Fuel your business growth with the necessary finance to acquire vital equipment and vehicles. With a chattel mortgage, you can gain immediate ownership of essential business assets while managing the financial impact over a flexible repayment period.
What is a Chattel Mortgage Loan?
A Chattel Mortgage is more than just a loan – it’s a financial solution that brings flexibility to business owners and self employed individuals. Chattel mortgage loans are a way to secure funds for acquiring vital assets, such as a business vehicle or equipment, while embracing the comfort of using the asset itself as collateral.
Tailored for businesses of all sizes, from self-employed individuals to small enterprises, this unique financing agreement offers an accommodating approach that caters to your business requirements. It allows you to confidently embark on your business ventures, knowing that a supportive financing option is readily available to drive your business forward.
How Does a Chattel Loan
Imagine a chattel loan as the key to immediate asset ownership – Once secured, you become the proud owner, while the lender maintains an interest until the loan is fully repaid. Depending on the individual circumstances, the loan amount can cover the purchase price, and you make regular repayments over an agreed-upon period that fits your financial goals.
Rest assured, the asset itself serves as security, providing reassurance to the lender. But here’s the exciting part: as you fulfill all the repayments, the lender removes their interest, granting you full ownership of the asset, free and clear.
Benefits of using a
Immediate Ownership: You gain immediate ownership of the asset being financed, allowing you to use it for your business from day one.
Flexible Repayment Terms: Chattel mortgages offer flexible repayment options, allowing you to customise the loan term and payment schedule to suit your cash flow.
Potential Tax Deductions: Depending on your business structure, you may be eligible for tax benefits such as claiming depreciation or interest deductions.
Preserved Working Capital: By opting for a chattel mortgage, you can preserve your working capital and use it for other business needs like operational expenses or expansion.
Competitive Interest Rates: Chattel mortgage loans often come with competitive interest rates compared to other financing options, reducing the overall cost of borrowing.
Easy Approval Process: The approval process for chattel mortgages is typically straightforward, making it easier and quicker to secure the financing you need.
With Us Today
At Loan Monster, we can help you find a chattel loan to grow your business. Book an appointment to chat with our friendly team in Fremantle today.
What assets are eligible
for chattel mortgage loans?
Generally speaking, chattel mortgages can be used to finance a wide range of assets that are used for business purposes. While there may be some exceptions or restrictions depending on the lender’s policies, a chattel mortgage allows for financing various assets that are essential for business operations. Some of these are;
This includes cars, trucks, vans, motorcycles, and other commercial vehicles used for business purposes.
Various types of equipment such as machinery, construction equipment, medical devices
Assets including desks, chairs, cabinets, and other office furnishings.
Appliances such as refrigerators, ovens, industrial-grade kitchen equipment.
Tools and machinery used in construction.
Computers, servers, networking devices, software, and other IT equipment.
Chattel Financing: Balloon Payment Option
With a goods loan, you may have the opportunity to opt for a balloon payment option. Essentially this is a final repayment, or a lump sum payable at the end of the loan term. By opting for a balloon payment, you can enjoy lower regular repayments throughout the loan period, which can provide a welcome boost to your business’ day-to-day cash flow.
What happens when the chattel mortgage period ends?
Once you’ve made all the repayments, including any balloon payment you may have arranged, the vehicle or equipment becomes entirely yours to enjoy. The lender will remove the mortgage listing on the vehicle from the Personal Property Securities Register (PPSR), granting you complete ownership, free and clear.
From that point on, you have the freedom to use the car for both business and personal purposes, tailor it to your needs, and make it truly yours. Whether you decide to sell the vehicle, lease it for extra income, or trade it in for a new model, the choice is yours!
Applying for a
Chattel Mortgage Loan
If you’re in search of Chattel Mortgage lenders in Perth or Fremantle, look no further. Loan Monster is here to simplify the process and be your trusted partner in securing the financing you need!
Let us take the hassle out of applying for a Chattel Mortgage. Loan Monster is dedicated to providing a seamless lending journey, connecting you with the right lenders in your area. Get started today with Loan Monster and experience a streamlined and stress-free financing process.