When it comes to buying your new car – there are many car finance options available for you to consider. This summary is designed to assist you with choosing the best car finance and best car loans for your needs.
Car Leasing
With a car lease the financier buys equipment on your behalf and rents it back to you. You finance the total purchase price of the car (less the GST input tax credit) and make regular rental instalments for a fixed period of time - usually up to five years.
Novated Leasing
Provides the opportunity for employers to offer employees the option of leasing a new car or used of their choice as part of their salary package. The novated lease is in the employee’s name, and the employee has ultimate responsibility for the leased vehicle (even after leaving the employer). Learn more about employer benefits and employee benefits.
Commercial Hire Purchase
A common method to arrange motor vehicle finance, whereby the financier buys the goods and hires them back to you as the customer. With a commercial hire purchase or CHP agreement ownership is automatically transferred to the customer at the end of the car finance agreement.
Chattel Mortgage
The goods are purchased directly from the supplier and the financier registers a mortgage or lien over the goods until the contract is repaid in full, hence the term chattel mortgage. If GST is included in the price, the customer may be eligible to claim the GST back in their next BAS. Apart from mortgage stamp duty, the contract or repayments do not attract GST or stamp duty.
If you would like to discuss your car loan or car leasing needs with one of our finance professionals call 1300 887 967 and start a car finance conversation.
