You have several things to consider when deciding whether to finance or buy your next truck. One of the most practical considerations is how much money you have to spend on the truck you want. When running a business, it can be hard to accumulate enough cash to purchase a new truck without a loan because you’re continually reinvesting money into your business.
Financing your truck can be ideal for your monthly expenses. While you’re saving up enough money to purchase a truck outright—without a loan—you’re not earning money with that truck. Luckily, with truck financing, you can build the financed cost into your budget and start using your truck to make money for your company right away.
Remember that your monthly payment will depend on multiple factors. An upfront deposit, a one off GST payment or a lower interest rate means that you’ll pay less over the life of the loan. Having a good credit score often means that you can obtain a lower interest rate. Credit scores are based on how reliably you repay debts that you owe. Paying your truck payments on time and in full can improve your credit score and prove that you are a good credit risk. Obtaining a copy of your credit report can help you raise your score in order to pay a favourable interest rate on your truck financing.
Financing your purchase doesn’t have the drawbacks of leasing. At the end of your financing period, you own the truck; whereas, with a lease, the lease period ends and you own nothing. With truck financing, you can lower the monthly investment while still having the benefit of owning the truck in the end.
Speak to us on 1300 788 740 or get a quick Truck Finance Quote if you think Truck Finance is the right solution for you.