Truck Loans

I’m here with Steve Sell from Free Credit Report and one of the things that you can get from the Free Credit Report company after you get your free credit report which no obligation is a truck loan.
I’ve known a few truckers and they’ve had some issues getting loans for whatever reason that is.

And I just want to ask a few questions about truck loans.

What is the maximum loan amount for a truck?

There’s no real maximum on a truck loan, it comes down to the rig the truck driver may wish to buy and depends on their capacity to pay the loan.

So, if he’s got the work and the income he can have the truck that he wants.

So, is it just new trucks or secondhand?

No new and used trucks.

Is there an age limit on the trucks?

It can be, just some of it depends on the work and the person that’s borrowing the money.

So, do you have Balloon payments on this?

It can be and this is determined by the age of the vehicle. There are age restrictions but yes Balloon payments are available.

Just so people understand is a Balloon Payment is like a residual or an amount at the end of the loan?

Yes, it’s a deferred payment. It’s an amount that’s left to the end of the loan and that helps reduce the monthly repayments.

So, what’s the maximum loan term for a truck loan?

Can be up to 7 years?

Okay and minimum?

Usually 12 months.

So, how much deposit do I need for a truck loan?

Okay that depends on the person borrowing, the age of the truck and any contracts they may be able to show to secure the work.

So, it can be from no deposit and then up to a higher deposit depending on the age of the track.

So it sounds like a bit of a specialist thing where they come in and have a bit of a chat about their circumstances.

Yes.

So, how much deposit do I need for a truck loan?

Okay it can be from zero and can be up to 30% just depending on the age of the truck.

Now do I need ABN for a truck loan?

Yes, ABN and preferably registered for GST.

So, what impact does that have, having an ABN and registered for GST?

One it shows if you register for GST it shows you turnovers over $70,000 a year. So, that under that wouldn’t give you capacity for borrowed money.

Can I use my mortgage or can I restructure maybe a mortgage home loan or something like that to finance it?

Yes, mortgage and or increasing your mortgage may be an option. Obviously, that’s going to give you a lower interest rate and there’s advantages and disadvantages with that.

Because I imagine that there’s a tax-deductible issue comes into play if you do that and maybe you need to see accountant or something?

Yes, we suggest you’d see your accountant or financial advisor and just do something that suits your tax and your circumstances.

Yes, so it’s really a custom thing. It’s like finding your circumstances, making sure your tax structures are in place, getting the advice you need because most of these trucks are $100,000/200,000.

They can be around that. Yes.

A good place to start is look at your credit file, work out what can be done and who we can go to and then get some advice in that.

Okay so I can get a free credit report obviously from the Freecreditreport.com.au website?

Yes. And pretty much you can go from there. Yes, or call us on 1-800-100-100.

All right well that’s great information. Anyone who needs a truck loan, it does sound like there’s a little bit of specialty advice that they need to get, that so yes go to Freecreditreport.com.au.

Thanks very much Steve I appreciate the information.