Vehicle Finance
Vehicle Finance Options
Chattel Mortgage
A Chattel Mortgage is an ideal way for individual business customers to maximise the taxation benefits gained from financing a new vehicle.
A Chattel Mortgage is designed for those sole traders and partnerships who account for their business operations on a cash basis and can be used for purchasing a new vehicle or upgrading an existing vehicle.
A Chattel Mortgage is designed for those sole traders and partnerships who account for their business operations on a cash basis and can be used for purchasing a new vehicle or upgrading an existing vehicle.
GST
Under both a Chattel Mortgage and Commercial Hire Purchase agreement, the Goods and Services Tax (GST) is contained in the purchase price of the vehicle, but does not apply to the monthly repayment or balloon (final instalment) on the contract.
Normally, those individual business customers who are registered for GST purposes and enter into a Commercial Hire Purchase agreement will apply Input Tax Credits (ITCs) to claim back some or all of the GST (up to a maximum amount of $5,183) contained in the price of the motor vehicle. A Chattel Mortgage is well suited to those individual business customers who account on a cash basis. Individual business customers accounting on a cash basis can claim back the GST as soon as they lodge their next Business Activity Statement (BAS).
Consumer Car LoansWhen you find the perfect car, you want to call it yours straight away – without incurring a financial burden.
Our consumer loans allow you to purchase a new or used car and take ownership of it immediately, so you can be out on the road in no time.
With fixed payments and interest rates, your loan will align with your cash flow, so that you won’t have to worry about staying within your budget. We’ll also help you customise a contract term and repayment plan to best suit your situation.
Best of all, this option is cheaper than a personal loan because the vehicle secures the finance, meaning you’ll get a lower interest rate.
Normally, those individual business customers who are registered for GST purposes and enter into a Commercial Hire Purchase agreement will apply Input Tax Credits (ITCs) to claim back some or all of the GST (up to a maximum amount of $5,183) contained in the price of the motor vehicle. A Chattel Mortgage is well suited to those individual business customers who account on a cash basis. Individual business customers accounting on a cash basis can claim back the GST as soon as they lodge their next Business Activity Statement (BAS).
Consumer Car LoansWhen you find the perfect car, you want to call it yours straight away – without incurring a financial burden.
Our consumer loans allow you to purchase a new or used car and take ownership of it immediately, so you can be out on the road in no time.
With fixed payments and interest rates, your loan will align with your cash flow, so that you won’t have to worry about staying within your budget. We’ll also help you customise a contract term and repayment plan to best suit your situation.
Best of all, this option is cheaper than a personal loan because the vehicle secures the finance, meaning you’ll get a lower interest rate.
Get a quote on Personal Car Loan
Commercial Hire Purchase
Commercial Hire Purchase agreements are typically used by individual business customers who wish to place a deposit into their finance contract, or nominate the value of the balloon (final instalment) on their contract.
This type of contract offers maximum flexibility to set the monthly repayment amount to suit your individual circumstances.
This type of contract offers maximum flexibility to set the monthly repayment amount to suit your individual circumstances.
GST
Under both a Chattel Mortgage and Commercial Hire Purchase agreement, the Goods and Services Tax (GST) is contained in the purchase price of the vehicle, but does not apply to the monthly repayment or balloon (final instalment) on the contract.
Normally, those individual business customers who are registered for GST purposes and enter into a Commercial Hire Purchase agreement will apply Input Tax Credits (ITCs) to claim back some or all of the GST (up to a maximum amount of $5,183) contained in the price of the motor vehicle. A Chattel Mortgage is well suited to those individual business customers who account on a cash basis. Individual business customers accounting on a cash basis can claim back the GST as soon as they lodge their next Business Activity Statement (BAS).
Novated Lease
Normally, those individual business customers who are registered for GST purposes and enter into a Commercial Hire Purchase agreement will apply Input Tax Credits (ITCs) to claim back some or all of the GST (up to a maximum amount of $5,183) contained in the price of the motor vehicle. A Chattel Mortgage is well suited to those individual business customers who account on a cash basis. Individual business customers accounting on a cash basis can claim back the GST as soon as they lodge their next Business Activity Statement (BAS).
Novated Lease
Novated Lease
A novated lease is a three way agreement between the employer, employee and the lender.
The employer, employee and financier sign a Novation Agreement, whereby the employer agrees to take on the employee’s obligations under the lease. Under this arrangement, the employer makes the monthly lease payments on behalf of the employee. Should the employee leave his or her employment for any reason, the Novation Agreement ceases and the obligations assumed by the employer revert to the employee as the registration is in the employee’s name. NovatedLeaseDiagram_Small The choice of vehicle remains with the employee, ensuring it is a vehicle that fully meets their needs.
The employer deducts a portion of the vehicle financing and running costs from the employee’s pre-tax income, which can reduce the employee’s taxable income, and thus the amount of tax payable. And there is no need for the employee to do anything on their tax returns, the employer and lender take care of this.
If a vehicle is purchased using another form of finance, 100% of the costs will be taken from after tax income, providing no tax benefit at all.
If a fully maintained lease is opted for, vehicle running costs, such as maintenance, registration, insurance costs and projected fuel can also be included in the regular salary deduction.
We are also able to assist with finding the right vehicle, as well as offering fleet discounts on the purchase price and running costs.
The employer, employee and financier sign a Novation Agreement, whereby the employer agrees to take on the employee’s obligations under the lease. Under this arrangement, the employer makes the monthly lease payments on behalf of the employee. Should the employee leave his or her employment for any reason, the Novation Agreement ceases and the obligations assumed by the employer revert to the employee as the registration is in the employee’s name. NovatedLeaseDiagram_Small The choice of vehicle remains with the employee, ensuring it is a vehicle that fully meets their needs.
The employer deducts a portion of the vehicle financing and running costs from the employee’s pre-tax income, which can reduce the employee’s taxable income, and thus the amount of tax payable. And there is no need for the employee to do anything on their tax returns, the employer and lender take care of this.
If a vehicle is purchased using another form of finance, 100% of the costs will be taken from after tax income, providing no tax benefit at all.
If a fully maintained lease is opted for, vehicle running costs, such as maintenance, registration, insurance costs and projected fuel can also be included in the regular salary deduction.
We are also able to assist with finding the right vehicle, as well as offering fleet discounts on the purchase price and running costs.
