A secured loan, also known as a chattel mortgage, is an ideal solution if you want to own the vehicle now, and pay it off. If your business accounts on a cash basis of turnover less than $1m, you’re entitled to a full GST claim in the first Business Activity Statement (BAS) cycle.
A secured loan will use the car you purchase as security over the vehicle until repayment has been made in full. With an unsecured car loan, you still use the funds you borrow to purchase the car, but the vehicle isn’t attached to the loan as security.
There is no minimum or maximum number of vehicles required for a secured loan agreement. This will depend on your businesses financial position.
A secured loan allows you to purchase a new or used vehicle that’s less than 8 years old at the end of the loan term.
Yes – Fleetcare can source the vehicle. In fact, we encourage it. Our purchasing power allows us to work with our dedicated dealer network to ensure fleet discounts are applied and passed on to you.
A secured loan term can range anywhere between 1 to 5 years. Fleetcare recommend a minimum 3 year term agreement to ensure you maximise the asset warranty and end of term value.
You can customise your vehicle with any accessories and add-ons you like. Fleetcare will negotiate the cheapest quote for you which includes the pricing of the additional accessories and add-ons.
You take immediate ownership of the vehicle when entering into a secured loan arrangement, but Fleetcare take out a mortgage on the vehicle as loan security. Once the secured loan arrangement is over, the mortgage will be removed and you’ll receive full ownership.
Businesses can use the instant asset write-off to claim an immediate deduction when purchasing a new or used asset for business. If you have a Fleetcare Secured Loan agreement, at the end of the financial year, the write-off will be included as a deduction on your tax return. Learn more about instant asset write-off.