What is a green car loan?
A green car loan is a type of secured car loan for drivers who want to reduce their emissions by purchasing a hybrid or electric car. Green cars may be hybrid or electric, which makes them a lot better for the environment than vehicles that run entirely on fuel.
One of the benefits of taking out a green car loan is that the interest rate tends to be lower than other car loans. This lower rate can help encourage people to buy green cars instead of fuel-only ones.
Our Green Car Loan has a range of features to help you pay it off, including:
- A personalised interest rate
- No monthly fees
- Unlimited extra repayments
- No penalties for early payouts
Another savvy thing about our green car loans is that you can use the money to buy a home-charging station to go with your new hybrid or electric vehicle. This charging station must have a ‘single-phase’ or ‘three-phase’ dedicated wall box.
What are the benefits of an electric or hybrid car?
Driving a green car has many benefits. The obvious one is that electric and hybrid cars are better for the environment. According to the Climate Council, transport is the third-largest contributor to emissions in Australia. But by driving a green car, you’re taking a positive step towards reducing them.
Another great thing about green cars is that they’re more efficient than fuel-only ones. Less petrol equals more savings for you.
And depending on where you live, your state or territory might offer electric car rebates. It’s a good idea to see if you’re eligible for one of these rebates in your state or territory with these links:
- Australian Capital Territory
- New South Wales
- Northern Territory
- Queensland
- South Australia
- Tasmania
- Victoria
- Western Australia
It’s important to know that the rebate application status can change from time to time, depending on the state and territory that you’re in.
How can you apply for our Green Car Loan?
Applying for our Green Car Loan is easy. To start, check that the car you want to buy is listed on the Australian Government's Green Vehicle Guide. Once you’ve checked that your future green car is eligible, then you can apply for our Green Car Loan.
To get prepared for the application process, you need your ID, income and expenses information, and details about your car, such as the model. And to make things even easier, you can apply for one of our Green Car Loans online. It only takes around 10 minutes to complete.
We will send you an email to confirm the outcome of your application. If you’re successful, just remember that you’ll have to pay a fee for establishing the loan and security administration when it’s time for settlement – which is when you get the money from the loan to buy a car.
After that’s all done and dusted, you can go ahead and buy your new set of wheels.
What are the eligibility criteria?
There are four boxes you’ll have to tick to apply for our Green Car Loan:
- You need to be willing to provide the new or used green car, which needs to be under seven years old, as security in exchange for a lower rate.
- You need to confirm that the green car is for personal use only.
- Your home charging station must have a ‘single-phase’ or ‘three-phase’ dedicated wall box, which will be mentioned on the invoice of your green car.
- The vehicle must have either an electric or hybrid engine; and be listed on the Australian Government’s Green Vehicle Guide.
Can you refinance a green car loan?
You can refinance any type of car loan – including a green car loan. Refinancing is when you apply for a new car loan at a lower interest rate, where you’ll use the new funds to pay out your existing loan. You’ll then make repayments on the new car loan at the lower rate.
What other green loans are there?
Did you know that there are other green loans you can take out? If you want to reduce your carbon footprint at home as well as on the road, then you can take out an Unsecured Green Personal Loan. This type of loan is great if you want to upgrade your home with products that can help reduce emissions. These include solar panels, battery packs and solar hot water or heat pump systems.