A non-resident's ability to get a car loan will depend upon the lender’s criteria, their visa and financial situation. However, there are a few things non-residents can do to improve their chances of getting a car loan before beginning the application process.
Check visa expiry dates: Applying for a car loan when you have enough time left on your visa to account for a two to five-year loan term may improve your chances of approval. This is because the loan term for temporary residents always ends at least three months before your visa ends.
Proof of Australian residence: If you can prove that you are renting, or even own an Australian residence, you may have a greater chance of receiving approval on a car loan. Paying monthly rent and expenses from a savings account and providing bank statements to the lender is a great way to prove that you can meet loan repayments.
Do not breach your visa requirements: Working visas often come with certain requirements, such as restricting working hours and choice of employers. Many non-residents can only work with one employer, for a certain number of hours per week. If you breach your visa by either working more hours than stipulated or having multiple jobs, you may not be denied a car loan.
Save a cash deposit: Cash savings put borrowers in good stead when applying for car loans, especially when a deposit is needed and you must prove you earned it. If you can prove that these savings have been held in an Australian bank account, as a result of receiving regular, stable income, this will put you in a better position to get your car loan approved.
Prove regular, stable income: If you receive a steady income in an Australian bank account, you may increase your chance of loan approval. Many lenders look for income earners over $50,000 per year, who earn regular income throughout the year. Seasonal income, regardless of whether it amounts to a larger amount, is often viewed less favourably than continuous, regular income.