What interest rates are available on ute loans in Australia?

Rates range from approximately 6.00% per annum for personal loans on new utes with excellent credit, through to 22.00% per annum for bad credit applications. Business chattel mortgage rates on new utes start from approximately 6.50% per annum. Used utes under 5 years old typically attract 7.00% to 10.00% per annum. Low-doc tradie ute finance ranges from 9.50% to 16.00% per annum. The rate you receive depends on whether the loan is personal or business, the age of the ute, your credit profile, deposit amount and loan term. We compare across 50+ lenders to find the most competitive rate.

What is a chattel mortgage on a ute?

A chattel mortgage is a business loan where you own the ute from day one and the lender holds a security interest until the loan is repaid. It is the most tax-effective structure for business ute purchases because you can claim the GST on the purchase price on your next BAS, claim depreciation or the instant asset write-off, and deduct the interest on the loan. It is the default structure for tradies, sole traders, partnerships and companies purchasing a work ute.

Can I claim the instant asset write-off on a ute?

If your ute costs less than $20,000 (excluding GST), your business has aggregated annual turnover under $10 million, and the ute is installed and ready for use before 30 June 2026, you may be eligible to claim the instant asset write-off for the full cost. The write-off requires ownership, which means a chattel mortgage or hire purchase structure. Most new utes exceed the $20,000 threshold, but used utes, cab-chassis models and base-spec work utes may qualify. Assets above $20,000 enter the depreciation pool. Confirm eligibility with your accountant.

What documents do I need for a ute loan?

For a personal ute loan: driver's licence, proof of income (payslips or tax returns), and the vehicle details. For a business chattel mortgage: ABN and GST registration, 3 to 6 months of business bank statements, photo ID for the director, the vehicle quote or invoice, and details of any existing loans. For low-doc applications, bank statements and BAS lodgements are the primary evidence. We advise you on exactly what is needed before you apply.

Is dealer finance or broker finance better for a ute?

An independent broker like Australian Finance & Loans compares rates across 50+ lenders, while a dealer typically offers finance from one or two captive lenders. Dealer finance rates are often higher because the dealer earns a commission built into the rate. We regularly arrange ute finance at 1% to 3% per annum below what a dealer would offer for the same vehicle and borrower. Getting a pre-approved rate from a broker before visiting the dealer puts you in a stronger negotiating position on both the vehicle price and the finance.

Can I get a novated lease on a ute?

Yes. If you are an employee and your employer offers salary packaging, you can finance a ute through a novated lease. Lease payments and running costs are deducted from your pre-tax salary. For eligible battery electric utes (BEVs) under the $91,387 LCT threshold, the FBT exemption means 100% of costs come from pre-tax income. For diesel and petrol utes, FBT applies and is managed through the Employee Contribution Method. We model the savings for your specific salary and vehicle before you commit.

What is the maximum I can borrow for a ute loan?

Most ute loans range from $5,000 to $150,000 depending on the vehicle and your financial profile. Premium models like the Ford Ranger Raptor or Toyota HiLux Rugged X with accessories can push above $100,000. Higher amounts are available for fleet configurations. The maximum you can borrow depends on your income, credit profile, existing debts and the specific lender's criteria.

How much does it cost to finance a Ford Ranger in 2026?

A Ford Ranger priced at $60,000 financed over 5 years at 7.50% per annum with no balloon would cost approximately $1,203 per month in repayments, with total interest of approximately $12,180 over the loan term. With a 20% balloon ($12,000), monthly repayments drop to approximately $1,012, improving cash flow during the loan. Rates vary based on your credit profile, the specific Ranger model, and whether the loan is personal or business. We compare across 50+ lenders to find the most competitive rate for your specific situation.

How much does it cost to finance a Toyota HiLux in 2026?

A Toyota HiLux priced at $50,000 financed over 5 years at 7.50% per annum with no balloon would cost approximately $1,003 per month in repayments, with total interest of approximately $10,150 over the loan term. The base HiLux WorkMate starts from approximately $27,730 before on-road costs, making it one of the most affordable utes in Australia. The new Toyota HiLux BEV electric ute starts from $74,990 before on-road costs and may qualify for the FBT exemption through a novated lease. We compare rates across 50+ lenders for every HiLux model.

Ute Loans

Ute Loans Australia

Utes are the backbone of Australian motoring. Roughly one in every five new vehicles sold in Australia is a ute. In 2025, Australians purchased over 235,000 new utes, with the Ford Ranger and Toyota HiLux combining for more than 100,000 sales alone. Whether you are a tradie buying a work vehicle, a farmer replacing an ageing workhorse, a fleet manager adding to your transport operations, or a family looking for something that can tow the boat and handle the school run, the right ute finance can save you thousands over the life of the loan.

Australian Finance & Loans is an independent finance broker with access to over 50 Australian lenders. We arrange ute finance for personal and business use, including standard car loans, chattel mortgages, finance leases and novated leases. We compare rates across the full market, identify the most competitive lender for your situation, and manage the application through to settlement. One application through us is assessed against every relevant lender on our panel, protecting your credit file from multiple enquiries.

Finance Structures for Utes

The right finance structure for your ute depends on whether the vehicle is for personal use, business use, or a combination of both, and whether you are an employee, a sole trader, or operating through a company.

Consumer Car Loan (Personal Use)

If you are buying a ute primarily for personal use, a standard secured car loan is the most straightforward option. The lender provides the funds, the ute is used as security, and you make fixed repayments over a set term. Rates start from approximately 6.00% per annum for borrowers with excellent credit purchasing a new ute from a dealer. Terms range from 1 to 7 years. No ABN required. This is the same product available across our new car loans and used car loans pages.

Chattel Mortgage (Business Use)

If you are buying a ute for business use (at least 51% business purposes), a chattel mortgage is typically the most tax-effective structure. You own the ute from day one. You can claim the GST on the purchase price on your next BAS, claim depreciation (or the instant asset write-off if eligible), and deduct the interest on the loan. Chattel mortgage rates on new utes start from approximately 6.50% per annum for well-qualified borrowers. This is the default structure for tradies, sole traders, partnerships and companies purchasing a work ute.

Finance Lease (Business Use)

A finance lease suits businesses that want to use the ute for a defined period and upgrade at the end of the term. The lender owns the vehicle. You make rental payments. At the end of the lease, you can purchase the ute for the residual amount, return it, or lease a replacement. This is popular with fleet operators who rotate vehicles every 3 to 5 years.

Novated Lease (Employees)

If you are an employee and your employer offers salary packaging, a novated lease lets you pay for the ute and its running costs from your pre-tax salary. For eligible electric utes priced below the $91,387 luxury car tax threshold, the FBT exemption under the Electric Car Discount means 100% of your costs come from pre-tax income. The Toyota HiLux BEV, arriving in Q2 2026, is one of the first electric utes eligible for this benefit. For diesel and petrol utes, FBT applies and is managed through the Employee Contribution Method.

Popular Utes to Finance in 2026

Ford Ranger

Australia's best-selling vehicle for three consecutive years. Over 56,000 sold in 2025. Pricing from approximately $37,130 to $90,690 before on-road costs. Available as single cab, super cab and dual cab in 4x2 and 4x4 configurations. The Ranger PHEV plug-in hybrid is now also available from $71,990 before on-road costs. Ford is currently offering $4,000 fuel cards on diesel Ranger purchases amid the fuel crisis.

Toyota HiLux

Australia's second best-selling ute and the top-selling 4x2 ute. Over 51,000 sold in 2025. Pricing from approximately $27,730 to $74,310 before on-road costs, making the base model nearly $10,000 cheaper than the entry-level Ranger. The all-new Toyota HiLux BEV electric ute arrives in Q2 2026 from $74,990 before on-road costs, targeting fleet and mining buyers initially.

Isuzu D-Max

The reliability benchmark. Over 26,000 sold in 2025. Pricing from approximately $36,200 to $80,900 before on-road costs. Known for its durable 3.0-litre turbo-diesel engine and strong resale values. A favourite with tradies and adventurers who prioritise mechanical longevity over cabin technology.

Mitsubishi Triton

The only top-five ute that grew sales in 2025, up 4.6% year on year. Pricing from approximately $34,740 to $66,140 before on-road costs. Competitive pricing and a strong dealer network make it a popular fleet and tradie choice.

BYD Shark 6

The disruptor. Over 18,000 sold in its debut year. A plug-in hybrid with 321kW and 650Nm, priced from $57,900 before on-road costs. Running costs are substantially lower than diesel equivalents, especially for drivers who charge regularly. Note that the Shark 6 is a PHEV and no longer qualifies for the FBT exemption on new novated leases entered after 1 April 2025.

Other Popular Models

The Mazda BT-50, Nissan Navara, GWM Cannon, Kia Tasman, MG U9 and LDV Terron are all available and financeable through our panel. The ute market is more competitive than it has ever been, and we compare across every lender to find the right rate regardless of the model you choose.

Ute Loan Rates in Australia

Ute loan rates are assessed individually based on whether the loan is personal or business, the age of the vehicle, your credit profile and the finance structure. As a general guide for 2026 across our panel of 50+ lenders:

New ute, personal car loan, excellent credit: approximately 6.00% to 8.50% per annum. New ute, chattel mortgage, established business: approximately 6.50% to 9.50% per annum. Used ute under 5 years old: approximately 7.00% to 10.00% per annum. Used ute 5 to 10 years old: approximately 8.00% to 12.00% per annum. Low-doc ute finance (bank statement assessed): approximately 9.50% to 16.00% per annum. Bad credit ute loan: approximately 12.00% to 22.00% per annum depending on the degree of credit impairment.

The single biggest factor in your rate is whether the loan is secured against the vehicle (lower rate) or unsecured (higher rate). Almost all ute loans through our panel are secured, with the ute itself acting as collateral. We compare across every lender on our panel and recommend the one that offers the best rate for your specific profile.

New Ute Loans

Financing a new ute through our panel gives you access to the most competitive rates in the market. New vehicles carry lower risk for lenders because they have full manufacturer warranties, known values and strong resale. Many lenders offer 100% finance on new utes purchased from a licensed dealer, meaning no deposit is required. Terms of 3 to 7 years are available. Balloon payments can be set to reduce your repayments during the loan term. For a complete guide to new vehicle finance, see our new car loans page.

Used Ute Loans

Used utes are a strong option for tradies and businesses that want a reliable work vehicle at a lower price point. We finance used utes of all ages, though the best rates are available on vehicles under 5 years old. Vehicles over 10 years old may require a larger deposit or shorter loan term depending on the lender. Private sale purchases are also financeable, though some lenders add a small rate loading for private sales compared to dealer purchases. For full details on used vehicle finance, see our used car loans page.

Electric and Hybrid Ute Finance

The electric ute market in Australia is emerging rapidly. The Toyota HiLux BEV arrives in Q2 2026 from $74,990 before on-road costs. The BYD Shark 6 PHEV has already sold over 18,000 units. The Ford Ranger PHEV is available from $71,990. The KGM Musso EV and LDV eT60 are also on sale, with further electric utes expected from Isuzu, LDV, MG and others throughout 2026.

For eligible battery electric utes (BEVs) priced below the $91,387 LCT threshold, the FBT exemption through a novated lease can deliver annual savings of $8,000 to $12,000 or more for employees whose employer offers salary packaging. Note that PHEVs (including the BYD Shark 6 and Ford Ranger PHEV) no longer qualify for the FBT exemption on new novated leases entered after 1 April 2025. For more on EV finance, see our EV loans page and our EV finance guide.

Ute Finance for Tradies and Sole Traders

Tradies are the single largest buyer group for utes in Australia, and the finance needs of a tradie are different from a personal buyer. Most tradies need the ute for work, which means a chattel mortgage is typically the most tax-effective structure. You own the ute from day one, claim the GST, claim depreciation and deduct the interest.

For tradies who have not prepared formal financial statements, a low-doc chattel mortgage assessed on 3 to 6 months of business bank statements and BAS lodgements is the most common pathway. Approval can occur within 24 to 48 hours. Many lenders on our panel offer no-deposit finance on new utes for tradies with clean credit and 12 or more months of ABN history.

For tradies buying a ute plus accessories (toolboxes, canopies, bull bars, tray bodies, ladder racks), some lenders allow the accessories to be bundled into the finance, provided the total is below the lender's maximum. This avoids paying for accessories out of pocket while still getting the full package financed under a single loan. Ask us about accessory bundling when you enquire.

Ute Finance for Fleets

If your business operates multiple utes, our fleet finance arrangements allow you to finance several vehicles under a single master facility. This reduces the need to apply separately for each vehicle, streamlines administration, and may deliver volume-based rate improvements. Finance leases and chattel mortgages are both available for fleet ute purchases. We work with transport operators, construction companies, mining contractors, agricultural businesses and any organisation running a multi-vehicle operation.

The Instant Asset Write-Off and Ute Purchases

If your ute costs less than $20,000 (excluding GST) and your business has aggregated annual turnover under $10 million, you may be eligible to claim the instant asset write-off for the full cost of the vehicle in the 2025/26 financial year. The ute must be installed and ready for use before 30 June 2026. The write-off is only available if you own the asset, which means a chattel mortgage or hire purchase structure. A finance lease does not qualify. Note that most new utes exceed the $20,000 threshold, but used utes, cab-chassis models and base-spec work utes may fall below it. Assets above $20,000 enter the small business depreciation pool at 15% in the first year and 30% each year after. Confirm eligibility with your accountant. For more on the write-off, see our EOFY equipment finance guide.

The Application Process

Call 1300 194 926, email info@australianfinanceloans.com or book a call through our website. Tell us the ute you are looking at (or the type you are considering), whether it is for personal or business use, and a little about your situation. We will identify the most competitive lender and structure, present you with a clear recommendation, and manage the application through to settlement. For most ute loans, approval takes 24 to 48 hours and settlement follows within a few business days.

Ute Loan Details

Loan amounts: from $5,000 to $150,000 for most ute purchases. Higher amounts available for premium models, accessories and fleet configurations.

Loan terms: 1 to 7 years. The most common terms are 4 to 5 years for new utes and 3 to 5 years for used utes.

Interest rates: from approximately 6.00% per annum for well-qualified personal borrowers on new utes, through to 22.00% per annum for bad credit applications. Business chattel mortgage rates start from approximately 6.50% per annum.

Deposit: not always required. Many lenders offer 100% finance on new utes purchased from a dealer. A deposit of 10% to 20% can improve your rate and approval odds, particularly for used utes and private sales.

Balloon payments: available on both personal and business ute loans. A balloon reduces your regular repayments but creates a lump sum at the end of the term.

Approval speed: 24 to 48 hours for standard applications. Same-day conditional approvals available from select lenders.

Frequently Asked Questions About Ute Loans in Australia

What is the best way to finance a ute in Australia?

It depends on how you use the ute. For personal use, a standard secured car loan gives the simplest structure and competitive rates. For business use, a chattel mortgage delivers the best tax outcome because you own the ute from day one and can claim GST, depreciation and interest deductions. For employees with salary packaging, a novated lease can deliver significant tax savings, especially on eligible electric utes. We compare all structures and recommend the best fit for your situation.

Can I get a ute loan with no deposit?

Yes. Many lenders on our panel offer 100% finance on new utes purchased from a licensed dealer. No deposit is required for well-qualified borrowers with clean credit. A deposit of 10% to 20% can improve your rate and may be required for used utes, private sales or low-doc applications.

Can a tradie get finance for a work ute?

Yes. Tradies with an active ABN can finance a work ute through a chattel mortgage, which is the most common and tax-effective structure for business vehicle purchases. Low-doc chattel mortgages assessed on bank statements are available for tradies who have not prepared formal financial statements. Most lenders require at least 6 to 12 months of ABN trading history.

Can I finance ute accessories like a toolbox or canopy?

Yes. Many lenders allow accessories such as toolboxes, canopies, bull bars, tray bodies, ladder racks and tow bars to be bundled into the ute finance, provided they are fitted before or at the time of settlement. This avoids paying for accessories out of pocket and keeps everything under a single loan.

Can I get a ute loan with bad credit?

Yes. Several specialist lenders on our panel consider ute loan applications from borrowers with defaults, missed payments or other credit impairments. Rates are higher for bad credit applications but finance is available. See our bad credit finance guide for more detail.

What interest rates are available on ute loans?

Rates range from approximately 6.00% per annum for personal loans on new utes with excellent credit, through to 22.00% per annum for bad credit applications. Business chattel mortgage rates on new utes start from approximately 6.50% per annum. The rate you receive depends on whether the loan is personal or business, the age of the ute, your credit profile, deposit amount and loan term.

Can I finance a used ute?

Yes. We finance used utes of all ages through our panel of 50+ lenders. The best rates are available on utes under 5 years old. Vehicles over 10 years old may require a larger deposit or shorter term. Private sale and dealer purchases are both financeable.

Is there an FBT exemption for electric utes?

Yes, for eligible battery electric utes (BEVs) priced below the $91,387 LCT threshold and financed through a novated lease. The Toyota HiLux BEV arriving in Q2 2026 qualifies. Plug-in hybrid utes (PHEVs) such as the BYD Shark 6 and Ford Ranger PHEV do not qualify for new novated leases entered after 1 April 2025. The FBT exemption is currently under government review with a report due by mid-2027.

How long does a ute loan take to get approved?

Most ute loan applications are approved within 24 to 48 hours of receiving complete documentation. Same-day conditional approvals are available from some lenders for straightforward applications. We handle the full process from application to settlement so you can focus on choosing the right ute.

Can I get pre-approved for a ute loan before I find the vehicle?

Yes. Pre-approval gives you certainty on your budget before you start shopping and puts you in a stronger negotiating position with the dealer. Pre-approval through our panel typically takes 24 to 48 hours and is valid for 30 to 90 days depending on the lender. There is no obligation to proceed and no impact on your credit score until you choose to go ahead with a formal application.

What is the best ute to buy in Australia in 2026?

The Ford Ranger has been Australia's best-selling vehicle for three consecutive years and remains the most popular choice. The Toyota HiLux offers a lower entry price and strong resale values. The Isuzu D-Max is known for reliability and durability. The BYD Shark 6 plug-in hybrid offers the lowest running costs. The Mitsubishi Triton is growing in popularity with competitive pricing. The best ute for you depends on your budget, use case and whether you prioritise fuel economy, towing capacity, off-road capability or cabin comfort. We finance all of them.

Can I finance a ute for my fleet?

Yes. Our fleet finance arrangements allow you to finance multiple utes under a single master facility, reducing the need to apply separately for each vehicle. Chattel mortgages and finance leases are both available for fleet ute purchases.

Why Choose Australian Finance & Loans for Your Ute Loan

Independent broker: we compare ute finance across 50+ lenders including major banks, specialist vehicle finance providers and non-bank commercial lenders.

Every structure covered: consumer car loans for personal use, chattel mortgages for business use, finance leases for fleet rotation, and novated leases for employees. One broker, every option.

Tradie and sole trader specialists: we know which lenders assess low-doc ute applications on bank statements and BAS, and which approve tradies with 6 to 12 months of ABN history.

Accessory bundling: we arrange finance that includes toolboxes, canopies, bull bars, tray bodies and other accessories in a single loan where lender policy allows.

Fast approvals: 24 to 48 hours for standard applications. Same-day conditional approvals available.

Bad credit experience: specialist lenders for borrowers with impaired credit or prior defaults.

50+ lenders through the COG Aggregation network, part of ASX-listed COG Financial Services (ASX: COG), Australia's largest asset finance broker network.

Melbourne-based team with national reach across all states and territories.

Call 1300 194 926, email info@australianfinanceloans.com or book a call to get started.

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