Truck finance for transport operators

A chattel mortgage means you own the truck from settlement, while the lender holds a mortgage over it as security until the loan is repaid. For the business-use share, GST-registered operators can typically claim the GST in their next BAS and depreciate the truck's cost. Terms usually run 1 to 7 years. Confirm your own tax position with your accountant.

With hire purchase, the lender owns the truck for the life of the agreement and you make fixed repayments to use it, with ownership transferring to you once the final payment clears. It suits owner-drivers who want certainty over what they pay each month. Terms usually run 1 to 7 years.

Under a finance lease, the lender keeps legal title to the truck while you use it in your business and make regular lease payments, which are often tax deductible for the business-use share. At the end of the term you can buy the truck, refinance the residual or hand it back. Confirm your own tax position with your accountant.

An operating lease means you pay to use the truck for an agreed term, usually 3 to 5 years, and the lender carries the residual value risk. It suits fleets that like to keep trucks current. Servicing is often bundled in, and at the end you hand the truck back and move into a newer unit.

An unsecured business loan is assessed on your business's trading position rather than security over the truck. It can suit an older truck or a private sale where secured finance does not fit. Terms are usually shorter and rates higher than secured finance, so your Equifund specialist compares both before you decide.

Yes. Seasonal and skip-month repayment structures are common for operators whose income follows harvest, produce or project cycles. Many specialist lenders on Equifund's panel can set repayments to match your busy and quiet months, subject to their criteria, so the truck is paid down when freight income is coming in rather than when it is not.

Trucks designed to carry a load of one tonne or more are not subject to the ATO car limit, so the full business-use share of the cost can generally be depreciated. With a chattel mortgage, GST-registered operators can typically claim the business-use share of the GST in their next BAS. Confirm your own tax position with your accountant.

Yes. Refinancing can restructure a balloon payment, extend or shorten the term, or move a truck to a lender that better suits your business. A sale-and-leaseback releases equity in trucks you own outright, which you can put towards the next unit. Your Equifund specialist compares the options before anything changes.

A balloon or residual is a lump sum deferred to the end of the term, which lowers your regular repayments and must be paid out or refinanced when the term finishes. It is usually set to suit your replacement cycle and the truck's expected value at the end of the term, which is an estimate, not a guarantee.

Truck finance terms usually run 1 to 7 years, depending on the lender, the structure and the truck's age and condition. Older trucks may need a shorter term. A longer term or a balloon lowers each repayment but usually adds to the total interest you pay.

Truck finance rates are set by each lender and depend on your credit profile, time in business, the truck's age and value, the structure, term and any balloon. New trucks and established ABN holders usually attract lower rates than older trucks or newer businesses. Your Equifund specialist compares indicative rates across the lender panel before you apply.

Truck finance can settle soon after pre-approval, once the lender gives a formal decision, the loan documents are signed, the seller's invoice is in and any final lender conditions are met. Pre-approval typically comes back inside 24 hours†, subject to lender assessment and eligibility. Your Equifund specialist coordinates settlement with the dealer, private seller or auction house.

Specialist lenders look at your head contract, the truck and your industry experience alongside your trading history and credit file. Established operators with an ABN active for 2 years or more have the widest choice of lenders and structures, while newer businesses may need a deposit or a shorter term.

Yes, subject to lender assessment. An indicative pre-approval lets you quote the work and plan the truck purchase with an offer in hand, then settle once the freight contract is signed. The lender will want to see the signed contract, or your income evidence, before the final lender decision and settlement go ahead.

Yes. Multi-truck and fleet deals are common and can often be funded as a package under one master facility rather than separate loans, which simplifies repayments and reporting. The lender assesses the whole fleet's earnings and your contract pipeline, and new units can be added to the facility as the business grows.

You will usually need an active ABN, recent BAS or business bank statements, details of the truck you are buying, and any freight or head-contract agreements. Low-doc options can reduce the paperwork for eligible applicants. Your Equifund specialist confirms exactly what the lender needs after a quick call.

Yes, for eligible ABN holders. Low-doc truck finance lets lenders assess recent BAS, business bank statements and your freight or head-contract income instead of full financials or tax returns. It suits self-employed operators whose paperwork does not fit a bank's checklist. Each lender sets its own document list.

No. Equifund's 30-second eligibility check has no credit impact. It uses a soft credit check, which does not affect your credit score. A full credit check by the funding lender only happens if you choose to proceed with an application, and pre-approval is subject to that check.