Novated Lease of Vehicles, Equipment & Assets

A Novated Lease agreement is an agreement between the financier (lessor) and you (the lessee) and your employer. This is possible if your employer is happy for you to have a motor vehicle as part of your package. The financier owns the motor vehicle while you enjoy full benefit of the motor vehicle in return for regular repayments which your employer is responsible for. If you leave your current employment you become fully responsible for the repayments of the motor vehicle. Your next employer may choose to novate the motor vehicle for you .

Benefits:

The full price of the motor vehicle must be financed, therefore no deposit required, preserve your cash flow
A residual is required, meaning lower repayments (please note residuals must be within the Australian Tax Office guidelines)
The interest rate is fixed for the term of the loan which means your repayments don't alter
Once the agreement is finished you have the option of handing back the motor vehicle to the financier or pay out the residual if invited by the financier to take full ownership of the asset. Any short fall the financier suffers in selling the motor vehicle becomes your liability.

Features:

You can finance the asset from 1 year to 5 years
Finance amounts start from $10,000 and upwards
Choose your own repayment frequency: Monthly, quarterly, semi - annually, annually, or irregular
And make your repayments via D-debit, BPAY, coupon book and periodically.