how car finance work.
More information about fast finance.