Chattel Mortgage

If you’re in business, you want to take advantage of every saving and tax deduction you can. Whatever is best for your bottom line is best for growth, your employees and your long-term business goals. If your business relies on cars or vehicles for transportation or haulage, it’s important that you don’t pay more than you have to for car or vehicle finance. 

Whether you’re a solo entrepreneur or a logistics officer for a large corporation, the financial professionals at Savvy can help you find a low rate and high benefit chattel mortgage that will save your company money. Better yet, our chattel mortgage rates start from as little as 5.51%p.a.

Business Use

Here’s how a chattel mortgage works. Firstly, your car or vehicle must be for over 50% business use to qualify. A chattel mortgage is a type of commercial car loan in which your business purchases a vehicle and takes ownership and possession of it immediately. A mortgage is placed on the “chattel” (car, truck or other vehicle) and is removed when the loan is paid off. The car or vehicle enters your balance sheet as an asset.

Structured Loan

There are many upshots to chattel mortgages for business. The first is lower rates than some consumer car loans. Consumer car loans may be secured or unsecured, with the latter attracting significantly higher interest rates. Savvy connects with over 25 of Australia’s most trusted and highest rated lenders and banks to find you the best deal on car chattel mortgages. Since a chattel mortgage is a type of secured loan, you’ll be paying less in interest overall compared to unsecured loans of the same duration and value.

100% Finance

In many cases, chattel mortgages are cash flow neutral. You can finance 100% of the value of your vehicle, and in some cases finance an amount exceeding the value of your chosen vehicle. This means you can amortise your insurance costs, compulsory third party, stamp duty, registration and scheduled servicing as one single loan package. 

Tax Savings

You’ll even save on tax. Business can claim the GST paid on the purchase price of your car or vehicle on your next BAS. You can also claim interest paid on the loan and depreciation up to the depreciation limit. You can also claim the fuel input tax credit. Ask your accountant for more information, or call one of our financial professionals for more.

Flexible Loan Terms

We can tailor a chattel mortgage around your needs. Choose from loan terms ranging from 12 months up to 7 years, flexible repayment options, and offset your regular payments with a residual value payment (balloon payment) due at the end of the loan. The choice is yours!

Calculate Your Repayments

Do you want to know how much you’ll save on a chattel mortgage with Savvy? Use our chattel mortgage calculator for a rough guide, or get a FREE, no obligation online quote. It’s easy and only takes minutes.

Applications get approved FAST so you’re on the road in no time. Talk to one of our chattel mortgage professionals today on 1300 954 066. When the others cost too much, Savvy can save you!