What is a Chattel Mortgage?
A chattel mortgage allows different types of businesses ranging from sole traders to large corporations to obtain finance for their business purpose. It is a legal requirement must be used for a minimum of 50% business use to qualify for such a loan. Repayment options can be selected and vary from either weekly, fortnightly or monthly.
Chattel Mortgages
A chattel mortgage enables the payment of your business vehicle to be spread over its life. Chattel mortgage repayments are structured to defer the cash outflow of the asset. BusinessCarFinance.com.au offers repayment terms of up to 7 years.
Chattel Mortgages are a popular option for
• Businesses’s looking to renew or replace an existing vehicle
• Sole traders or partnerships who hold an ABN.
• Business owners wanting to finance a car with minimal documentation requirements
Advantages of a Chattel Mortgage
• You own the vehicle from day one
• GST can be claimed back.
• Instant approvals
• Pay no deposit for approved customers and get 100% finance.
• New, Used and Privately sold vehicles can be financed.
• Loans from $5000-$1,500,000+
Tax implications
Depending on your business structure, the interest component of repayments in addition to GST may be able to be claimed as a deduction - Consult your accountant or tax adviser for further information about tax benefits.
Click here to find out about obtaining a chattel mortage for credit impaired customers