Residents on Gillies Rd, just metres from where the accident occurred, heard a massive bang and smelled smoke immediately after the accident.

As they ran from their homes to check for victims, the three men managed to free themselves from the crumpled wreck and escape before the front half of their silver car was consumed in flames.

The accident occurred in a 100kmh zone at the intersection of Cummins Avenue.

An Ambulance Victoria spokeswoman said a man in his 50s suffered a minor head injury, a high school aged boy sustained minor chest, arm and head injuries, and a man in his late teens suffered minor lower back injuries.

All three were taken to Ballarat Base Hospital for observation.

Residents said the number of vehicles using Gillies Rd had risen dramatically over the past three to five years and the 100kmh speed limit was too high.

“There are about 15 houses in the 100km zone and getting in and out of our properties is not as easy as it used to be – there have been many accidents and near misses,” one resident said.

Residents have called for the speed limit to be dropped to 80kmh.