What Will My Car Repayments Be? Weekly Examples for NZ Car Loans
Before you fall in love with a car, it pays to know what the car repayments will actually be. In New Zealand, your weekly repayment on a car loan comes down to four things: how much you borrow, the interest rate, how long the loan runs, and the fees added to it. Change any one of them and the weekly figure moves.
Below are worked examples for $10,000, $15,000, $20,000 and $30,000 car loans across the rates our lenders offer, from 10.69% to 17.95% p.a. Every figure includes the $800 establishment fee, calculated the same way as our car finance calculator, so you can check any number yourself.
The Short Answer
A $20,000 car loan over five years costs roughly $103 to $121 a week, depending on your rate. At our calculator's default rate of 11.95% p.a., it is about $106 a week, including the $800 establishment fee.
As a quick guide over five years, every $5,000 you borrow adds roughly $25 to $30 a week. Shortening the term to three years raises the weekly repayment by about half, but cuts the total interest you pay substantially.
Weekly Car Repayments Over 5 Years
| Loan amount | 10.69% | 11.95% | 14.95% | 17.95% |
|---|---|---|---|---|
| $10,000 | $54 | $55 | $59 | $63 |
| $15,000 | $79 | $81 | $86 | $92 |
| $20,000 | $103 | $106 | $114 | $121 |
| $30,000 | $153 | $157 | $168 | $180 |
Estimated weekly repayments, rounded to the nearest dollar. Includes the $800 establishment fee added to the loan. Excludes optional insurance, mechanical breakdown cover and any other lender fees. Your actual rate depends on your circumstances.
Weekly Car Repayments Over 3 Years
| Loan amount | 10.69% | 11.95% | 14.95% | 17.95% |
|---|---|---|---|---|
| $10,000 | $81 | $82 | $86 | $90 |
| $15,000 | $118 | $121 | $126 | $131 |
| $20,000 | $156 | $159 | $166 | $173 |
| $30,000 | $231 | $235 | $245 | $256 |
Estimated weekly repayments, rounded to the nearest dollar. Includes the $800 establishment fee added to the loan. Excludes optional insurance, mechanical breakdown cover and any other lender fees. Your actual rate depends on your circumstances.
What Changes Your Repayment
Loan Amount
The biggest lever. Borrowing $5,000 less takes roughly $25 to $30 off a five-year weekly repayment.
Interest Rate
Set by your lender based on your credit history, income, deposit and the vehicle. It ranges from 10.69% to 17.95% p.a.
Loan Term
A longer term means smaller repayments but more interest overall. Our calculator covers one to five years.
Deposit or Trade-In
Anything you put down reduces the amount borrowed, which lowers both the repayment and the interest.
Fees
The $800 establishment fee is added to the loan. Some lenders may charge other small fees, which appear in your loan documents.
Repayment Frequency
Weekly, fortnightly or monthly. The total cost barely changes, so match it to when you get paid.
Shorter or Longer Term: What It Really Costs
It is tempting to stretch a loan to get the lowest weekly figure, and for many buyers a five-year term is the right call for their budget. Just be clear on the trade-off.
Take a $20,000 loan at 11.95% p.a. with the $800 fee included:
- Over 3 years: about $159 a week, with roughly $4,000 in total interest.
- Over 5 years: about $106 a week, with roughly $6,850 in total interest.
The five-year loan costs about $52 a week less, but around $2,900 more in interest overall. A good middle ground is to take the longer term for breathing room and make extra payments when you can, if your loan allows it.
Weekly, Fortnightly or Monthly?
On that same $20,000 loan over five years at 11.95% p.a., the repayment is about $106 a week, $213 a fortnight or $462 a month. Paying weekly saves a little interest because your balance drops slightly sooner, but the difference is only around $80 over the whole loan.
The real benefit of choosing the right frequency is budgeting. If you are paid weekly, weekly repayments mean the money leaves your account before you have a chance to spend it.
How a Deposit Lowers Your Repayments
A deposit or trade-in reduces the amount you borrow from day one. Using the example above, putting $3,000 towards a $20,000 car brings the five-year weekly repayment at 11.95% down from about $106 to about $91, and saves interest over the life of the loan.
If you have a car to trade, see our sell or trade page and our tips on getting the best trade-in value. Still paying off your current car? Our guide to trading in with an existing car loan explains your options. No deposit at all? Read about no deposit car finance.
What the Repayment Does Not Include
The figures above cover the loan itself. When you budget, also allow for:
- Optional extras: insurance and mechanical breakdown cover can be added to your quote, which increases the repayment.
- Running costs: fuel, WoF, registration, servicing and tyres. Our guides to servicing a used car and what happens at a WoF help you plan for these.
- Car insurance: lenders usually want the vehicle insured. Get a quote early through our car insurance page.
Paying Your Car Loan Off Early
Under the Credit Contracts and Consumer Finance Act (CCCFA), you can repay a consumer loan early. The lender is allowed to charge an early repayment fee to cover its losses, either using a formula set out in the law or another method that reasonably estimates its loss, and the fee must be stated in your loan terms (Banking Ombudsman). If you plan to pay extra or clear the loan early, ask about these terms before you sign.
How to Work Out Your Own Repayment
Run the Calculator
Enter the car price, any deposit, the term and frequency to see an estimate that includes the $800 fee.
Check It Fits
Compare the repayment with your budget after rent, bills, fuel and insurance, not before them.
Get Your Real Rate
Apply online to get an actual rate and repayment from our lenders, instead of an estimate.
Related Car Finance Guides
Want to go deeper? See how much you can borrow for a car, how car finance interest rates work, what affects car loan approval and car finance without a regular job. For budget-friendly picks, browse our guides to the best used cars under $15,000 and under $20,000.
Car Finance Specialists in Hamilton
At 4Guys Autobarn we arrange car finance every day for buyers across the Waikato and the rest of New Zealand. We work with a wide range of lenders, so we can look for a rate and term that keeps your repayments comfortable, and we will walk you through the numbers before you commit to anything.
Visit us at 20 Arthur Porter Drive in Hamilton, open seven days, or get started online: browse our current stock and apply for finance. Not local? We offer delivery anywhere in New Zealand. More questions? Try our car finance FAQs.
Frequently Asked Questions
- Over five years, a $20,000 car loan works out at roughly $103 to $121 a week at rates between 10.69% and 17.95% p.a., including an $800 establishment fee. At our calculator's default rate of 11.95%, it is about $106 a week.
- Over five years, a $10,000 car loan is roughly $54 to $63 a week at rates between 10.69% and 17.95% p.a. Over three years it is about $81 to $90 a week. Both include the $800 establishment fee.
- Over five years, a $30,000 car loan is roughly $153 to $180 a week at rates between 10.69% and 17.95% p.a. Over three years it rises to about $231 to $256 a week.
- A longer term lowers your weekly repayment but increases the total interest you pay. On a $20,000 loan at 11.95%, a five-year term costs about $2,900 more in interest than a three-year term.
- Choose the frequency that matches your pay. Paying weekly saves a little interest because the balance drops sooner, but the difference is small: about $80 over five years on a $20,000 loan at 11.95%.
- Yes. Our examples and our car finance calculator add the $800 establishment fee to the loan, so it is spread across your repayments. Optional extras like insurance or mechanical breakdown cover are not included.
- Yes. Under the CCCFA you can repay a consumer loan early, but the lender can charge an early repayment fee to recover its losses, as long as it is set out in your loan contract. Check your contract before you sign.
- Rates through our lenders range from 10.69% to 17.95% p.a. Your rate depends on your credit history, income, deposit, loan size and the vehicle. Applying gives you an actual rate rather than an estimate.
