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Private purchase finance

Private sale car loans

A private sale car loan finances a car you buy from a private seller rather than a dealer, and it works like a used car loan with extra checks: a PPSR search to confirm no money is owing on the car, a valuation against the agreed price, and payment straight to the seller. Pepper Money, for example, publishes that it finances used cars bought privately or through a dealer, subject to its vehicle rules. On $20,000 over five years at 8%, the repayment is about $406 a month.

What are the repayments on a $20,000 private sale car loan?

Monthly principal and interest repayments over 5 years, by loan amount and interest rate
Loan amountMonthly repayment at
7%p.a.9%p.a.12%p.a.15%p.a.
$10,000$198$208$222$238
$15,000$297$311$334$357
$20,000$396$415$445$476
$30,000$594$623$667$714
$40,000$792$830$890$952

Illustrative monthly principal and interest repayments over 5 years, before fees and charges. Rates are examples, not offers; your rate depends on the lender and your circumstances. The rates span the used car range loans.com.au published in September 2026 (7.19% to 15.99%). Run your own numbers.

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Private sale loan calculator

Repayments on a privately bought car

Loan amount$20,000
$5,000$100,000
Interest rate7.49% p.a.
5.00% p.a.15.00% p.a.
Loan term5 years
1 year7 years
Monthly repayment
$400.66
Total interest
$4,040
Total repayment
$24,040
Principal 83.2%Interest 16.8%
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Estimates only. Actual rate and repayment depend on your lender, loan structure and credit assessment.

Car loan lenders a broker can check for a private sale

The car lenders in our directory. Not every lender finances a private sale; Pepper Money publishes that it does, and the broker checks the rest against the car and the seller.

Car loan lenders a broker can check for a private sale: each lender's type, the products it offers and its current rate
Commonwealth Bank of AustraliaMajor bankProducts:
  • Secured (new vehicle)
  • Secured (used vehicle)
Current rate:
6.79%p.a.
8.20% p.a. comparison rate*
Personal Loan Secured (New Vehicle) · Secured Fixed Rate Car Loan, secured by the car being bought: from rate for excellent credit (rates up to 11.29% p.a.); comparison on a $30,000 loan over 5 years.
Westpac Banking CorporationMajor bankProducts:
  • Secured (new vehicle)
  • Secured (used vehicle)
Current rate:
6.49%p.a.
7.90% p.a. comparison rate*
Car Loan Secured · Car Loan for petrol, diesel or LPG cars, fixed rate, secured by the car: from rate; the rate offered depends on your credit assessment.
Liberty FinancialNon-bankProducts:
  • Secured (new vehicle)
  • Secured (used vehicle)
Current rate:
8.99%p.a.
10.65% p.a. comparison rate*
Liberty Drive Secured · Flexible car loan, secured, new and used cars: from rate; comparison on a $30,000 new-car loan over 5 years with no balloon.
MoneyMeSpecialistProducts:
  • Secured (new vehicle)
Current rate:
6.24%p.a.
7.13% p.a. comparison rate*
MoneyMe Secured Car Loan · Secured car loan, variable rate, new or used vehicles: from rate for excellent credit history (maximum 26.10% p.a.); $12.50 monthly fee.
Now FinanceSpecialistProducts:
  • Secured (new vehicle)
Current rate:
7.59%p.a.
8.43% p.a. comparison rate*
NF Secured Car Loan (Tier 1) · Vehicle Loan secured by the vehicle, new or used: from rate (rates up to 15.39% p.a.); establishment fee up to $595.
PlentiSpecialistProducts:
  • Secured (new vehicle)
  • Secured (used vehicle)
Current rate:
7.99%p.a.
9.78% p.a. comparison rate*
Plenti Car Loan (Tier 1) · Secured car loan, new or demo vehicle, homeowner with exceptional credit: from rate (rates up to 12.99% p.a.); comparison on $30,000 over 60 months including a $14.90 monthly fee.
Australia and New Zealand Banking GroupMajor bankProducts:
  • Unsecured
Current rate: ANZ rate card (opens in a new tab)
National Australia BankMajor bankProducts:
  • Secured (new vehicle)
  • Secured (used vehicle)
Current rate: NAB rate card (opens in a new tab)
BankSAMajor-bank brandProducts:
  • Secured (new vehicle)
  • Secured (used vehicle)
Current rate: BankSA rate card (opens in a new tab)
ING AustraliaTier-2 bankProducts:
  • Unsecured
Current rate: ING rate card (opens in a new tab)
Show all 16 lenders
Car loan lenders a broker can check for a private sale, continued
Bank AustraliaCustomer-ownedProducts:
  • Secured (used vehicle)
Current rate: Bank Australia rate card (opens in a new tab)
IMB BankCustomer-ownedProducts:
  • Secured (new vehicle)
  • Secured (used vehicle)
Current rate: IMB rate card (opens in a new tab)
Newcastle Permanent (Newcastle Greater Mutual Group)Customer-ownedProducts:
  • Secured (new vehicle)
Current rate: Newcastle Permanent rate card (opens in a new tab)
Teachers Mutual BankCustomer-ownedProducts:
  • Secured (new vehicle)
  • Secured (used vehicle)
Current rate: Teachers Mutual rate card (opens in a new tab)
Pepper MoneyNon-bankProducts:
  • Secured (new vehicle)
  • Secured (used vehicle)
  • Unsecured
Current rate: Pepper Money rate card (opens in a new tab)
Angle FinanceSpecialistProducts:
  • Secured (new vehicle)
Current rate: Angle Finance rate card (opens in a new tab)

Inclusion is editorial reference, not a recommendation. Rates change often, so we only show a rate we captured from the lender's own page in the last 60 days, with a link to that page; otherwise we link to the lender's rate card where it publishes one. The broker you are matched with compares the lenders on their own panel.

See all 20 car loan lenders

* WARNING: This comparison rate is true only for the example given and may not include all fees and charges. Different terms, fees, or other loan amounts might result in a different comparison rate. Car loan comparison rates are based on a secured loan of $30,000 over 5 years.

Private sale car loans at a glance
  • Finance a car from Carsales, Gumtree, Facebook Marketplace or a private seller you know
  • Not every lender takes private sales; Pepper Money publishes that it does
  • The lender checks the PPSR and the car’s value before it pays the seller
  • Funds go straight to the seller’s bank account at settlement
  • Pre-approval lets you negotiate with a private seller like a cash buyer

How private sale car finance works

With no dealership in the middle, the sale is directly between you and the seller, and the lender funds it. That adds a few steps compared with a dealer purchase:

1
Get pre-approved
Know your budget, and which lenders take private sales, before you start looking.
2
Find the car and agree a price
Inspect it, agree the price with the seller, and get the VIN and rego details.
3
Checks and approval
PPSR search, market valuation and the lender's approval of that specific car.
4
Settlement
The lender pays the seller, you both sign the transfer, and you drive away.

Checks before buying privately

Private sales do not come with the consumer protections and statutory warranties of a dealer sale, so these checks protect you:

A PPSR search

It shows whether there is finance owing on the car and whether it is recorded as stolen or written off. A car with existing finance can be repossessed from you even if you paid the seller in full.

An independent mechanical inspection

A qualified mechanic can find hidden mechanical faults, accident damage or odometer tampering before you commit.

Service history and the VIN

Gaps in the service history can signal neglect. The VIN on the car should match the registration papers; a mismatch can mean a stolen or rebirthed vehicle.

The market value

Check RedBook, CarsGuide or similar before you agree a price, because the lender will value the car and may not lend above that value.

Never skip the PPSR search

If you buy a car with finance registered against it, the original lender can repossess it from you, even though you paid the seller, and you are left chasing the seller for your money. Run the search before you pay anything.

Valuation requirements for private sales

Lenders check that the price you agreed reflects the car's market value, which protects you and the lender from overpaying:

  • Automated valuation (RedBook or Glass's): the most common, based on year, make, model, variant and kilometres
  • Desktop valuation: an assessor reviews the car's details and comparable sales when the automated guide does not cover it
  • Physical inspection: for higher-value or classic cars, or when the automated valuation raises questions

If the agreed price is above the valuation, the lender will usually finance only up to the value, and you cover the difference as a deposit.

Eligibility

  • Australian citizen or permanent resident aged 18+
  • Regular income from employment or self-employment
  • A car that is registered or registrable in Australia
  • A clear PPSR search (no existing finance)
  • A price at or below the lender's valuation
  • The seller's bank details for direct payment

A car loan broker knows which lenders take private sales, which matters most for an older car.

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WARNING: This comparison rate is true only for the example given and may not include all fees and charges. Different terms, fees, or other loan amounts might result in a different comparison rate. Comparison rates are calculated on a secured loan of $150,000 over 25 years for home loans, a loan of $30,000 over 5 years for car and personal loans, and $50,000 over 5 years for equipment finance, unless the lender states another basis.

Private sale car loan FAQs

Can I get a car loan for a private sale purchase?
Yes, from lenders that accept private sales; Pepper Money, for example, publishes that it finances used cars bought privately or through a dealer. The process is like dealer finance with extra steps: the lender wants a PPSR search to confirm no money is owing on the car, a valuation or RedBook check to confirm the price is fair, and the seller’s details for settlement.
How does settlement work for a private sale?
Once your loan is formally approved, the lender pays the agreed amount directly to the seller’s bank account, or in some cases by bank cheque. You and the seller complete the transfer paperwork, and the lender registers its security interest on the PPSR.
What is a PPSR check and why is it important?
A PPSR (Personal Property Securities Register) check reveals whether the vehicle has any existing finance owing, is listed as stolen, or has been written off. This is critical for private purchases because unlike dealer sales, there is no statutory warranty. If you buy a car with existing finance, the original lender can legally repossess it from you. PPSR checks cost $2 and take seconds.
Do I need a valuation for a private sale car loan?
Most lenders check the price against market value: usually an automated RedBook or Glass’s valuation, sometimes a desktop valuation, and for higher-value or unusual cars a physical inspection. If you agree a price above the valuation, the lender will usually lend only up to the value, and you cover the difference.
Are private sale car loan rates different from dealer purchase rates?
It depends on the lender. Some price a private sale the same as a dealer sale, some price the extra checks into the rate, and some do not take private sales at all. The car’s age matters more: used car ranges run above new ones (loans.com.au published 7.19% to 15.99% on used cars in September 2026).
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