Compare BMW car loans and financing options

Buying a luxury car like a BMW in Australia often requires some kind of car finance, whether that’s a car loan, car lease, or other option.

You may be offered car finance from your BMW dealer, or even directly from the BMW group via BMW financial services or Alphera Financial Services. 

While this may be convenient, other options from large and small banks, non-bank lenders and other specialist car finance providers may offer interest rates, fees, features and benefits that better suit your needs. 

Comparing car loans from different financial service providers can help you work out the best options for buying your new car.

Some of BMW’s current offers include:

• BMW 1 series 5-door hatchbacks from $46,990, with sporty and dynamic design.
• BMW 2 series coupes, convertibles and active tourers from $50,990, with striking design and efficient performance.
• BMW 3 series sedans, touring and gran turismos from $69,900, with intelligent features and a focus on performance.
• BMW 4 series coupes, convertibles, and gran coupes from $70,900, designed to provide sporty performance.
• BMW 5 series touring and sedans from $99,400, for modern business needs.
• BMW 6 series convertibles, gran coupes and gran turismos from $73,200, with distinctive and expressive designs.
• BMW 7 series sedans from $204,400, designed with luxury in mind.
• BMW 8 series coupes, sedans and convertibles from $179,900
• BMW X series SUVs from $46,900, with versatile and dynamic designs.
• BMW M series sports cars from $102,900, combining performance, agility and precision.
• BMW i series electric cars from $70,900, featuring innovative technology as well as trend-setting design style.
• BMW Z series convertibles from $84,900.

Note: Prices based on BMW prices and current prices listed on carsales.com.au as of 29.10.2021. 

Some car loan options may be better suited to buying your next BMW than others, making it important to compare your choices before making a decision. The cost and value of your BMW car loan may depend on a range of factors, including:

• Interest rate: The higher the rate, the more your loan may cost in interest charges
• Comparison rate: Combines the cost of interest with standard fees and charges you give you a better idea of the loan’s total cost
• Fees: May include establishment fees, account keeping fees, and other fees
• Features: May add extra value for some customers e.g. the option to make extra repayments and redraw this money if required
• Loan term: A shorter loan term may have higher monthly repayments, but cost you less in total. A longer loan term may help to lower your monthly repayments, but you’ll pay more total interest on your BMW.

Generally, the better your credit score, the better the car loan deals you may be eligible for. This is because having a good credit history indicates to lenders that you’re a safer lending risk, who is less likely to default on your repayments.

You can check your credit score at RateCity to get a better idea of which car loans you’re more likely to be eligible for.

Depending on your financial situation, a variety of car finance options may be available for you to use when buying a BMW. These may include:

• Secured car loans: Using the value of your BMW as collateral on the loan could help you get a lower interest rate, though you risk losing the car if you default on your repayments.
• Unsecured car loans: These loans don’t require you to use your BMW as security, though they may have higher interest rates.
• Chattel mortgage: If you’re using your BMW for work, a chattel mortgage may offer some extra tax benefits when used for business finance.
• Car lease: This may let you enjoy access to a BMW, though you may not get to own the car at the end of the term.

The cost of your BMW car loan will depend on how much you’re borrowing to cover the car’s purchase price, as well as the interest rate, fees, and loan term you’re offered.

The maximum loan amount you may be approved to borrow will depend on a range of factors, from your income and other expenses to your credit score. Your credit score may also affect the interest rate you’re offered.

You can use a car loan calculator to work out the repayments on a car loan in advance, and to estimate the total cost of the loan over the full term. Keep in mind that there may be other fees and charges to also take into account.

Once you find a car loan you like the look of, you can start the pre-approval process before buying your BMW. It’s important to check that you can fulfil the lender’s eligibility criteria, and that you can provide the necessary proofs of income, residence and identity.

You may be able to apply for a BMW car loan online, in person at a branch, or over the phone. A car finance broker may be able to help you take care of the paperwork, as well as helping you select a car loan that may suit your needs.

One convenient way to buy a BMW is to take out dealer finance right there in the showroom, or directly from the manufacturer via BMW Australia Finance. However, depending on where you’re buying your BMW, there may only be limited finance options to choose from. Using comparison tools to compare consumer loans before visiting a BMW dealership can give you a better idea of what’s available, so you can make the best choices to suit your financial situation.