Last updated on May 5th, 2022 at 04:57 pm by Thomas Perrotta
Work out how much a truck loan will cost you month to month with our easy to use repayments calculator.
Last updated on May 5th, 2022 at 04:57 pm by Thomas Perrotta
Australian business relies on trucks. Whether it’s transporting goods, fuel or heavy plant, trucks are an essential part of a company’s continued success. If you’re wondering how much your preferred truck loan might cost, you can use Savvy’s simple truck finance calculator below to make an approximate chattel mortgage calculation.
All you need is how much you intend to borrow, the interest rate, your loan term and whether you want to make a deposit. You can also select your repayment frequency for an accurate demonstration of your obligations before applying with Savvy, where you can experience a vast range of lending options all in one place.
At Savvy, you can compare and choose from low fixed rate chattel mortgage deals to help your business save on financing across your repayment term.
You won’t need to worry about making a deposit if your business doesn’t have the means to do so: we’ll help you get approved for the full truck purchase price.
You can shape your own repayments by selecting the term over which you make them, from as long as seven years down to as little as 12 months.
Whether you’re in the market for a tow truck, semi-trailer, heavy vehicle or anything in between, you can be approved for financing with a lender who suits your needs.
With GST claimable on the purchase price of the truck, as well as truck depreciation and interest on your payments, borrowers can take advantage of important tax benefits.
Your options aren’t limited to brand-new trucks on the lot, however. You can also choose from an array of used vehicles from both dealers and private sellers.
Stamp duty, vehicle registration, extended warranties and insurance can all set you back a substantial amount upfront, so you can arrange for these to be covered by your loan.
We partner with lenders who offer finance solutions for truck fleets also, making the process simpler for buying multiple vehicles at once for your business.
Our 25-strong lender panel breeds competition, which can help you access the cheapest and best loan for your truck.
Your application will not only be simple to complete from your smartphone or computer, but you can drive away in just 48 hours.
With our friendly and experienced consultants by your side, they’ll help shape your application to fit your lender’s requirements.
The most common method of buying for business purposes, chattel mortgages enable you to take ownership of your truck from the outset of your loan.
This gives you the freedom to use and modify the vehicle how you like, provided that it’s used for your business at least 50% of the time and that these modifications won’t significantly decrease its value.
Finance leasing is different to a chattel mortgage in that you’re paying to hire the truck from your financier, who owns it. This brings with it different tax benefits, with up to 100% of your payments able to be claimed. Residual payments are required with these leases, which decides what you’ll do with the truck:
Operating leases are very similar to finance leases, except they differ in one key area: there is no obligation or expectation for you to pay a residual at the end. Lessees can simply hire the truck for a set period and hand it back afterwards. Lessors will also organise all of the on-road costs for you and incorporate them into your lease, making them a more expensive option than finance leases.
Hire purchases are also structured in essentially the same way as a truck lease, except they’re designed for businesses who conduct their accounting on an accrual basis – when revenue and expenses are recorded at the point of transaction instead of when your business pays or receives funds. This is the only way for these businesses to be able to claim for GST on the truck purchase on their upcoming BAS.
Alternatively, if you don’t wish to provide security, you can instead look to a loan that sidesteps the need for a secured asset in the form of an unsecured business loan. These come with higher interest rates than secured finance and will generally cap your term at three to five years. However, what they do bring is the flexibility to use the funds how you like across your business. These loans are generally capped at around $300,000 and can be turned around in just one business day.
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