Westpac is Australia’s oldest bank having opened its doors for the first time in 1817. It has since grown into one of the country’s much vaunted Big Four banks, with branches and ATMs right across Australia and around the world. They offer a suite of products that span the retail and business spectrum, as you would expect from one of the country’s biggest financial institutions.
Westpac only has one specific car loan product for individuals, however there are other loan options for those wishing to purchase a car. The secured Westpac car loan has a set of specific criteria for car purchases with a competitive interest rate, while the broader unsecured personal loan option has a higher interest rate, but can be used for a number of reasons.
This loan product is for those who are looking to purchase a car and will use the vehicle as security against the loan. The features of a Westpac car loan:
If you’re 18 years of age or over, have regular permanent income and are an Australian resident (or hold an acceptable visa and have full-time work in Australia), you are eligible to apply for a car loan from Westpac. Successful loan applications are usually approved within 24 hours.
If you meet certain criteria, you may be eligible for the Westpac Choice Full-Time Tertiary Students or Westpac Choice - Under-21s packages, which would entitle you to an interest rate discount.
While not specifically designed as a car loan product, you are allowed to apply for a Westpac Unsecured Personal Loan and use the funds to buy a car. The personal loan is not secured against the vehicle or any personal property, so if you can’t make your repayments, Westpac can’t take possession of your property. However, because the loan is unsecured, the interest rates are higher. The features of a Westpac Unsecured Personal Loan include:
This loan product must be used for personal use, and can not be used for businesses purposes.
Westpac offers three different business vehicle finance products - Finance Lease, Commercial Loan (chattel mortgage) and Commercial Hire Purchase. If you are an existing Westpac customer, you could be approved in as few as two hours given they already know your financial history. For each of the three options, there are some common features:
The interest rates and repayment amounts are determined by a number of factors, including the loan amount, the make, model and age of the car being purchased, and the term of the agreement.
A Finance Lease an arrangement where Westpac purchase the vehicle and rent it to the borrower for an agreed period of time. Westpac owns the vehicle for the life of the agreement, however the borrower may purchase the car at the end of the lease agreement for an agreed amount.
The rental payments are tax deductible.
A commercial loan is very similar to a regular car loan for individuals, in that the borrower finds and purchases the car, and it’s used as security against the loan. The borrower owns the car from the outset, and there are balloon payment options available if the borrower wishes to reduce the periodical loan repayment amounts.
The GST on the vehicle and the interest repayments are tax deductible, as is depreciation on the car.
The Westpac Commercial Hire Purchase is similar to a Finance Lease, except the borrower owns the vehicle at the end of the loan period. Westpac are the owners of the vehicle throughout the life of the loan, with ownership handed over once the final repayment has been made. As with the Commercial Loan, balloon payment options are available if the borrower wishes to reduce the periodical loan repayment amounts.
Depreciation of the vehicle and GST on the interest repayments are generally tax deductible.
Westpac are involved in many community programs and other initiatives designed to help others succeed in life. These programs and initiatives are split into a number of different categories:
Westpac also operate a number of foundations that provide assistance for various community groups.