Truck Finance Rates in Australia (2025 Guide)
Last updated: November 2024
Business Finance Insights by Casey Asset Finance — helping Australian Small Business Owners access smarter funding.
If you’re planning to buy a truck in 2025, it’s smart to understand how truck finance rates work — because the difference of just a few percentage points can save (or cost) you thousands over the life of your loan.
In this guide, we’ll break down what affects truck loan rates in Australia, how lenders calculate them, and how you can secure a better deal — fast.
What are current truck finance rates in Australia?
Truck finance rates in Australia usually start from around 7%–10% p.a. for prime borrowers.
However, your actual rate depends on several factors:
Truck age and condition (new = lower rate)
Business structure (company vs sole trader)
Time in business (more than 2 years = stronger profile)
Credit score and history
Loan type (secured, low-doc, bad credit, etc.)
Deposit amount or trade-in value
⚙️ Quick example:
If you’re buying a $150,000 prime mover with a 20% deposit, a 5-year term, and strong trading history — your rate could be as low as 7.5%.
If you’re a new business or applying low-doc, expect closer to 11–14%.
How lenders calculate truck loan rates
Truck loans are priced on risk and repayment capacity — not just your credit score.
Here’s how most Australian lenders assess rates:
1️⃣ Vehicle Risk:
New trucks are easier to finance. Older trucks (5+ years) attract slightly higher rates due to lower resale value.
2️⃣ Business Age:
Lenders prefer stable trading history. Over 2 years in business typically means lower rates.
3️⃣ Documentation Level:
If you provide full financials, you’ll access higher borrowing amounts and lower rates.
Low-doc loans (bank statements only) are still competitive, but lower limits.
4️⃣ Credit Health:
Defaults or ATO arrears can lift your rate — but specialist lenders often still approve deals based on cash flow.
5️⃣ Loan Term:
Shorter terms = lower total interest.
Low doc and bad credit truck finance rates
Low-doc and bad credit truck loans are designed for business owners who don’t have perfect paperwork or credit.
Rates usually start around 7% for low doc and 10% p.a. for bad credit, depending on the lender and asset type.
✅ Good news: Many of these lenders now look beyond credit scores — focusing instead on your recent trading performance and bank statements.
That means if your business is performing well now, you can still qualify for a strong deal.
Check your eligibility for truck finance (30 sec) →
Secured vs unsecured truck finance
Secured truck finance:
Uses the truck as collateral
Lower rates from (7–10%)
Ideal for trucks with resale value (usually recommended)
Unsecured business loan:
No vehicle security
Faster approval, higher rate (12–20%)
Useful for add-ons, accessories, or very old trucks
If you’re buying a truck directly, secured finance almost always offers better long-term value.
Truck finance vs lease
Chattel mortgage: You own the truck immediately, claim GST input credits, and depreciate the asset.
Lease: The lender owns it during the term — payments are fully tax-deductible.
Both can deliver strong outcomes, but which one is better depends on your accountant’s advice. Please speak to your accountant to see what works best for you.
At Casey Asset Finance, we help structure it so your business cash flow comes first.
How to get the lowest truck finance rate
Here are simple ways to lower your rate before you apply:
✅ Improve your credit profile: Pay ATO debts or overdue accounts.
✅ Provide supporting documents: Bank statements to show cash flow strength
✅ Choose newer trucks: Lower risk, lower rate.
✅ Work with a broker: We negotiate directly with lenders for wholesale rates not listed publicly.
Always try your bank first. Where your bank said no, speak to a broker to ensure you not only get a good rate, but to also protect your credit.
💡 Tip: Even a 2% rate improvement on a $200K loan can save more than $5,000 over 5 years.
Final thoughts
Truck finance rates can vary, but you don’t have to guess.
With the right broker, you’ll not only save time — you’ll get the most competitive rates available for your situation.
Let’s get you on the road faster, with confidence.
Disclaimer: The rates and figures mentioned in this article are provided as general information only and do not constitute a formal quote or offer of finance. Actual truck finance rates and repayment amounts can vary depending on factors such as credit history, asset type, loan term, lender criteria, and business circumstances. Casey Asset Finance Pty Ltd (ABN [insert ABN]) acts as a finance broker, not a lender. All finance is subject to lender approval, and terms, conditions, fees, and charges apply. We recommend seeking personalised advice before making any financial decisions.
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About the author
Michael Pajar is the Director of Casey Asset Finance, a Melbourne-based business finance brokerage helping Australian SMEs secure funding through fast, transparent, and responsible lending solutions.
Call Michael on - 0450 622 115
Or email me at - michael@caseyassetfinance.com.au
