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Car loans in New Zealand

Apply online and we aim to give you an initial decision quickly, often within an hour during business hours, whether you are buying from a dealer or a private seller.

Apply now Estimate repayments

The short answer

How do car loans work in New Zealand?

Car loans in New Zealand spread the cost of a car over an agreed term, repaid weekly, fortnightly or monthly with interest, and are usually secured against the car. With Finance Made Easy you apply online for a quick initial decision, often within an hour during business hours, and once approved, funding usually within 24 to 48 hours, subject to lender criteria.

Last updated

Why apply with us

Car finance across New Zealand, without the waiting room.

Apply online

One application covers your income, your expenses and the car you have in mind. Prefer to talk? Call 0800 995 014.

A quick decision

We aim to come back within the hour during business hours, so you know where you stand before you negotiate on price.

Funds in 24 to 48 hours

Once your loan is approved and your details are verified, funding usually follows within 24 to 48 hours.

Repayments

How much would a $30,000 car loan cost a month?

At an example rate of 12% p.a. over 5 years (60 monthly payments), a $30,000 car loan works out to about $667.34 a month, excluding fees. Your actual rate is set by the lender, so two people borrowing $30,000 can see quite different repayments.

For a working estimate on $30,000, $40,000 or any other amount, try our car loan calculator. Calculator results are estimates only: your actual repayments are set out in your loan documents before you sign.

Three levers change the monthly cost the most:

  • The term. A longer term lowers each repayment but usually means more interest over the life of the loan.
  • The amount you borrow. Putting in savings or the proceeds of selling your current car reduces what you finance.
  • The rate and fees you are offered. These depend on your profile and the lender.

Comparing lenders

How do lenders price a car loan?

Each lender sets the rate on a car loan from the details of your application, so the same car can come with a different rate for a different borrower. We explain the rate and fees you are offered in plain English before you sign.

The main things that affect the rate:

  • Credit history: how you have managed past borrowing and repayments
  • Income: how much you earn, how steady it is, and your regular expenses
  • Deposit: putting money in, or the value of a trade-in, means borrowing less of the car's price
  • Vehicle age: the age, value and condition of the car, which is usually the security
  • Term: how long you take to repay, and how much you borrow

Before you shop

Can I get car loan pre-approval before I find a car?

A couple looking over a used station wagon in a gravel driveway on a rural property while the seller waits nearby

Yes. You can apply before you have chosen a car and receive a conditional approval, which may include the most you can borrow. That gives you a budget to shop within and a clearer position when you talk price.

A conditional approval is not a final offer. The loan is confirmed once your details are verified and the lender accepts the car you choose. Approvals typically remain valid for 30 days.

Buying from a private seller rather than a dealer? That is fine too: we arrange car finance for private and dealer sales, subject to lender criteria.

Applying

What do you need to apply for a car loan?

To apply for a car loan you need a regular income from work, plus identification and proof of where you live and what you earn. Having these ready keeps things moving:

  • Your driver licence
  • Proof of address, such as a recent bill or bank statement
  • Proof of income, such as recent payslips
  • An idea of your regular expenses and any other debts
  • Details of the car, if you have already found one

Refinancing

Can I refinance my car loan?

Yes, we can look at whether a refinance makes sense. Refinancing means replacing your current car loan with a new one, for example to change the repayment or the term.

Whether it is worth doing depends on your current contract, including any break fees or early repayment costs, and on lender criteria. Tell us about the loan you have, through the online application or on 0800 995 014, and we will tell you plainly whether it would help.

More than the loan

Can you help me find a car and value my trade-in?

Yes. As well as arranging the finance, we can help you find a car that fits your budget and organise a valuation of the car you are trading in, so you know what it is worth before you talk price.

Tell us what you are looking for and what you are trading when you apply. The lender still needs to accept the car you choose before the loan is confirmed.

After you buy

Can I add a warranty when I finance a car?

Yes. We arrange a mechanical warranty for your car through a range of warranty providers, whether or not you borrow with us. It is worth a look on a used car that is past its manufacturer warranty.

Buying something other than a car? Our vehicle finance guide covers the wider range, and our car finance questions page answers the common process questions in one place.

How it works

How to apply for a car loan

Four steps from application to the keys. Apply for a car loan online, or if you would rather talk, phone us on 0800 995 014.

  1. 01

    Apply online

    Tell us about yourself and the car you want. We cannot help if your main income is a benefit or you are not currently working.

  2. 02

    Get an initial decision

    We aim to come back within the hour during business hours. A conditional approval may include the most you can borrow.

  3. 03

    Verify your details

    Send your driver licence, proof of address and proof of income so the lender can confirm the loan.

  4. 04

    Settle and drive away

    Once the car is agreed and the loan is approved, funding usually follows within 24 to 48 hours.

Side by side

Dealer finance, your bank or a broker?

Each route suits different buyers. This is a general comparison of how they work, not a recommendation.

Dealer financeYour bankA finance broker
Who arranges itThe dealer, at the yard, as part of the saleYou, directly with your own bankThe broker, on your behalf, with a lender whose criteria fit your situation
When you arrange itOnce you have picked a car from that dealerBefore or after you choose a carBefore you shop, so you know your budget
Worth checkingWhether add-ons are bundled into the loanWhether a car loan or a home loan top-up suits the purchaseAny fees or commission, disclosed in writing before you sign

General information only, not financial advice. All lending is subject to lender criteria.

Related

More on vehicle finance

Talk to us

Found the car, or still looking? Start with a short call.

We arrange car loans across New Zealand, for private or dealer sales. Apply online, or call if you would rather talk.

0800 995 014
Apply now Estimate repayments

Questions

Car loans, answered.

Straight answers to what people ask before they apply. Anything else, call 0800 995 014.

We aim to give you an initial decision quickly, often within an hour of applying during business hours. Once the lender approves the loan and your details are verified, funding usually follows within 24 to 48 hours. Applications are not an offer of finance, and all lending is subject to lender criteria.

No. We are not able to arrange car finance where your main income is a benefit, or where you are not currently working. We would rather tell you that upfront than take you through an application that will not suit.

Yes. We arrange car finance for private sales as well as dealer sales, subject to lender criteria. As with any car loan, the lender needs to accept the car you choose before the loan is confirmed.

No. A conditional approval tells you what a lender is likely to offer, but the loan is only confirmed once your identity, address and income are verified and the lender accepts the car you choose. Approvals typically remain valid for 30 days.

Extra repayments go straight off the balance, so you generally pay less interest overall and finish the loan sooner. Some loan contracts limit extra payments or charge a fee for repaying early, so check your loan documents before you start. Our repayment calculator gives estimates only.

Applications are not an offer of finance. All lending is subject to lender criteria, affordability, verification and responsible lending checks. Calculator results are estimates only. This page is general information, not financial advice.

Finance Made Easy is a trading name of TrueNorth Financial Services Limited, FSP1011270, and a member of Financial Services Complaints Ltd (FSCL), membership 9517.

Request a call back

Rather we call you?

Answer a few quick questions and we aim to call you within 15 minutes during business hours. It is an enquiry with no obligation, and it is not an offer of finance. Ready to go? Apply online now.

  • Vehicle loans, personal loans and mechanical warranties
  • Plain English, no jargon
  • We aim to call you within 15 minutes during business hours
Prefer to talk? 0800 995 014 info@fmefinance.co.nz

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