Car loan statistics 2024
Finder research found that 2.5 million Australians have a car loan.
A car loan is a type of personal loan used for buying a vehicle such as a car, ute or motorbike. This can be a handy way to cover the upfront cost of a vehicle if you don't have the full amount saved. You can then repay the cost of the vehicle with interest over a set period of time.
So how many Australians take out car loans to finance their new ride, and how much do they owe? We used data from Finder's Consumer Sentiment Tracker along with external data to take a closer look at the state of car loans in Australia.
How many Australians have a car loan?
According to Finder's Consumer Sentiment Tracker, a live survey of over 11,000 respondents, around 12% of Australians currently have a car loan in July 2024. That's equivalent to 2.5 million people.
How much are Australians borrowing on average?
Finder's Consumer Sentiment Tracker shows that on average Australians are carrying approximately $12,346 through their car loan as of July 2024. Gen X are the most indebted owing on average $13,915.
Meanwhile, ABS figures from October 2023, show that new vehicle lending is currently at $1.5 billion, as of July 2024, increasing from $1.3 billion in July 2023.
Car loans by age group
Gen Z are the most likely to have a car loan, with over a quarter of people in this age group (26%) currently paying off their vehicle in instalments. This is followed by 23% of millennials. Baby Boomers were least likely to have a car loan.
Car loans by location
Motor finance customers are the most likely to live in Western Australia, where 19% of residents have a car loan. This is followed by 17% of New South Wales, and 14% of Tasmanians.
South Australians are the least likely to rely on finance to purchase a vehicle, with just 9% currently having a car loan.
How many cars are registered on Australian roads?
According to the Bureau of Infrastructure and Transport Research Economics (BITRE), 15,699,852 vehicles are currently registered. That is a 2.4% increase compared to 2023 and 4.8% increase from 2022.
How many new cars were sold in Australia in 2023?
Federal Chamber of Automotive Industries (FCAI)'s research shows that 1,118,236 new cars were sold from January to November 2023. Sports utility vehicles (SUVs) claimed the largest share with 56% of the market during 2023, with 627,187 new vehicles sold.
Light commercial vehicles continue to remain popular in Australia, with a 22% market share in 2023 (248,546 vehicles sold). Passenger vehicles also accounted for 17% of the market in 2023 (195,116 vehicles sold).
What brands are the most popular in Australia?
In November 2023, the brand with the most sales was Toyota, which sold 21,002 vehicles in total. This was followed by Mazda, with 8707 vehicles sold, and Ford (8165 vehicles sold).
Compare car loans
A cheap car loan doesn't necessarily mean you're getting the best deal. Comparing your options can save you hundreds, if not thousands of dollars over the life of your loan. You can compare car loans by interest rate, fee and repayments, and lendrs with Finder.
For all media enquiries, please contact:
Media relations lead and personal finance specialist, Taylor Blackburn
E: taylor.blackburn@finder.com
Sources
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