Much like its other products, Liberty Financial's car loans are designed to help a diverse range of customers, including those with poor credit or low deposit, get into their desired vehicles.

Liberty offers secured car loans with flexible repayments and fixed interest rates tailored to the borrower's credit history, size of deposit, loan term, and vehicle choice. Customers borrowing to finance new or used electric vehicles (EVs) may be able to secure interest rate discounts.

The car that will be purchased with the funds, and therefore used as collateral, must be no more than 8 years old by the end of the loan term.

Car Loans Available at Liberty Financial

Flexible Car Loan

Liberty Financial offers its best interest rates through this car loan, designed with flexible repayment options including balloon payments. A balloon payment lets borrowers pay a large lump sum due at the end of the loan term to reduce their monthly payments but incurs higher interest over the life of the loan.

Suitable for: Borrowers with a good credit score and seeking funds to finance new or used vehicles.

Features:

• Loan amount: $5,000 to $100,000

• Loan terms: 2 years to 7 years

• Balloon payment option

• Discounts apply for EVs

Low Doc Car Loan

This car financing is tailored to borrowers with alternative documentation to prove their income. Rather than payslips or tax returns, applicants may present business activity statements or bank statements.

Suitable for: Self-employed borrowers (i.e. business owners).

Features:

• Loan amount: $5,000 to $100,000

• Loan terms: 2 years to 7 years

• Balloon payment option

• Discounts apply for EVs

Fresh Start Car Loan

This loan is designed for borrowers typically struggling to get car financing due to poor credit history or unstable income stream. Do note, however, that the riskier an applicant is, the higher the rates will be. An additional fee to account for risk may also be imposed to borrowers with poor credit history.

Suitable for: Borrowers with bad credit, variable income, or self-employed.

Features:

• Loan amount: $5,000 to $50,000

• Loan terms: 2 years to 5 years

• Discounts apply for EVs

Business Car Loan

This is a specially designed car loan for financing the purchase of vehicles for business use. It comes with flexible features, including balloon payment option. As it is made for self-employed borrowers, alternative documents for income verification are allowed.

Suitable for: Entrepreneurs purchasing a vehicle for business use.

Features:

• Loan amount: $5,000 to $100,000

• Loan terms: 2 years to 7 years

• Discounts apply for EVs

Fees Charged to Customers

These are the fees* borrowers may encounter when they take out a car loan with Liberty Financial:

• Application fee: The amount varies depending on the applicant and the type of loan taken out.

• Ongoing fee: A $10 per month fee is charged for the maintenance of the account throughout the loan term.

• Discharge fee: Early termination of the loan will incur a charge of $125.

• Equalisation fee: Loans for high-risk borrowers may be imposed an additional fee starting from 1% of the loan amount.

*These are correct at the time of writing and are subject to change.

How to Apply for a Car Loan with Liberty Financial

Interested applicants may apply through the lender's website, or connect with a local adviser to guide them through the application process.

Applicants must meet Liberty Financial's general car loan criteria and present supporting documents for verification, detailed below:

• Must be an Australian citizen or permanent resident (present driver's licence or other government ID as proof)

• Be at least 18 years old (loan amount for under 23 years old is capped at $25,000)

• Must present tax returns and recent payslips (for employed)

• Provide business activity statements or bank statements (for self-employed)

• Must provide details on the vehicle securing financing

Liberty will provide final approval after review. Once approved and the loan offer is accepted, the funds will be disbursed to the borrower or directly to the car dealership to finalise the purchase.