Truck Loans
In the transport and logistics industry, your truck is your livelihood. Whether you are an owner-driver looking for your first rig or a fleet manager expanding a transport company, the right finance structure is essential for maintaining profitability.
At Classic Loans, we specialize in commercial heavy-vehicle lending. Preetinder Singh and our team understand the nuances of the trucking industry—from the importance of payload capacity to the tax benefits of specialized asset finance.
Specialist Truck Finance Structures
We offer a range of products designed to suit the tax and cash flow requirements of Australian transport businesses.
- Chattel Mortgage (Equipment Loan)
- How it works:You own the truck from the day of purchase, and the lender takes a mortgage over the vehicle as security.
- The Benefits:You can generally claim the GST on the purchase price as an upfront Input Tax Credit (if registered). You may also be able to claim interest payments and depreciation as tax deductions.
- Commercial Hire Purchase (CHP)
- How it works:The lender buys the truck and “hires” it to you over a set term. You gain full ownership once the final payment is made.
- The Benefits:Offers fixed monthly repayments and the ability to include a “balloon” payment to lower ongoing costs.
- Finance Lease
- How it works:The lender owns the vehicle and leases it to you. At the end of the lease, you can choose to pay the residual value to own the truck, trade it in, or extend the lease.
- The Benefits:Since the lender owns the asset, the lease payments are often fully tax-deductible as an operating expense.
- Construction Loans: Build from the Ground Up
Building a new home requires a specialized loan structure. Unlike a standard mortgage, a Construction Loan involves “progress draws,” where the bank pays your builder in stages (Slab, Frame, Lock-up, etc.). We manage the coordination between you, the lender, and the builder to ensure a smooth construction process.
- Self-Employed & Specialist Lending
If you run your own business, your tax returns might not tell the whole story. At Classic Loans, we are experts in Alt-Doc (Alternative Documentation) loans. We work with specialist lenders who understand business owners, allowing you to secure a home loan based on your actual cash flow and business performance.
Asset Finance
Key Considerations for Truck Loans
“A truck loan isn’t just about the interest rate; it’s about the ‘Balloon’ and the ‘Term’—getting these right ensures your business stays cash-flow positive.” — Preetinder Singh
- Balloon (Residual) Payments
You can opt to pay a larger lump sum at the end of your loan (e.g., 30%). This reduces your monthly repayments, keeping more cash in your business for fuel and maintenance.
- ABN Requirements
We have options for established companies (2+ years ABN) as well as Low-Doc options for newer operators who can demonstrate consistent work contracts.
- Vehicle Age
While many banks restrict the age of the truck, we work with specialist lenders who finance older, reliable used equipment.
Financing All Types of Heavy Vehicles
Light & Medium Trucks
Delivery vans, pantechs, and tray trucks for local distribution.
Heavy Duty & Prime Movers
Long-haul rigs for interstate transport.
Specialized Vehicles
Tippers, refrigerated trucks, concrete mixers, and crane trucks.
Trailers
Flatbeds, drop-decks, and refrigerated trailers.