Editorial Planning Ranges — Checked August 2026
These are editorial inputs for modelling repayments, not observed market averages, a lender feed, quotes, offers or comparison rates. Actual pricing may be outside every range shown. Figures are nominal annual rates and exclude fees.
| Asset Type | Asset Age | Indicative Rate Range p.a. | Lower-bound planning input* |
|---|---|---|---|
| Cars & passenger vehicles | New | 6.29% – 9.49% | 6.29% |
| Cars & passenger vehicles | Used (up to 7 yrs) | 7.49% – 11.49% | 7.49% |
| Utes & commercial vehicles | New | 6.29% – 9.99% | 6.29% |
| Utes & commercial vehicles | Used (up to 7 yrs) | 7.49% – 12.49% | 7.49% |
| Trucks & prime movers | New | 6.29% – 10.49% | 6.29% |
| Trucks & prime movers | Used (up to 10 yrs) | 7.49% – 13.49% | 7.49% |
| Business equipment & machinery | New | 6.99% – 11.49% | 6.99% |
| Business equipment & machinery | Used (up to 10 yrs) | 8.49% – 14.99% | 8.49% |
| Agricultural equipment | New or used | 6.99% – 12.49% | 6.99% |
| Earthmoving & construction | New | 6.99% – 11.99% | 6.99% |
| Earthmoving & construction | Used (up to 12 yrs) | 8.49% – 15.49% | 8.49% |
| Medical & dental equipment | New | 6.49% – 9.99% | 6.49% |
| IT & technology | New | 7.49% – 12.49% | 7.49% |
| Solar & renewable energy | New | 6.99% – 10.99% | 6.99% |
*The lower bound is not a starting rate or a rate available to every applicant. Guide checked 9 August 2026 and page reviewed 11 August 2026.
How This Rate Guide Is Built
- Purpose: repayment sensitivity testing before a transaction-specific quote.
- Coverage: 14 editorial asset-and-age scenarios using nominal annual rate inputs.
- Excluded: establishment, documentation, brokerage, monthly, PPSR, early-payout and other fees; no comparison rate is calculated.
- Not measured: the table is not a survey of settled loans, an average across lenders or evidence that a particular applicant will qualify.
- Review process: a finance specialist checks whether the inputs remain useful for broad scenario modelling; transaction pricing must still be obtained from a lender.
For a meaningful comparison, request the interest rate, repayment schedule, all fees, balloon or residual, total amount payable and early-payout terms from each lender.
Request Transaction-Specific Pricing
A broker can assess the asset, seller, amount, contribution, term and evidence pathway, then present available lender terms. An initial discussion is not an approval and formal assessment may require a credit enquiry.
What Determines Your Chattel Mortgage Rate?
Lenders assess six key factors when setting your rate. Understanding these helps you know where you sit — and what to improve before applying.
Credit conduct can affect pricing and lender appetite, but it is assessed with the whole transaction. Defaults, judgements and recent enquiries do not map to one universal rate tier, and an adverse item does not by itself predict the outcome.
A longer trading history can open more lender pathways, but ABN age does not guarantee a rate tier. Newer businesses may need stronger cash-flow evidence, a contribution, relevant industry experience or a different lender policy.
Newer assets with strong resale value (e.g. new utes, trucks under 3 years) attract the lowest rates. Older, niche, or high-mileage assets are riskier for lenders and attract higher rates. Some lenders won't finance assets over 10–12 years old at loan end.
A contribution can reduce the amount financed and lender exposure. Whether it changes the rate, evidence requirement or approval outcome depends on the lender and the rest of the transaction.
Some lenders offer tiered pricing where larger loans ($150K+) attract slightly better rates due to the fixed cost of originating a loan. Micro-loans under $15K sometimes have higher base rates.
Some lender policies distinguish property owners from non-property owners, particularly for higher-risk or higher-value transactions. Property ownership is only one policy input and does not replace serviceability or asset assessment.
Rate Sensitivity Scenarios
These bands show how repayments change across planning inputs. They are not lender tiers and the profile notes do not predict qualification.
- Test repayment sensitivity only
- Fees excluded
- No qualification implied
- Actual pricing may be lower or higher
- Test repayment sensitivity only
- Fees excluded
- No qualification implied
- Actual pricing may be lower or higher
- Test repayment sensitivity only
- Fees excluded
- No qualification implied
- Actual pricing may be lower or higher
How to Prepare for a Better Rate Comparison
The lowest headline rate is not necessarily the lowest-cost or most suitable contract. Improve the quality of the comparison by controlling the inputs:
- Compare more than one available option — a broker can test a transaction against multiple accredited lenders, while a direct lender presents its own products. Panel coverage is not whole-of-market.
- Have the relevant documents ready — the evidence varies by lender and transaction. Common requests include identification, an asset invoice or dealer quote, bank statements, BAS, financial statements or tax returns.
- Check your credit file first — obtain a free copy from Equifax, Illion, or Experian. Dispute any errors before applying. Multiple applications in a short window can temporarily lower your score.
- Consider a deposit — even 10% can improve your rate and open up more lender options.
- Choose the asset deliberately — age, condition, hours or kilometres, supplier and resale market can affect lender appetite and terms.
- Don't over-extend the term — a 5-year loan on an asset that'll depreciate to near-zero in 4 years is a red flag for some lenders. Match the loan term to the useful economic life of the asset.
Fixed vs Variable Rates on a Chattel Mortgage
Fixed-rate chattel mortgages are commonly available, but the contract determines whether the rate and scheduled repayment remain fixed for the full term. Fees, default interest, variations and early payout can still change the amount ultimately paid.
| Feature | Fixed Rate (Most common) | Variable Rate (Rare) |
|---|---|---|
| Repayment certainty | ✓ Yes — locked for full term | ✕ Fluctuates with rate changes |
| Budget predictability | ✓ High | ✕ Lower |
| Early payout | Break cost may apply | Usually no break cost |
| RBA rate sensitivity | ✕ Not affected | ✓ May benefit from rate cuts |
| Availability | Commonly available; lender specific | Less common; lender specific |
A fixed repayment can simplify budgeting, but compare the full contract: fees, balloon, early-payout method, default terms and total amount payable still matter.
How Rate Affects Your Repayment
Based on a $100,000 loan over 5 years with no balloon:
| Interest Rate | Monthly Repayment | Total Interest Paid | Total Repaid |
|---|---|---|---|
| 6.29% | $1,941 | $16,460 | $116,460 |
| 7.50% | $2,001 | $20,060 | $120,060 |
| 9.00% | $2,076 | $24,560 | $124,560 |
| 11.00% | $2,174 | $30,440 | $130,440 |
| 13.50% | $2,305 | $38,300 | $138,300 |
In this fee-free illustration, moving the planning input from 6.29% to 13.50% increases total scheduled interest by more than $21,800. This does not describe lender tiers or available offers.
Rate FAQs
Fixed-rate chattel mortgages are available, but the rate basis, repayment schedule, early-payout method and fees vary by lender and contract. Confirm whether the quoted rate and scheduled repayments remain fixed for the full term.
Rates are similar across vehicle types for new assets. Used trucks (especially older, high-mileage units) can attract slightly higher rates than equivalent-aged cars due to the specialist resale market. Heavy earthmoving and aged equipment also tends to attract higher rates than mainstream commercial vehicles.
Not necessarily. A broker can compare options from its accredited panel, while a direct lender offers its own products. That wider test may identify a different price or policy fit, but it does not guarantee a lower rate and is not a whole-of-market comparison. Compare fees, balloon, total amount payable and contract terms as well as the interest rate.
Lenders update their rate tables regularly — sometimes weekly, sometimes in response to RBA cash rate decisions. Fixed rates are locked at the time of approval, so your rate doesn't change once you've accepted your loan offer. Indicative rates shown on this site are updated regularly but always confirm current rates with your broker.
Comparison rates are typically required for consumer credit products under the National Consumer Credit Protection Act. Chattel mortgages are business finance products, not regulated consumer credit, so comparison rates are not usually quoted. Always ask about all fees and charges (establishment, monthly, early payout) when comparing lenders — these can be more significant than a small rate difference.