Motor Vehicle Finance

BizBank offers a range of hassle-free, competitive motor vehicle leasing packages that can be specifically tailored to meet the demands of your business.

Our leasing solutions work in your favour and are designed to minimise your monthly payments.

We can arrange finance via:

Finance Leases

A Financial Lease is a commercial finance product which enables a business to have the use of a motor vehicle or commercial vehicle along with the benefits of ownership, while the financier retains ownership of the vehicle.

The financier purchases the vehicle on behalf of the customer, who then pays the financier a fixed monthly lease rental for the term of the lease.  At the end of the lease term, the customer can pay either a residual value “balloon” and then take full ownership of the car, trade it in or re-finance the residual and continue the lease.

Operating Leases

An Operating Lease is a lease in which the financier retains ownership of the leased vehicle. It is effectively a rental arrangement with no liability to you at the end of the term as there is no predetermined "residual" value to pay. Ownership does not automatically pass to the customer at the end of the term.

Operating Leases may be either fully maintained (whereby the cost of repairs, servicing, registration, insurance and the like are built into the monthly payment) or non-maintained where the monthly payment is just for the use of the vehicle.

Under the operating lease/rental option, the customer has more flexibility. At the end of the term, they may:

    • hand back the vehicle or upgrade to a newer motor vehicle

    • continue to rent the motor vehicle

    • purchase the motor vehicle at fair market value.

Commercial Hire Purchase (CHP)

Commercial Hire Purchase is similar to a lease in that you pay "rent" over a nominated repayment term. The difference is that you gain equity only in proportion to the payments you make and full title therefore only passes to you once the last payment has been made.

A Commercial Hire Purchase agreement can be structured with or without a "balloon" payment.

Novated Lease

A Novated Lease allows employees to make monthly lease rentals and have these deducted from their gross (pre-tax) salaries. It is a three-way agreement between the employee, the leasing company/financier and the employer. The employer makes the payment to the financer on behalf of the employee.

Vehicle operating costs can also be included in the monthly lease rental and include servicing, tyres, fuel, registration and insurance.

Depending on the type of lease, the vehicle is usually always owned by the employee. The employers’ only obligation is to make the monthly payment whilst the employee is working for them. If the employee leaves, they take the motor vehicle and payment responsibility with them.

Chattel Mortgage

A Chattel Mortgage is a financing solution that offers you the immediate use of a motor vehicle for business usage without the need for an immediate cash outlay.

It is essentially a mortgage over the goods to be financed and are arranged such that ownership of the goods automatically transfers to you on purchase and the finance company in turn then takes a mortgage over the goods (chattels).

Chattel Mortgages are an extremely flexible product. You can choose to either finance the full purchase price or alternatively, include an upfront deposit or trade-in to reduce your rental commitment. You may also choose to incorporate a residual payment (balloon) at the end of the term or structure your payments to clear the debt over the term of the mortgage. Whichever option is chosen will naturally affect the amount of the on-going monthly payments.

Call us on 1800 BIZBANK (249 226) to discuss which Motor Vehicle Financing Solutions would best suit your business.