Car Loan Balloon Calculator

Using our calculator can assist buyers to understand how a balloon impacts the monthly vehicle finance payments. Simply vary the balloon amount and see how the repayments change. What makes our calculator extremely effective, is the high level of technology we have incorporated into our buyer tools. Developing resources to assist buyers confidently prepare for vehicle purchases with finance.

When using the calculator, users should be mindful of their ownership cycle and the potential value of the vehicle at resale time or at the end of the term, whichever comes first. The amount of a balloon should ideally be in line with the vehicle resale value at the end of the term. If the balloon is too large and above the value, the trade-in or sale may not cover the final payout to the lender.

The calculator can assist in deciding how much the balloon should be. A larger balloon resulting in lower repayments but potentially a higher total interest and a greater amount due at the end of the term. A small balloon results in higher monthly repayments, but potentially less total interest and less to pay out the loan at the end of the term.

We work with all types and sizes of commercial operators to achieve workable vehicle finance with balloon payment – fleet operators, SMEs, sole traders, self-employed. All businesses can use our calculator to work out their estimates and preferences.

Get started on calculating your preferred balloon or contact us to discuss a quote.

• Easily calculate balloon preferences.
• Make decisions on vehicle purchases.
• Plan vehicle financing with balloon.
• All businesses – corporations, SMEs, sole traders.

When using an online calculation tool, it is essential that users appreciate and understand not just how to use the device but how to correctly interpret the results obtained. Users will need figures or estimates for the loan amount required; the loan term; the interest rate; and the balloon payment.

Interest rates are subject to lender assessments of applications. For the purpose of using the calculator, users can input our current best rate for Hire Purchase and Chattel Mortgage. The loan amount may be the total price of the vehicle or the price less any trade-in or deposit. The term may be up to 7 years. Balloon amounts may vary from as little as 20% upwards, subject to lender approval.

Do not deduct the balloon amount from the loan total when entering the figures. The calculator allows for the balloon when making the computations. Type in the figures and see the monthly repayment estimate displayed. To change that estimate, simply adjust the balloon only, the term, or both. When the preferred repayment amount is displayed, contact us for a quote specific to your application.

Calculator users should be mindful of the technical limitations of any online, generic calculation device. No differentiation between users in regard to credit profiles is made. Credit scores and ratings are integral to interest rate offers by lenders and an individual’s score or financials, may impact the rate and any offer made. Lender fees and charges not included in the calculations. These vary across the lender market. As we are accredited with more than 80 lenders, we can provide a firm quote when our experts match your application with the right lender.

Our calculator is free to use, easy to use and carries no obligation to proceed with a quote or application. Contact us for more information.

• Quickly calculate balloon payment preferences.
• Easily input and change your loan elements.
• Essential tool for balloon payment planning.

When making any decisions involving finance, it is advisable to consider all the aspects and all the possibilities. A balloon payment is not available on all standard car loans, so selecting the credit facility which allows for a balloon, may be an advantage for many buyers.

The key advantage of including a balloon payment is in reducing the monthly finance payments to ease cash flow pressure with this major asset acquisition. Buyers may request a balloon that reduces monthly outgoings to an amount that works with their income and other expenses.

Opting for finance with a balloon compared with a loan without a balloon, may enable the purchase of a higher-priced vehicle or possibly a new rather than used vehicle. Enabling buyers to acquire the latest, more energy efficient vehicles which may require less servicing and maintenance over the ownership cycle. A prospect which may be seen as a major benefit in planning costs over the term.

At the end of the term, when the balloon is due for payment in full, refinancing may be considered. This may allow buyers to effectively extend the time to pay off their vehicle. When refinancing a balloon, the used vehicle financing interest rate would be applicable.

Balloon payments are widely used by many business buyers to effectively structure and manage vehicle finance. For assistance in planning your car loan with balloon payment, speak with one of our vehicle lending specialists.

• Car loan with balloon to reduce monthly outgoings.
• Access higher-priced vehicles at affordable repayments.
• Refinance balloon to extend payment period.