Secured Personal Loan

Offer your car as security for a lower interest rate

Apply now

Why choose a Secured Personal Loan?

Offer your car as security and borrow up to $80,000 at a lower interest rate

Fixed interest rate
from 8.49% p.a. (9.60% p.a. comparison rate)^
Variable interest rate
from 12.74% p.a. (13.81% comparison rate)^

 
$3k–$80k
For you to spend how you like

Fixed rate

  • 1-5 years flexible loan term
  • 8.49% p.a. fixed interest rate
  • 9.60% p.a. comparison rate^
  • Set repayments for simpler budgeting

Variable rate

  • 1-7 years flexible loan term  
  • 12.74% p.a. variable interest rate
  • 13.81% p.a. comparison rate^
  • Pay your loan off earlier with fewer fees

Note: the first interest rate you see in your application may change once we've determined the value of your car. Your loan is more likely to be approved if you’ve been with Bank of Melbourne for six months or more.

Is your car eligible as security?

The car you offer as security for the loan must be:

Registered in the applicant’s name once purchased. If the car will be registered under two names, the loan will require a joint application.
A four-wheel vehicle that has never been extensively damaged or written off.
12 years old or less at the end of the loan term to qualify for a lower interest rate.
Covered for one year’s full comprehensive car insurance when you access the funds.

Key fees

  • $12 Monthly administration fee
  • $10 Per redraw on variable loans
  • $9 When a direct debit order for payment from another institution is dishonoured
  • $195 Establishment fee (added to your loan amount). Excludes all government charges such as stamp duty, search fees, fees to register security interest with the Personal Property Securities Register
  • $150 Early repayment fee if you fully repay the loan within the first 12 months
  • $100 Early repayment fee if you fully repay the loan after the first 12 months and before the end of the loan term

What are break costs?
Break costs are an amount equal to our reasonable estimate of loss if you break a fixed rate loan term. You’ll need to pay break costs upon early payout or partial payment (in excess of the limit set out in the loan terms and conditions) of a fixed rate loan.

Fees are subject to change.

You also get…

Preferred repayment frequency

Choose to make weekly, fortnightly or monthly repayments.

Redraw facility on variable rate loans

Redraw money from the amount you've repaid if you need to, provided you’re at least $500 ahead on your repayments. Each request is subject to approval and a fee.

Internet banking access

Manage your loan and track repayments online or through your mobile banking app.

The Detail

Before making a decision, please read these documents to ensure you’re aware of all fees, charges and interest rates.
Terms and conditions
General details of our personal loan products
Fees and charges
All costs for specific personal loan services and accounts

How to apply for a loan

1.
Apply online in 10 minutes – 5 minutes for existing customers – depending on your internet connection.
2.
We’ll then review your application and may ask you for more details to verify your income and learn about the car you’re offering as security.
3.
When you’re ready, provide us with information about your car and we’ll review it to make sure the vehicle is suitable for your secured loan.
4.
Once your application has been approved, visit a branch with proof of comprehensive insurance to review and accept the contract. We’ll then credit the funds into your account or give you a cheque payable to the car seller.
Get started

Not right? Try these

Unsecured personal loan

A personal loan that
doesn’t require security

Get Set Loan

Access your funds
as you need them

View all personal loans

The Detail

Credit criteria, fees, charges, terms and conditions apply.

Interest rate may change and margins may apply in some circumstances. The interest rate may vary based on the value of the car you offer as security.

The advice on our website is prepared without knowing your personal objectives, financial situation or needs. Before you act on this or any advice, please consider if it's right for you. Read the above product disclosure documents as well as the Online Banking Terms and Conditions (PDF 1MB) before making a decision and consider whether the product is appropriate for you. If you need help, call 13 22 66.

^ Comparison rates help you understand the total cost of a loan so that you can compare with other providers’ products. Our comparison rates include establishment and monthly service fees. They’re based on a secured personal loan of $30,000 over 5 years and are only true for this example. WARNING: This comparison rate applies only to the example or examples given and may not include all fees and charges. Different amounts and terms will result in different comparison rates. Costs such as redraw fees or early repayment fees, and cost savings such as fee waivers, are not included in the comparison rate but may influence the cost of the loan.