Bad Credit Car Loans Sydney
Bad credit isn't the end if you're looking for a car loan in Sydney. From Bondi to Camden, we’re partnered with lenders who can work with you.
Sydney is one of the most expensive cities in the world to live in, and getting around without a car can make life even harder, particularly if you live in the outer suburbs or regional pockets of NSW where public transport is patchy at best. Whether you’re commuting from Penrith, running errands in Parramatta or navigating the roads of Western Sydney, having your own wheels matters.
If bad credit is standing between you and the car you need, you aren’t out of options. There are lenders out there who can assess your application based on your overall financial situation, rather than focusing on your credit score. Sydney residents with defaults, bankruptcy or a thin credit file may still have a path to approval.
How to get a bad credit car loan in Sydney
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1
Complete our easy application form
Provide details about yourself, your finances and how much you want to borrow. This is all online, so you can apply from Bondi, Blacktown or Bowral.
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2
Submit your documentation
We’ll need to see documentation to verify your current financial situation and your identity.
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3
Speak to your broker
Once we have all the info we need, your broker will check out your options and give you a call to discuss them.
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4
Pick out your car
If you haven’t already found your car, our in-house car broker can help you score a deal through our national network of dealerships.
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5
Submit the application to your lender
Once you’re happy with where your application is at, your broker will prep it for formal assessment with your lender.
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6
Approval and settlement
Formal approval can happen as soon as within one business day and your loan can be settled (which we’ll handle for you).
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7
Enjoy your new wheels
After that, all that’s left to do is sign off and have the keys handed over to you!
Why Choose Us?
Fast loan approval
We work hard behind the scenes to match you with a suitable lender and have your loan approved and funded in as few as 48 hours.
100% online
Where ever you are across Australia, you can apply for a bad credit car loan using your laptop or even a smartphone.
Trusted brand
For more than a decade, we've been helping borrowers with bad credit get approved for their car loans across Australia.
How much can I borrow for a bad credit car loan in Sydney?
Bad credit car loans are available from as little as $5,000 up to as much as $150,000 with some lenders, though the amount you’re approved for will depend on your individual circumstances. For example, if you’re a property owner in Sydney, your chances of approval will be much higher, particularly as the value of homes is so high across the city.
Here are some of the other factors that can impact the amount you’re able to borrow:
- The nature and severity of your bad credit, such as whether you have minor defaults or a more serious issue like bankruptcy
- Your income and regular living expenses
- Your existing financial commitments, such as outstanding debts or other loans
- Whether you’re able to put down a deposit
- The type, age and condition of the vehicle you’re looking to purchase
- The lender you’re approved with, as borrowing caps vary
If you’re looking for a second chance at car finance, we can give you an idea of your borrowing power by assisting you with pre-approval with one of our lending partners before you formally apply.
Bad credit car loan eligibility and documentation
Eligibility
- You must be 18 years of age or older
- You must be an Australian citizen, permanent resident or eligible visa holder
- You must be employed and earning a stable income that supports your car loan payments, which can start from as little as $480 per week
- You mustn’t currently be bankrupt
- Your chosen car must satisfy your lender’s vehicle eligibility criteria
Documentation
- A valid driver’s licence, front and back (passports can also be accepted)
- Your two most recent consecutive payslips
- 90 days of bank statements and/or Centrelink income statements
Bad credit car loan costs
The cost of your bad credit car loan will depend on a few key factors:
- Interest rate: bad credit borrowers should expect to pay higher rates than those with a clean credit file.
- Loan fees: establishment and ongoing fees can add significantly to the overall cost of your loan and are often higher on bad credit loans.
- Loan amount: because interest is calculated based on your loan balance, larger sums will result in more interest paid.
- Loan term: although opting for a longer term reduces your monthly repayments, you’ll pay more interest overall.
You can see what effect different rates have on the overall cost of the loan in the table below:
| Loan amount | Loan term | Interest rate | Monthly repayment | Total interest paid | Total repaid |
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| $30,000 | 5 years | 12.00% p.a. | $667 | $10,040 | $40,040 |
| $30,000 | 5 years | 14.00% p.a. | $698 | $11,883 | $41,883 |
| $30,000 | 5 years | 16.00% p.a. | $730 | $13,773 | $43,773 |
| $30,000 | 5 years | 18.00% p.a. | $762 | $15,708 | $45,708 |
| $30,000 | 5 years | 20.00% p.a. | $795 | $17,689 | $47,689 |
Calculations and interest rates are for illustrative purposes only and exclude loan fees and other charges. Interest rates shown aren't necessarily reflective of the rates you'll receive on your bad credit car loan.
Bad credit car loans Sydney frequently asked questions
Can I get a bad credit car loan in Sydney on Centrelink?
Yes, it's possible to be approved for a bad credit car loan in Sydney while receiving Centrelink payments, provided your payment type is accepted by the lender and your overall financial situation stacks up. Payments like Age Pension, Disability Support Pension and Carer Payment can all be accepted as income on your application, but others like Youth Allowance and JobSeeker (on its own) won’t be.
Can I get a bad credit car loan with no deposit?
Yes, many bad credit car loans are available with no deposit, as many lenders offer up to 100% financing. That said, putting down even a small deposit can strengthen your application and reduce the amount you need to borrow, which can work in your favour if your credit situation is more complex.
Can I get a bad credit car loan from a car dealership in Sydney?
There are car dealerships all over Sydney, many of which offer in-house financing. The options and terms are typically much more limited in terms of what may be available to bad credit applicants compared to what's available through a specialist lender, though. Our brokers have access to our wide panel of lenders, putting them in a strong position to find the most suitable deal for your situation.
Can I get a car loan in Sydney if I'm bankrupt?
Yes, we work with lenders who can assist both undischarged and discharged bankrupts, though all applications are subject to lender assessment and approval isn't guaranteed. Speaking to one of our brokers is the best first step to understanding what's available for your situation.