Compare the Options around No Doc Loans
No doc loans is a category of business financing not a loan product in its own right. It requires individual treatment in assessing risk and making an offer in regard to interest rates and loan conditions. Not all finance lenders offer this category of loan but Jadehas the expertise to achieve positive solutions in this area. Use our compare tool below to see how our loan rates in general compare with different commercial loans.
No Doc Car Loans is a loan type which is quite widely advertised, most often by some finance companies and banks. The doc refers to documents, or more specifically financial documents by way of business accounts. The type of information that is universally accepted as standard inclusions on business credit applications.
Meeting the strict motor loan criteria and guidelines of most major banks and many other finance companies can be challenging for small businesses and those starting up a new enterprise. The standard requirements for business vehicle finance include providing business accounts, income tax returns, BAS statements and profit and loss statements. If you don’t have sufficient documentation you may have your loan application rejected. But there are options – No Doc Car Loan.
Jade Finance provides services to source low docs car finance options on behalf of our customers. We have the capability to source this type of specialist loan as we are accredited with many non-bank lenders. These are lenders that do not have all the restrictions of banks and as such can be more flexible in their lending guidelines.
As your lender, we open up these more exclusive finance channels as possible pathways to a workable low docs financing solution for your business. Your Jade consultant will handle the entire loan process, representing you to our lending panel and negotiating the most cost-effective outcome for your lending product. All no doc loan deals are individually addressed and assessed and always subject to individual lender requirements.
Who is eligible to apply?
While the name no doc may imply you need no documentation at all for this type of finance that is not correct. There are minimum essential requirements.
- In order to apply for a no doc loan, you must be a business enterprise and the vehicle being purchased must be primarily to be used in that business. Private individuals seeking personal use loans are not eligible for no doc or low docs car finance.
- The minimum essential requirement is to hold a current ABN – Australian Business Number. Any business operating in Australia must hold an ABN. If you are starting a new enterprise, you can apply for an ABN through ASIC. You must also have proof of your identification as is standard with all financial dealings in Australia.
- If you are starting a new business, an ABN and a business plan or a just-opened bank account may be the sum total of your documentation.
- While Jade can cover off across our lending panel to source options for low docs car finance based solely on holding an ABN, the more documentation you can provide, the stronger your application and possibly the better the loan offered.
To apply for no doc credit, a business owner can seek out a bank or finance company that may be in a position to provide a workable loan offer. The alternative and the way that has shown to result in more successful outcomes, is to engage the services of a finance lender such as Jade to handle the entire process on your behalf.
Low Docs Car Finance: Features
Every low docs automotive loan is considered by our lenders individually and your Jade consultant will be negotiating hard to achieve a great result for you. So the conditions and aspects of your loan may vary but this is a general overview of the features:
- Due to less documentation being provided than with a fully-documented loan, a no doc vehicle loan has a higher risk assessment and will attract a higher interest rate.
- Individual lenders may request the borrower provide a form of a personal guarantee by the business owners.
- Thresholds may apply to the total loan amount. Individual lenders may request that a borrower pay a deposit to the seller in order to reduce the total amount of the loan. Conditions may also apply around the loan term, the number of years being requested to repay the loan.
Regardless of individual lender requirements, your Jade consultant will be handling the negotiations on your behalf and working hard to achieve a loan offer that meets your objectives.
No Doc Vehicle Finance: Loan Types
A no doc car loan is in itself not an actual loan product. It is a category of vehicle loan application. When applying for no doc car finance, the business applicant has the choice of the full range of commercial finance facilities:
- Chattel Mortgage
- Vehicle Leasing
- Commercial Hire Purchase (CHP)
Prior to making application or contacting Jade Finance, it is advisable to discuss with your accountant or financial advisor to decide which loan product is best for your business. Each offers tax benefits and they vary with treatment of GST, applicable to accounting methods and in ownership title to the vehicle.
No Doc Car Loans: Eligible Vehicles
In principle, all types of cars and work vehicles can be purchased under low docs car finance. This includes utes, cab chassis, delivery vans, service tech vans, passenger cars, 4WDs, SUVs, hatchbacks, wagons and sedans as long as they are used predominately for business use.
New and used vehicles are eligible for this type of loan. Used vehicles may attract conditions from individual lenders based on age and condition.
Vehicles purchased from authorised dealers, auction houses and privately can be financed.
Using Jade Finance for You No Doc Car Loan
When it comes to these specialised areas of finance, the benefits of using lenders such as Jade are amplified. The expertise of our consultants and our network of industry-only lenders in addition to our negotiating skills and experience in motor vehicle finance can be especially invaluable.
Achieving a positive outcome for no doc loan applicants can be challenging. Jade is open to taking on that challenge on your behalf.
For a no obligation discussion on no doc vehicle finance for your vehicle purchase contact Jade on 1300 000 008 and speak with one of our consultants.