Fast Car Finance Australia Wide

Car finance helps both individuals and businesses purchase a vehicle without paying the full amount upfront. Buyers can access the cash they need immediately for both new and used cars and slowly pay the loan off over the agreed term with interest. Whether you’re looking to buy your first car, upgrade, or add vehicles to your fleet, the team at Stacked Finance is here to support you.

Yes – we also help our clients source cars at a cheaper rate than they can normally access through a dealership.

When it comes to car finance (or any asset finance in general) there are many terms to learn. Each of them is important in its own way and to some degree is essential if you plan on getting a car loan. You want to be informed and able to make the best decision possible with the information you have.

Here are the top terms we suggest getting your head around:

• Chattel mortgage – A loan that is secured by the asset you purchase.
• Operating lease – An arrangement where you rent the equipment but don’t own it.
• Finance lease – Where you can lease the asset with the option to purchase at the end of the term.
• Commercial hire purchase – Pay for the asset in installments and own it later.
• No doc loan – Close to zero financial documentation is required for this loan.
• Low doc loan – Minimal paperwork for getting a loan.
• Full doc loan – Detailed financials are required by lenders to access better terms.
• Residual value – The estimated worth of your asset after it has fully depreciated.
• Balloon payment – A large payment at the end of the loan term.
• Comparison rate – Interest rate including fees and charges relating to a loan (the “real” interest rate).
• Establishment fee – A loan creation fee paid to the lender.
• Secured car loan – The car is used as collateral for the loan.
• Unsecured loan – There is no security tied to the loan.
• Offer of credit – When lenders offer formal pre-approval.
• Depreciation benefits – Tax deductions for the asset use.
• Loan Principal – The original amount borrowed.
• Credit Score – Your rating of financial trustworthiness by credit companies.
• Lender Criteria – The lender rules to qualify for finance.
• GST – 10% tax applied to the purchase price.
• Tax deductibility – Your claimable expenses for financing.
• Asset turnover ratio – The measure of revenue from assets.
• Credit assessment – The lender’s evaluation of your borrowing capacity.
• Fixed interest rate – The fixed interest rate that does not fluctuate with the market.
• Variable interest rate – The interest rate that fluctuates with the market.
• Broker fee – Our fee for arranging the finance deal.
• Early termination fee – A penalty for paying off your loan early.
• Bank statements – your bank transactions to confirm you can afford the repayments.

But don’t worry! There’s no need to remember all of this.

Our team of asset finance brokers is here to make this process quick, simple, and easy for you.

Most Australians and Australian businesses are eligible for car finance!

The requirements differ between individuals and businesses though. Here’s what to know

For individuals:

• Be at least 18 years old with a valid Australian driver’s license
• Have a regular source of income (full-time, part-time, casual, or self-employed)
• Be an Australian citizen, permanent resident, or hold a valid long-term visa (depends on the lender)
• Have a reasonable credit history (options available for those with bad credit)
• Demonstrate the ability to make repayments within your budget
• Provide identification documents (e.g., passport, driver’s license, Medicare card)
• Supply proof of income (recent payslips, tax returns, or bank statements)
• Show proof of address (utility bills or official correspondence)

For businesses:

• Have an active ABN (over 2 years is best but not required)
• Be GST registered (over 2 years is best but not required)
• Be operating for at least 6-12 months (some lenders may finance newer businesses)
• Demonstrate consistent business revenue and cash flow
• Provide business bank statements for the last 3-6 months
• Supply financial statements (profit and loss, balance sheet)
• Have a reasonable business credit profile
• Directors may need to provide personal guarantees
• Vehicle must be primarily for business use (for business-specific finance options)

Note: If you want a quick business loan then you likely will not need to provide all of this information. A low-doc loan will allow you to secure a car loan without much documentation.

For individuals, no type of car is off-limits. However, there are a few considerations:

• The car must be road-worthy and registered
• You may receive discounted rates for electric vehicles (EVs)
• Your income and expenses will impact how much you can borrow
• Your credit score will impact whether you’re eligible and at what rate
• The car must have some resale value

For businesses, the golden rule is simple: cars must serve a clear business purpose.

While that sounds straightforward, lenders have specific criteria about what qualifies.

They’re looking at the asset’s potential to generate value for your business.

In addition, most lenders have stringent policies about the types of assets they’ll finance based on resale value. These are usually categorised as primary, secondary, or tertiary (in some cases category A, B, or C).

• Primary assets: These are assets with the highest resale value and are the easiest to sell. These usually include cars, trucks, trailers, excavators, heavy machinery, and other earth-moving equipment. These assets carry the most attractive rates and terms.
• Secondary assets: These typically include medical equipment, food, and manufacturing equipment. They have a resale value but are not as easy to sell as a new car. These assets have slightly less attractive rates and terms since they have less value.
• Tertiary assets: These assets have little to no value in the marketplace and are not easy to sell. They can include things like a 25-year-old trailer or a POS system. Tertiary assets carry much higher interest rates and less favourable terms since they are a major risk for the lender to finance.

The key is that the car or vehicle needs to be for genuine business use. Most lenders will work with you to understand how the asset fits into your operation and structure the finance accordingly.

This is one of the most common questions we get at Stacked Finance.

To put it simply a secured car loan means the asset (i.e. your car) serves as security to the lender. If you miss repayments or default on your loan the lender can repossess your vehicle. The interest rate is usually lower on secured car loans since there’s less risk to the lender.

Unsecured car loans on the other hand are not secured by anything. This means if you default on your loan the lender can not automatically repossess your car. They still have every right to pursue legal action though. The interest rates are typically higher on unsecured car loans.

Reducing your car repayments comes down to a few core factors. Here’s what we recommend to our clients to keep costs low:

Loan term strategies

• Extend the loan term (more months = smaller repayments)
• Balance term length against total interest paid
• Consider 5-7 year terms for optimal flexibility
• Consider getting a lower model to save costs

Deposit & upfront payment

• A larger initial deposit will always reduce the principal & result in less interest
• Lower borrowing amount means smaller monthly repayments
• Aim for 20-30% deposit if possible since you’ll also access lower rates (lenders like deposits – but it’s not essential)

Additional Tactics

• Choose a car with a strong resale value (check out which vehicles are most popular)
• Negotiate car pricing before financing or work with our team to source your car
• Consider residual payment structures (i.e. balloon payments)
• Compare multiple lender options
• Consider a full-documentation loan to access a better rate

Pro Tip: Don’t just chase the lowest repayment. The cheapest option isn’t always the most cost-effective long-term. A slightly higher repayment might save you thousands in total interest.

Our car finance brokers will crunch the numbers and find a sweet spot between lower monthly repayments and overall loan cost.

When choosing a car finance broker in Australia, you’ll need to be aware of some essentials.

Firstly, all brokers should be FBAA or MFAA-accredited brokers (this means they are backed by an Australian Credit Licence). Secondly, they should also have the relevant qualifications and industry experience.

On top of this, a good broker should:

• Have close relationships with multiple lenders, not just their preferred lenders (we have 60+ to choose from and we deeply understand their lending criteria)
• Take the time to understand your personal circumstances, business goals, and car requirements
• Be upfront about all rates, fees, processes, repayment terms and charges
• Know the ins and outs of different finance structures (e.g. chattel mortgage vs commercial lease)
• Work with your financial situation to ensure you actually get approved
• Understand the tax implications for your business of each loan structure
• Fights to get you the best deal possible and conditional approval ASAP
• Understand the current ATO position on tax deductions and other related initiatives (if not then proactively seek the right tax advice for you)

Most importantly, they should speak your language – if the broker can’t explain how the loan works without using fancy jargon, keep looking. At Stacked Finance we provide professional advice in plain english without the jargon, we want you to be informed and stay in control of your finances.

Stacked Finance is focused on the commercial market as opposed to consumer.

This means we only help Australian businesses obtain equipment loans or business loans.

Whether you need a new asset like a truck, ute, tractor, or digger, we can help. Our team is also skilled at providing working capital loans, cash flow finance, unsecured loans, startup loans, or any other specific type of business-related funding.