Chattel Mortgage

A Chattel Mortgage is for companies and Business owners to buy motor vehicles or trucks.

Under a chattel mortgage, you own the goods and the finance company takes security, a mortgage, over them.

You maintain ownership of the goods at all times. Once the contract ends, the finance company removes the mortgage from the goods.

Deposit: Chattel mortgages can be arranged with or without a deposit. This will often depend upon your circumstances.

Tax Deductions: Interest and depreciation are tax deductible provided that the equipment is used for incoming producing purposes or incurred as a result of carrying on a business. In some circumstances, the GST on the purchase can be claimed in a lump sum on your next BAS.

Fixed Interest and Repayments: Rates are fixed for the life of the term of the contract, so your repayments won’t change. Balloon repayments can also help to reduce repayments throughout the term.
Seasonal repayments can also be organized for some businesses.