Rating based on 11 reviews

RAC Car Loan

  • Car loans up to $100,000
  • Low-interest up to 7.55%
  • Repayment up to 7 years

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RAC homepage
Author RAC. Screenshot of RAC website.
[Accessed July 5, 2023]

About RAC

RAC, a financial service- and insurance provider, has been setting the benchmark in the vehicle loan industry for more than a century.

The company has become the trusted guardian of the residents of Western Australia. Founded in 1905, it proudly stands today as an undisputed symbol of reliability and recognition throughout the state. RAC currently boasts an incredible 1.2 million members.

A passion for transformation

As a purpose-driven organisation, the company wholeheartedly reinvests its profits to serve its esteemed members and the wider community. They strive relentlessly to enhance their services and deliver exceptional experiences. They’re innovative thinkers, spearheading transformative change that paves the way to a safer, more sustainable, and connected future for every Western Australian.

Creating a future in which to thrive

The very essence of RAC lies in its unyielding dedication to social purpose and member value, permeating every facet of its operations. This steadfast focus not only shapes its impactful initiatives in society but also forms the foundation of its organizational strategy. Trust them to be your unwavering partner in creating a brighter tomorrow.

A commitment to sustainability

RAC is extremely passionate about protecting the environment and sustainable living. To prove their unwavering commitment to protecting the planet, they have incorporated a host of eco-friendly features in their modern West Perth office building. These include:

  • A solar system with a 100kw capability erected on the roof
  • Employees have a choice of a number of end-of-trip facilities that offer active transportation modes.
  • Waste reduction features throughout the building promote energy efficiency.
  • The use of e-bikes to eliminate unnecessary short car journeys in the city parameters.

The company also continuously collaborates with the government and related stakeholders to create better opportunities for their employees, clients, the community, and the greater environment. They’re wholly committed to the adoption of zero-emission transportation and improved walking and cycling networks. Health is wealth, and RAC clearly demonstrates what can be achieved through commitment.

Online convenience to make life easier

The company’s online platform has been designed for easy access. It’s a convenient digital tool where clients can manage their accounts, contact support services, get their loan statements and apply for loans. The platform allows you to keep track of your loan experience.

RAC Services

RAC is in the business of making life easier for its clientele.

Apart from their affordable car loan options, they also offer loans and investment products, as well as value-added services such as home security and monitoring, car servicing and repairs, and roadside assistance.

The magic begins with an affordable RAC car loan

Whether you're looking for a fixed-rate loan to manage your budget or a variable-rate loan for greater flexibility, you needn’t look any further than RAC Australia.

The company offers a range of flexible and adaptable vehicle loan options designed to meet your changing needs and requirements. With competitive interest rates and repayment terms, you can expect personalised customer service to ensure a smooth borrowing experience.

Additionally, you can choose from additional benefits such as comprehensive car insurance options and discounted roadside assistance, making them a comprehensive choice for all your car financing requirements.

A partnership based on trust and transparency

Choosing a RAC car loan is a clever move for the following reasons:

  • Superb interest rates that start from 7.55 % per year and a comparison rate of 7.98%.
  • You can get behind the wheel of your dream car much quicker.
  • You don’t pay any ongoing or monthly fees on your loan.
  • Quick turnaround means you can get approval in as little as 7 working hours.
  • New and older models from 2012 qualify, so you are spoiled for choice.
  • Repayment options are flexible. You can choose a term between 3 to 7 years and pay your instalments fortnightly or monthly.

A company that doesn’t compromise on safety

They encourage motorists to take their own well-being very seriously when choosing a new vehicle. Therefore, they only finance 2012 models and newer ones that have a minimum 4-star ANCAP rating. To qualify, the Australian New Car Assessment Program (ANCAP) subjects vehicles to rigorous crash tests to evaluate their performance in adverse situations. If a brand gets 4 stars, it indicates satisfactory safety levels in the event of an accident. Your safety is a great concern to them.

Fewer emissions for a brighter future

RAC’s concern about the environment is obvious in its environmental initiatives. The company goes even further by offering an added incentive to owners of electric or low-emissions vehicles in the form of a 0.5% annual discount on the interest rate of your loan. You also qualify for 25% off comprehensive motor insurance.

RAC – Car loan

  • Loan Type Car loans
  • Interest Rate 7.55%
  • Loan Amount up to $100,000
  • Repayment 3 years to 7 years

Benefits of RAC

  • Flexible loan terms
  • Online pre-approval
  • No monthly fees

Car loan calculator

The interest rate of a loan will vary based on your credit score and risk profile.
This car loan calculator is for illustration purposes only.
The use of this loan calculator is subject to our terms of use.

Follow these 6 easy steps to get a RAC car loan

  1. Decide on the vehicle you want to finance by making a list of your requirements for your next car.
  2. Determine the most affordable loan and interest for your budget by using the online calculator.
  3. You can complete the online application form for a quick quote or phone them to talk to a representative.
  4. You can expect an outcome within 7 working hours after submitting your application together with all the required paperwork.
  5. If you get approval, you’ll be asked to supply additional documentation.
  6. All that’s now left to do is to sign your loan contract, online or in person.

Important pre-application details to take note of

Qualification criteria

  • You have to be at least 18 years.
  • Proof of monthly income.
  • A valid Australian driver’s license or learner’s permit.
  • You have to be a permanent WA resident or Australian citizen.
  • You have to be free from bankruptcy for a period of about 7 years.


RAC’s committed to addressing complaints timeously and with objectivity. They’ll initiate the resolution process swiftly and will clearly communicate the expected timeframe for the handling of your issue.

  • Assessments are fair.
  • Your complaint will be thoroughly investigated.
  • You’ll be kept in the loop about progress at all times.

The company values open communication and shared decision-making. Addressing clients’ concerns is their top priority to foster long-lasting partnerships with customers.

Hitting a bump in the road

Life’s unpredictable at best, and there might come a time that you’re unable to meet your loan commitments. Contact them immediately to come to a mutually agreeable arrangement.

Your contract can be amended in the following ways:

  • The term can be extended to reduce your instalment amount.
  • You can get a reprieve by delaying your payments for a specific period.

They’re always willing to find the best solution to any problem you might encounter.

Settling your RAC car loan sooner than expected

Should you want to repay your loan in full within the first 2 years of your term, you’ll have to pay an early termination fee.

Let your voice be heard

You can also become a RAC member to be able to participate in RAC Member’s Voice, an online community where you can share ideas and opinions, and advocate for change. Simply complete the online membership application.

Customer Reviews & Testimonials

May 2023

I highly recommend RAC to anyone in need of a car loan. Their exceptional service and competitive rates make them a standout choice.

John R
— Cairns —

December 2022

RAC has been my go-to car loan provider, and they have consistently exceeded my expectations. Their team is reliable and trustworthy, always delivering on their promises. The loan application pro...

Alice S
— Canberra —

November 2022

I'm thrilled with my car loan experience with Driva and would highly recommend their services to anyone in need of financing for their vehicle.

Ryan R
— Sydney —

RAC Contact

Physical Address

  • 832 Wellington Street West Perth Western Australia 6005 Australia
  • Get Directions

Opening Hours

  • Monday 08:30 – 17:00
  • Tuesday 08:30 – 17:00
  • Wednesday 08:30 – 17:00
  • Thursday 08:30 – 17:00
  • Friday 08:30 – 17:00
  • Saturday – Closed
  • Sunday – Closed