Car buying in Australia

Motor vehicle facts and figures

Buying a car isn't just about shiny rims and fluffy dice - it is a major financial decision. This infographic shows how you can save money by using ASIC's MoneySmart Cars app and how many people own cars in Australia.

2016 Moneysmart Cars 01
2016 Moneysmart Cars infographic - part 2
2016 Moneysmart Cars infographic - part 3
2016 Moneysmart Cars infographic - part 4

 

Car buying in Australia

Australians own 18 million vehicles 1

  • 13.8M Passenger vehicles
  • 3M Commercial light vehicles
  • 800,000 Motor bikes
  • 750,000 Others 2

The averages passenger vehicle

  • Consumes 10.7L of fuel per 100 km 3
  • Travels 13,200 km per year 3
  • Costs $1,737 per year in petrol 3

Average distance travelled (per week) 3

  • TAS - 11,600 km
  • SA / WA - 12,000 km 
  • NT - 12,400 km
  • QLD - 12,800 km
  • ACT - 13,400 km
  • NSW - 13,500 km
  • VIC - 14,100 km

Getting a better deal using MoneySmart Cars app

Scenario 1: App vs No app

STEPH (Student aged 20)

STAN (Student aged 20)

Doesn't use app

Uses app

  1. Monthly repayments of $359
    (Steph took the first loan her car dealer offered her)
  2. Interest rate 15.00%
  3. Petrol cost $30 per week
  4. Gap Cover $750. Optional extras: Tinted windows and car mats $750
    (Steph got the extras)
  1. Monthly repayments of $291
  2. Interest rate 11%
    (Stan used the car app to see how much he could save and shopped around for a better car loan)
  3. Petrol cost $25 per week
    (Stan chose a more fuel efficient car)
  4. No extras (Stan didn't get any extras)
  • Total cost over 3 years is $28,409
  • Monthly cost is $734
  • Total cost over 3 years is $25,162
  • Monthly cost is $643

Steph is $3,247 worse off than Stan

Stan is $3,247 better off than Steph

Scenario 2 : Saving vs Loan

SMITH FAMILY

LEE FAMILY

Purchased using savings (Car price $28,000)

Purchased using loan (Car price $28,000)

  1. Saved for 12 months to buy the car outright. They save up $635 per week
  2. Using app, their car costs are $53,478 over 4 years
  1. Monthly loan repayment is $680 for 4 years
  2. Using app, their car costs are $58,858 over 4 years. (The Lee family's extra costs come from fees and interest on their loan)
  • Advantage: They are $5,380 better off and no debt means more financial freedom.
  • Disadvantage: They wait 12 months to buy their new car.
  • Advantage: They got the car straight away
  • Disadvantage: They are $5,380 worse off

The Smith family save $5,380 by saving up for a car and not getting a loan

 

How people use MoneySmart Cars app

  • The average car cost is $27,994
  • 59% of user select a loan for their new car
  • 51% of user select a used car
  • The average car loan amount is $18,049
  • Average amount spent on petrol per week is $20.64

Download the MoneySmart cars app to work out your real car costs.

Sources: 

  1. ABS, Motor vehicle census, Australia, 31 Jan 2016
  2. 'Others' includes campervans, trucks and buses
  3. ABS, Survey of Motor vehicle use, Australia, 12 months ended 31 Oct 2014
  4. AIP, Australian Institute of Petroleum Retail Price, financial year 2015/2016

Related links


Last updated: 30 Aug 2016