Chattel Mortgage Benefits You Can Still Access Post-Tax Time

Think the EOFY deadline was your last chance to secure tax savings through finance? Not quite.

Even after June 30, chattel mortgages continue to offer significant GST and tax benefits—especially if you’re purchasing business equipment, vehicles, or machinery.

Here’s what Australian businesses need to know about making smart finance moves after tax time.

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What Is a Chattel Mortgage?

A chattel mortgage is a type of business loan where the lender provides funds for an asset (e.g. vehicle, equipment), and the business takes immediate ownership. The asset is used as security, and the mortgage is released once the loan is repaid.

It’s one of the most popular asset finance structures in Australia—particularly for small to medium businesses.

According to the Australian Bureau of Statistics (ABS):

• 85% of Australian small businesses finance capital purchases rather than buying outright.

• Vehicle and equipment finance makes up a large portion of commercial loans, especially post-COVID, with government incentives further accelerating uptake.

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Why Post-June 30 Still Matters

There’s often a rush to settle loans by June 30 to lock in deductions for the closing financial year. But even after EOFY, many benefits still apply, especially for purchases that support new-year growth plans.

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Key Tax and GST Benefits You Can Still Access

1. GST Input Credits 

If your business is GST-registered: 

• You can claim the full GST on the purchase price in your next BAS—even if the asset is financed via chattel mortgage. 

• This applies to cars, trucks, machinery, office equipment, etc. 

Example: For a $100,000 asset (ex-GST), you can claim $10,000 in GST credits in the next BAS cycle—improving cash flow significantly. 

2. Depreciation and Interest Deductions 

Even if EOFY has passed: 

• The interest portion of repayments is tax-deductible. 

• You can claim depreciation on the asset annually through your tax return. 

According to ATO guidelines, depreciation can be applied to any business-use asset with a life over one year—even if financed.  

3. Instant Asset Write-Off / Temporary Full Expensing 

While the Temporary Full Expensing scheme ended in June 2023, the government has proposed new thresholds for the Instant Asset Write-Off from 1 July 2023 to 30 June 2024: 

• Eligible businesses (turnover under $10 million) may deduct up to $20,000 per asset purchase. 

• Check ATO updates for confirmation and updates.

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Perfect for Equipment & Vehicle Upgrades 

Chattel mortgages remain ideal for financing: 

• Commercial vehicles 

• Construction machinery 

• Medical or industrial equipment 

• Tools and technology   

They’re especially effective when your business wants ownership of the asset rather than lease-style usage, with long-term deductions. 

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Global Context: Still Relevant Worldwide   

Globally, businesses in the UK, US, and Canada also benefit from similar structures, like hire purchase or secured equipment loans. However, Australia’s GST and depreciation rules make chattel mortgages uniquely beneficial—particularly for small businesses looking to improve post-COVID cash flow. 

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Why Work With a Broker Like Thrift Capital? 

Each lender may treat asset classes, repayment terms, or business types differently. At Thrift Capital: 

• We match you with lenders who understand your industry 

• We know what documentation is truly required (no unnecessary paperwork) 

• We help you secure approvals fast—often within 48 hours for qualified applications 

Next Steps: Make Your Finance Work Harder 

Even after June 30, the benefits are far from over. 

Thinking about an equipment upgrade? 

Talk to a Thrift Capital broker today to explore your options, or 

Checkout our free Pre-Approval Checklist to get started. 

Lease vs Finance: Which One is Right for Your Business?

If you’re running a business and planning to finance equipment, vehicles, or other assets, one key question comes up often:

Should I lease or should I finance? Is there even a difference?

At Thrift Capital, we help business owners across industries make this decision every day. The right option depends on your cash flow, growth plans, and how long you expect to keep the asset.

This guide breaks down the pros and cons of leasing vs. financing to help you choose the best path for your business.

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What Is Leasing?

Leasing is essentially renting the asset for a set period. You make monthly or quarterly payments, but the lender retains ownership. At the end of the lease, you may return, upgrade, or purchase the asset—depending on the agreement.

Best suited for:

• Businesses needing frequent equipment upgrades

• Companies with limited upfront capital

• Those seeking off-balance-sheet finance options

Benefits of Leasing:

• Lower initial outlay

• Easier approval for some structures

• Potential tax advantages on lease payments

• Greater flexibility to upgrade over time

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What Does Financing Mean?

When you purchase a business asset using finance (such as a Chattel Mortgage), your business owns the asset from day one. The loan is secured against the asset, and you repay it over time.

Best suited for:

• Businesses looking for long-term ownership

• Industries like transport or trades needing equity in equipment

• Owners wanting more control over the asset’s use or resale

Benefits of Leasing:

• Full ownership = long-term value

• Interest and depreciation may be tax-deductible

• May be eligible for upfront GST claims (if GST-registered)

• Flexible terms and balloon payment options

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Lease vs Finance: Quick Comparison

When you lease, you don’t own the asset—you’re essentially renting it over a fixed term. This typically comes with lower upfront costs and greater flexibility to upgrade when needed. Lease payments may also be tax-deductible, depending on your setup. At the end of the lease, you may return the asset, upgrade, or choose to purchase it, depending on your agreement.

When you buy—usually through a Chattel Mortgage—you own the asset from day one. This option often involves a higher upfront cost (unless you structure it with a balloon payment), but it gives you long-term value. You may be able to claim interest and depreciation as tax deductions, and if you’re GST-registered, you could be eligible to claim GST upfront. Unlike leasing, buying gives you full control over the asset at the end of the finance term.

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So… Should You Lease or Finance?

Ask yourself:

• Do I need flexibility with cash flow right now?

• How long will I use this asset?

• Is ownership important for my business strategy?

• What are the tax implications? (Speak with your accountant.)

The right structure depends on your business goals—and getting it wrong could cost you more in the long run.

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Need Help Deciding?

We’re here to help.

Thrift Capital brokers explain the options clearly—without jargon. Whether you’re buying a truck, leasing medical equipment, or financing a fit-out, we’ll match you with the right lender and structure to suit your business.

How to Get Approved Fast: What Lenders Look For and Why the Right Match Matters

When it comes to business finance, getting approved quickly isn’t just about completing an application—it’s about understanding how the system works. At Thrift Capital, we don’t just help you apply; we help you get approved—fast. 

The key? Matching the right lender to your industry, understanding approval timelines, and knowing exactly what lenders are looking for. 

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Here’s what every business owner should know to move from enquiry to “approved” with confidence. 

1. Matching Lenders to Your Industry Matters More Than You Think 

Not all lenders are the same—and neither are businesses. 

Each industry has unique financial needs, cash flow cycles, and risk profiles. That’s why one of the most valuable things a broker can do is match you with a lender who understands your space. 

Here’s how it works: 

• Transport & Logistics
  Lenders familiar with this sector offer fast approvals, flexible repayments, and often accept second-hand vehicles—because they understand that time is money. 

• Construction & Trades
  Seasonal cash flow and balloon repayments are common. Lenders experienced with asset-heavy businesses are best suited here. 

• Medical & Allied Health
  Lenders that finance high-value medical equipment with longer terms and industry-specific criteria are ideal for clinics, dental practices, and wellness providers. 

Why this matters: 

The wrong lender could slow your approval—or deny your application altogether. The right one could fund your asset within 24 hours. That’s the power of tailored finance.

2. Why Some Lenders Approve Faster Than Others 

Ever wonder why some lenders give you an answer in hours, while others take weeks? 

Here’s what makes the difference: 

• Lender Type
  Traditional banks often require full-doc applications and lengthy internal reviews. 
  Non-bank lenders are typically more agile, offering low-doc and ABN-only options with quicker turnaround times. 

• Broker Involvement
  A broker who understands lender preferences can submit your application in the right format—streamlining the process and saving valuable time. 

• Your Application
  Clean, complete documentation significantly speeds up decisions. Missing details are one of the most common causes of delay.

Tip: 
Want to move fast? Talk to a broker before submitting your application. It could save you days. 

3. What Lenders Actually Look For in Your Application 

It’s not just about your credit score. Lenders take a holistic view when assessing applications.

Key factors include: 

• ABN Age and Activity
  Even low-doc lenders want to see how long you’ve been trading. While longer histories are preferred, approvals are still possible for newer businesses—with the right lender. 

• Income and Cash Flow
  Whether you provide bank statements or verified financials, lenders need to see that your business can comfortably service the loan. 

• The Asset

  The condition, age, and value of the asset you’re financing matters. New or well-maintained second-hand equipment is typically easier to fund—and often secures better terms. 

• Supporting Documents
  “Low-doc” doesn’t mean “no-doc.” Having ID, ABN details, recent bank statements, or a tax invoice ready makes a smoother process for both broker and lender. 

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The Thrift Capital Advantage 

At Thrift Capital, we don’t just submit applications—we set you up for success. Our team: 

• Understands your industry and funding needs 

• Matches you with the right lender 

• Professionally packages your application 

• Fast-tracks submissions to key decision-makers 

With access to over 40 banks and non-bank lenders, we know how to find the best path—whether you’re a startup tradie, an experienced fleet operator, or a growing medical practice. 

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Need Fast Finance? Here’s What to Do Next 

If you’re planning to buy equipment, finance a vehicle, or need a working capital boost—don’t do it alone. 

The right match, lender, and process can mean the difference between two weeks and 24 hours. 

Speak to a Thrift Capital broker today.