First created in 1903, RACV supported motor vehicles and their owners in Victoria. In today’s day, they have 29,000 club members and over 2 million regular members. They offer a variety of services and facilities including personal and car loans, road, home and travel insurance, driving courses, home services and tourism/resort options. They even have a car loan for those looking to purchase a car for private use and a business car loan for those looking to purchase vehicles for commercial use only.
About RACV Personal Car Loans
With competitive interest rates and features, RACV offers great personal car loan options. Some features of their loans include:
Secured loans against the vehicle purchased
- Fixed interest rates only
- Flexible loan terms of 1 to 7 years
- Repayments made bi-weekly or monthly through direct debit, BPAY, check or in person at any RACV store or Australia Post outlet
- Minimum loan amount of $15,000
- No ongoing monthly service fee or any other charges (there is a $369 establishment fee)
About RACV Business Car Loans
RACV has a variety of business car loans to suit the accounting practices and needs of every business. Some business loan options include:
- Hire Purchase – This is where RACV buys and owns the vehicle on your behalf, then you will take ownership of the vehicle once last loan payment has been made.
- Leasing – RACV will buy the vehicle and you rent it for the term of the lease agreement. At the end of the lease agreement, you have the chance to purchase the vehicle.
- Chattel Mortgage – You source and buy the vehicle with finance from the RACV and take ownership from the moment you agree to the loan (no waiting).
With these loan, you can buy both a new or used car, and unlike many finance providers, RACV isn’t concerned about the age of the car. Most can borrow 100% of the finance needed, meaning you don’t have to outlay any of your business capital to get started.
RACV also offers a salary packaging solution for businesses that wish to offer their employees the opportunity to purchase a car from their pre-tax salary (novated leasing). RACV offers this product through EPAC Salary Solutions, which is a 100% owned subsidiary of the RACV.
Each type of business loan has its own tax benefits, including depreciation and claims on GST and interest repayments in your Business Activity Statements. As with car loans for private use applicants, RACV business car loans do not have any ongoing fees.
About RACV Initiatives and Programs
Because they have been around for over 100 years, RACV is deep rooted into the Victorian community. They volunteer and offer financial aid to encourage community innovation, to protect the environment, improve quality of life and to relieve those suffering or disadvantaged. RACV’s community programs focus on serving five specific areas – the arts, environment, health, safety, welfare and mobility.
Benefits of a RACV Car Loan
With a quick application process, applicants typically know if they were approved or rejected within five business hours if all required documentation was submitted. RACV members are entitled to an interest rate discount. The longer you’ve been a member, the bigger the reduction of interest rate is (known as the Years of Membership Benefits Discount). For those who couple their car loan with car insurance, they could be entitled to a 10% discount on the life of the loan.
To apply, you must be 18 years of age, have a good credit history, be a permanent citizen or Australian resident and be employed with steady income. To learn more about RACV loans, visit https://www.racv.com.au/on-the-road/buying-a-car/car-loans.html or call 13 72 28 directly.