How can I finance my truck purchase?
There are several truck finance options available to Australian businesses, and the right one will depend on how your business is structured, how you use the truck and your tax position. Here are your options as a business owner looking to finance a single truck or a fleet:
Chattel mortgage
A chattel mortgage is the most popular option for those looking to buy and own a truck. You take ownership of the vehicle from day one, while the lender holds a mortgage over it as security until the end of your term.
Loans are generally available from as little as $5,000 and can also be used for a range of business assets, including equipment and other vehicles. Repayments are fixed for the loan term, which can span one to seven years. Interest, depreciation and GST on the truck’s purchase price are tax-deductible, depending on how you use it.
Finance lease
If you don’t wish to buy the truck outright, you can opt for a finance lease instead. With this agreement, you’ll essentially rent your truck for a set term of one to five years with interest and fees. At the end of your term, you’ll be required to pay a residual by doing one of the following:
- Pay the residual out of pocket and buy the truck outright for your business
- Sell the truck, use the funds to pay the residual and end your lease
- Sell the truck, use the funds to pay the residual and start a new lease with a different truck
- Refinance the residual and extend your truck lease
Operating lease
With an operating lease, you also rent your truck over a set period. However, you’ll be able to return it to your leasing company at the end of the term without needing to pay a residual. This option is common with companies that want to regularly refresh their fleet. Operating leases are usually fully maintained, meaning running costs are included in your regular payments.
Unsecured truck loan
An unsecured business loan can be used to finance a truck without using the asset as security. This makes it an option for used trucks that don't meet secured lending criteria. Interest rates are higher than on secured products and borrowing caps are often in place (anywhere between $250,000 and $500,000), but processing tends to be faster.
Low doc truck loans
Low doc business finance options are popular among sole traders and self-employed individuals due to their speed and convenience. As the name suggests, these loans don’t require as much in the way of documentation. As a result, they’re common for businesses with an ABN that’s 12 months old or operators that own property in their name or their business’. Rates are often higher on these loans, due to their increased perceived risk to the lender.
Truck loan rates
Rates correct as of 30 April 2026. Rate quotes based on a loan term of five years, asset value of $50,000, ABN length of eight years and GST-registered for four or more years.
What trucks can I finance?
You’ll be able to finance a wide range of trucks with a loan or lease, whether it has four wheels or 18. This includes both new and used and from dealerships, auctions or private sales. Here’s a list of some truck types that we can help you with:
- Concrete trucks
- Crane trucks
- Curtainside and tautliner trailers
- Hooklift and skiploader trucks
- Livestock trucks
- Low loader trailers
- Pantech trucks
- Prime movers
- Rigid trucks
- Road trains
- Service vehicle trucks
- Tipper trucks
- Tow and tilt tray trucks
- Tray trucks
- Vacuum and tanker trucks
In terms of brands, Isuzu was far and away the most popular truck financed through Savvy in 2025, accounting for 33.3% of all settled loan deals. Hino (8.9%) and Mitsubishi (7.8%) were the next best-selling makes.
How much will my truck finance deal cost?
The cost of your truck finance deal comes down to factors like your interest rate, fees, loan size and term length. That means it’ll be different based on every business and truck. We’ve broken down some examples of different trucks to show how much different deals may cost:
Scenario #1: Buying a light truck
Samantha needs to buy a light truck for her small grocery business. She looks online and finds an older used model available for $37,500. The next step is searching for the best available loan deal for her situation, so she compares her options and gets a few quotes from different lenders:
| Loan amount | Interest rate | Loan term | Monthly repayment | Total interest paid |
|---|---|---|---|---|
| $37,500 | 12.00% p.a. | Three years | $1,246 | $7,340 |
| $37,500 | 12.25% p.a. | Three years | $1,251 | $7,501 |
| $37,500 | 13.00% p.a. | Three years | $1,264 | $7,987 |
| $37,500 | 14.25% p.a. | Three years | $1,287 | $8,804 |
| Interest rates are used for illustrative purposes only and aren’t necessarily reflective of the rate you’ll receive on your truck loan. | ||||
By crunching the numbers, Samantha settles on the 12.00% p.a. loan, as that one will charge the least interest overall. Although interest is tax-deductible on the business portion of the loan, she’ll be using it for private purposes now and then, so it’s still important to consider.
Scenario #2: Buying a semi-trailer
Antonio is on the hunt for a new semi-trailer for his large transport business. The brand-new truck that catches his eye is $320,000. However, he’s unsure how long he should take to repay the loan, so he works out how much it’ll cost for different term lengths:
| Loan amount | Interest rate | Loan term | Monthly repayment | Total interest paid |
|---|---|---|---|---|
| $320,000 | 6.59% p.a. | Four years | $7,602 | $44,900 |
| $320,000 | 6.59% p.a. | Five years | $6,275 | $56,480 |
| $320,000 | 6.59% p.a. | Six years | $5,393 | $68,289 |
| $320,000 | 6.59% p.a. | Seven years | $4,766 | $80,325 |
| Interest rates are used for illustrative purposes only and aren’t necessarily reflective of the rate you’ll receive on your truck loan. | ||||
Given that the trucks are used exclusively for business purposes, the full interest bill is claimable as a tax deduction. As a result, Antonio decides to choose a seven-year loan for the semi-trailer, as this eats into his business’ monthly funds the least.
Scenario #3: Deciding between new and used
Owen isn’t sure what type of truck to buy, including whether he should select a new or used model. He’s narrowed his focus down to two models and runs the approximate numbers of what they might end up costing overall:
Isuzu N Series NNR 45-150 DT D34 Vanpack
| Year | Loan amount | Interest rate | Monthly repayment | Interest payable |
|---|---|---|---|---|
| 2026 | $91,800 | 6.59% p.a. | $1,800 | $16,203 |
| 2021 | $60,990 | 7.79% p.a. | $1,231 | $12,842 |
|
2026 2021 |
|
$91,800 $60,990 |
|
6.59% p.a. 7.79% p.a. |
|
$1,800 $1,231 |
|
$16,203 $12,842 |
Mitsubishi Fuso Canter 515
| Year | Loan amount | Interest rate | Monthly repayment | Interest payable |
|---|---|---|---|---|
| 2026 | $92,425 | 6.59% p.a. | $1,812 | $16,313 |
| 2021 | $55,990 | 7.79% p.a. | $1,130 | $11,789 |
|
2026 2021 |
|
$92,425 $55,990 |
|
6.59% p.a. 7.79% p.a. |
|
$1,812 $1,130 |
|
$16,313 $11,789 |
New truck prices sourced through provider websites and trucksales. Used truck prices based on current sales listings sourced through trucksales in April 2026. Interest rates based on lowest available new and five-year-old used truck loan interest rates available through Savvy as of 30 April 2026. Calculations are based on five-year loan terms and don’t include other costs associated with truck purchases, including loan fees, insurance, registration and other on-road costs.
With those rough calculations in mind, Owen decides that a used truck is the best option for his business. He decides to go with the 2020 Isuzu N Series NPR because it’s slightly newer and the loan remains affordable each month.
Business loan calculator
Crunch the numbers to see what your repayments could look like
Your estimated repayments
$98.62
| Total interest paid: | Total amount to pay: |
| $1233.43 | $5,143.99 |
How much can my business borrow for a truck loan?
Truck loans through Savvy typically range from $5,000 up to $500,000 or more, depending on the lender and model you’re financing. The average truck loan approved through Savvy in 2025 was $100,747 at an interest rate of 13.38% p.a.
The amount your business can borrow will depend on a range of factors specific to your situation, including:
- Your business revenue and cashflow: lenders will assess whether your business generates enough income to comfortably service the loan repayments.
- Your credit history: both your business and personal credit profile may be assessed, particularly for smaller businesses and sole traders.
- The value of the truck: for secured loans, the asset itself acts as security, so the truck's age, condition and market value will influence how much a lender is willing to offer.
- Your loan term: a longer term reduces your regular repayments and could therefore allow you to borrow more than you’d be able to manage over a short term, but doing so increases the total interest paid over the life of the loan.
- Your deposit: putting money down upfront reduces the amount you need to borrow, which can lower your repayments and improve your chances of approval.
How business borrowing changes over time
"Starting out in the first year or two, businesses can’t qualify for the largest loans. Once it reaches three years, though, they usually have a reasonable track record to fall back on, which allows them to borrow far more. This means they’re in a better position to expand their business operations and upgrade their assets, such as trucks.
Many successful businesses will have more money in the bank by the time they’ve been running for eight to ten years, so the need to borrow shrinks. That’s why the average loan for businesses with eight or more years in operation is lower than for two-year-old businesses."
Why apply for a business loan with Savvy?
How to apply for truck finance through Savvy
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Complete our online form
Tell us about yourself, your business and the truck you want.
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Upload your documents
Send any documents required for verification.
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Chat to your broker
We’ll give you a buzz to talk through your truck finance options.
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Have your application prepped
Your broker will put together your application and submit it to your lender.
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Get approved and sign off
Once formally approved, we’ll settle the loan and the truck is yours!
Truck finance tax benefits
| Tax benefit | Chattel mortgage | Finance lease | Operating lease | Unsecured loan |
|---|---|---|---|---|
| GST on purchase price | ✓ | ✓* | ✓* | ✓ |
| GST on repayments | ✗ | ✓ | ✓ | ✗ |
| Interest | ✓ | ✓ | ✓ | ✓ |
| Depreciation | ✓ | ✓* | ✓* | ✓ |
| Entire payment | ✗ | ✓ | ✓ | ✗ |
| Instant asset write-off eligible | ✓ | ✗ | ✗ | ✓ |
| Running costs | ✓ | ✓ | ✓ | ✓ |
| *Claimable by your lease provider. All deductions are subject to your business use percentage and your individual tax circumstances. This table is a general guide only and does not constitute tax advice. Consult a registered tax agent or accountant before making finance decisions based on tax outcomes. | ||||
Truck finance and the instant asset write-off
If your business has an annual turnover of less than $10 million, you may be eligible for the instant asset write-off (IAWO) scheme, which the Australian Government has extended until the end of the 2025-26 financial year. This allows you to claim an immediate deduction for the business portion of a commercial asset costing up to $20,000.
While nearly all trucks exceed this threshold, you can still fit out your vehicle with things like toolboxes, pallet jacks and tailgates that can be written off instantly. However, beyond 30 June 2026, the IAWO won’t be available to truck owners.
Which truck finance option is best for my business?
The right finance product will depend on how your business operates and what you need from your truck. Here are a few scenarios where one option may be better than the others:
- If you want to own the truck from day one: a chattel mortgage is likely the best option in this case. You’ll take full ownership at purchase, which means you can claim depreciation and interest expenses, and potentially benefit from IAWO for your truck’s fit-out.
- If you want lower upfront costs but still plan to own the truck: a finance lease could be a good fit here. You lease the truck over a set term, then pay the residual amount at the end to take ownership. This lets you keep monthly costs down while working towards buying it in the future.
- If you want to regularly upgrade your truck fleet: operating leases may be the most suitable option in this situation. This allows you to return the truck (or trucks) at the end of the term with no residual to pay, giving you the flexibility to refresh your fleet every few years and reduce admin in the process.
- If you’re buying an old truck or one in poor condition: an unsecured business loan could be your only option if the vehicle doesn’t qualify for secured finance. This may suit new or small businesses with less borrowing power, but expect higher interest rates and repayments compared to secured loans.
If you still aren’t sure which option is the best fit, one of Savvy’s experienced brokers can walk you through your choices and help tailor a solution to your business.
Truck fleet finance is easier than you think
"If you need to finance multiple trucks for your business, it’s possible to do so on a single contract. It’s straightforward when they’re all from the same dealer. Financing new trucks from multiple suppliers can also be done on one contract. However, if you’re financing used trucks from different suppliers, this will generally require separate contracts."
