Truck FInance – Novated Lease

What is a novated Lease?

As an employee of a company, you lease a car from the lender using a Finance Lease. You then sub-lease the car to your employer via an operating lease. Your employer enters an agreement, which makes it responsible for meeting the payments. The ideal arrangement for those who have the option of receiving a truck as part of their salary package.

For further information on the tax implications of novated lease visit the Australian Tax Office: novated lease.

Who can benefit from novated lease?

Business and corporate professionals who require a flexible leasing package whereby the Employer pays all lease rentals to us and the Employee enjoys full use of the vehicle. A novated lease is a great solution for those who use their vehicle for work purposes and are on salary packaging or a similar arrangement with their employer.

Novated lease features

The novated lease is taken out in your name, your employer signs a novation agreement taking on repayment responsibilities.
The vehicle can be purchased without capital outlay.
In the event you change companies the vehicle remains yours in a novated lease contract.
Your employer pays the lease rentals directly to us.
The employer can provide the employee with a car without having to reflect it on its balance sheet.
You have complete choice what you buy and where from with a novated lease contract.

Novated lease benefits

You have the use of the vehicle without having to budget for the repayments.
You can purchase the vehicle without deposit or the hassle of being reimbursed from your employer with a novated lease.
If you leave your current company, the company is not left with an unwanted truck and your not left without a wanted truck.
There are numerous tax benefits to the employer with a novated lease as with a Finance Lease.
You have control over what you purchase including accessories, colour. etc

Novated lease interest rates

Interest rate is fixed throughout the term of the loan.

Novated lease fees and charges

An establishment fee is payable and includes GST.
The cash booklet fee is payable and includes GST.
Fees cannot be financed and must be paid by cheque at the time of signing the documents.
Monthly rentals payments may be subject to GST.
Pre-determination fees may apply