Whether you’re an owner-operator, a fleet manager, or a growing business looking to add to your commercial vehicle lineup, truck finance in Australia can be complex. The good news is that with the right broker and the right lender, financing a truck or heavy commercial vehicle doesn’t have to be a painful process.
Journey Finance specialises in truck and commercial vehicle finance across Australia. Our experienced brokers work with specialist lenders who understand the commercial transport industry, and we can help you secure the right finance product for your vehicle and your business model.
Types of Trucks and Commercial Vehicles We Finance
When we talk about truck finance, we’re referring to a broad category of commercial vehicles. Journey Finance can help you finance:
- Light commercial vehicles (LCVs) — vans, utes, small trucks up to 4.5 tonnes GVM
- Medium rigid trucks — typically between 4.5 and 12 tonnes
- Heavy rigid trucks — 12 tonnes and above
- Semi-trailers and B-doubles
- Refrigerated transport vehicles
- Tipper trucks and dump trucks
- Concrete agitators and mixers
- Prime movers and road trains
Each of these vehicle types may be financed through different products depending on the vehicle’s age, your business structure, and your financial profile.
Truck Finance Options in Australia
Chattel Mortgage for Trucks
The chattel mortgage is the most popular truck finance option for businesses and sole traders using a vehicle primarily for business purposes. You take ownership of the truck from day one, and you can claim GST on the purchase price upfront via your BAS, as well as interest and depreciation as business expenses. Terms typically range from two to seven years with optional balloon payments.
Commercial Hire Purchase
With a commercial hire purchase, the lender purchases the vehicle and hires it to your business. You claim the GST on each repayment progressively rather than upfront. Ownership transfers to your business at the end of the loan term. This can suit certain business structures and accounting methods.
Finance Lease
A finance lease allows your business to use a truck without technically owning it. The lender owns the vehicle, and your business makes regular lease payments. At the end of the term, you can purchase the vehicle at a pre-agreed residual value, re-lease, or return it. Finance leases are recorded on the balance sheet as a right-of-use asset under current accounting standards.
Operating Lease
An operating lease is similar to a long-term rental. Your business uses the truck for an agreed period, and at the end of the lease, the asset is returned to the lender. This keeps capital free and is often used for vehicles that depreciate rapidly or where the business needs flexibility to upgrade frequently.
New vs. Used Truck Finance
Both new and used trucks can be financed through Journey Finance. New trucks often attract better interest rates and longer loan terms, while used trucks may have more limited finance options — particularly for older vehicles or those with very high kilometres. Our brokers work with lenders who specialise in used commercial vehicle finance and can often source approvals for vehicles that mainstream banks decline.
For older trucks (typically over five years), some lenders may require a larger deposit or impose shorter loan terms to reduce their exposure to depreciation risk. Our brokers will advise you on what’s realistically available based on your vehicle’s age and condition.
Owner-Operator Truck Finance
Owner-operators face unique challenges when applying for truck finance, particularly if they are sole traders or recently ABN-registered. Many banks require two or more years of tax returns, which can exclude newer operators from mainstream lending.
Journey Finance works with specialist lenders who offer low-doc and non-conforming truck finance products, which can be accessed by owner-operators with as little as a current ABN, three months of bank statements, and a self-declaration of income. While rates may be slightly higher than full-doc products, these loans enable operators to get into a truck and start generating revenue quickly.
Fleet Finance for Growing Transport Businesses
If you’re managing a fleet and need to finance multiple vehicles at once, Journey Finance can structure fleet finance arrangements that cover two or more vehicles in a single application. This simplifies your loan management, may give you access to volume-based rate discounts, and means fewer separate finance agreements to track each month.
Fleet finance is available for businesses purchasing both new and used vehicles, and we can structure different products across a fleet (e.g., chattel mortgages for some vehicles and operating leases for others) based on your specific accounting and tax objectives.
What Do Lenders Look for in Truck Finance Applications?
Commercial truck lenders assess your application differently from consumer car loan lenders. Key factors include your ABN age and business trading history, your revenue and profit as shown through tax returns or bank statements, the type of truck and its collateral value, your existing debt load and credit profile, and the industry you operate in.
Transport businesses with established routes, long-term contracts, or strong owner histories are viewed favourably by lenders. If you have any of these, our brokers will help you present your application in the best possible light.
Instant Asset Write-Off and Tax Deductions
Commercial truck purchases may be eligible for the ATO’s instant asset write-off, allowing eligible businesses to deduct the full cost of a qualifying asset in the year of purchase rather than depreciating it over time. This threshold and eligibility rules change regularly, so we recommend confirming the current position with your accountant before purchasing.
Regardless of the instant asset write-off, interest charges, registration, fuel, insurance, and maintenance on business-use trucks are generally deductible business expenses — making truck finance a tax-effective way to grow your fleet.
Get Truck Finance with Journey Finance
Our brokers have deep experience in commercial and heavy vehicle finance and understand the specific needs of transport businesses, owner-operators, and growing fleets. We compare truck finance products across a panel of more than 30 lenders, including specialist commercial vehicle lenders, to find the most competitive rate for your situation.
Whether you need a single truck or a full fleet, we can typically deliver a conditional approval within one to two business days. Apply for truck finance today or contact our team for a free, no-obligation assessment.