What does a car loan repayment include?

A repayment figure is useful only when you know what it covers. Before you choose a car loan, check the amount borrowed, the interest, the fees and the total you will repay.

Start with the amount you need

Alpha Finance offers car loans from $10,000 to $25,000 over three, four or five years. Borrowing more increases the amount you must repay. Start with a car price that leaves room for your other expenses.

The Alpha loan calculator estimates weekly or fortnightly repayments. Its interest-rate setting is an estimate. Your rate and terms are confirmed in writing before you sign.

Check how the fees are included

The calculator adds the combined $1,020 application and PPSR search fee to the amount entered. It also includes the $28 monthly administration fee. The weekly estimate includes a $6.46 share of that fee. The fortnightly estimate includes $12.92.

A monthly administration fee does not mean repayments are monthly. Alpha's repayment options are weekly and fortnightly. Read your proposed contract for the full fee schedule, including any fees that depend on how the account is used.

Compare the whole term

A longer term can reduce each repayment while increasing the interest paid overall. Compare the same amount over different terms, then look at the total repayment figure.

When comparing lenders, use the same loan amount and term. Check the comparison rate and ask which fees it includes. ASIC's Moneysmart car loan guide explains the costs to compare.

Leave room for owning the car

Fuel, registration, insurance, servicing and repairs sit alongside your loan repayment. Include those costs in your budget before deciding what feels manageable.

Use the calculator to explore an estimate, then contact Alpha Finance if you need help understanding a figure. A calculator result is not an approval or an offer of credit.