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Using finance to purchase your CFMOTO - the complete guide

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Using finance to purchase your new CFMOTO ATV or UTV can make great sense.

Finance allows you to enjoy full use of the vehicle immediately while you make regular repayments to cover the loan.

If you’re operating a business or you are a primary producer using finance can have a positive impact on your cash flow and can often reduce the taxation burden on your business.

Today we’ll look at who provides finance for CFMOTO vehicles, what products they offer and who they are best suited to, how you apply, what information you are required to provide and how to get the best rate.

Before we dive in, we should be clear, this article is not intended as financial advice. Everyone has their own set of circumstances and should seek advice that is specific to them. Call our team at Shepparton CFMOTO - (03) 5849 1577 today and we can help tailor advice to your situation.

With that said let’s look at who provides finance for CFMOTO vehicles. 

Introducing CFMOTO Finance

CFMOTO Finance is a finance company that launched in 2015 and is dedicated to helping customers finance CFMOTO ATV’s, UTV’s and SSV’s.

At Shepparton CFMOTO we work closely with CFMOTO Finance to offer our customers flexible, tailored finance products.

If you are financing a CFMOTO product we recommend you use a product from CFMOTO Finance. 

What finance products are available?

CFMOTO Finance offers Consumer Loans, Finance Leases and Chattel Mortgages.

Each product has its own structure, lets takes take a closer look.   

Consumer Loans

A consumer loan is the most common type of loan used to purchase a CFMOTO ATV or UTV.

This product is best suited to individuals (rather than a business) that is looking to purchase a CFMOTO.

You borrow a specific amount of funds and use them to purchase a vehicle. You take full ownership of the vehicle, but the finance company registers an interest in it as security of the loan they have given you.

You enjoy full use of the vehicle from the start and make regular payments to the finance company and by the end of the term your loan is fully repaid.

At this time the security interest is removed, and you are given clear title of the vehicle.   

Finance Lease

A finance lease is more suited to a business (rather than an individual) who is looking to purchase a new CFMOTO.

The finance company agrees to purchase the vehicle on your behalf and lease it back to you over a set term.

You can enjoy full use of the vehicle, but the finance company retains ownership of the vehicle. 

You make regular repayments to the finance company.

At the end of the lease term you can choose to pay out the loan in full and take ownership of the vehicle, sell the vehicle or refinance the remaining amount and extend the lease.

Under this arrangement the finance company owns the vehicle from an accounting perspective.

Depending on your accounting structure, you may not be required to pay GST on the initial loan amount. This is great, because it reduces the amount you need to borrow and repay each month.

You will, however, be required to pay GST on your repayments.

As a general rule you can’t involve a trade-in vehicle in a finance lease, but there is nothing to stop you from selling your vehicle privately and using those proceeds to repay your loan.

If at the end of the lease term you choose to pay out the loan in full, you will be required to pay GST on this amount.  

Chattel Mortgage

Like a Finance Lease, a Chattel Mortgage is tailored to businesses (rather than an individual) who are looking to purchase a CFMOTO.

The finance company provides you a loan for the funds to purchase the vehicle. You take ownership of the vehicle at the time of purchase. The finance company takes a mortgage over the vehicle as security for the loan they have given you.

You can enjoy full use of the vehicle but the finance company retains an interest in it.

You make regular repayments until the loan is paid back in full.

Once you have paid back the loan the security interest is removed giving you a clear title of the vehicle.

Under this arrangement your business owns the vehicle from an accounting perspective, but the finance company has an interest in it.

The invoice for the vehicle would be made out to your company which may allow you to claim any interest incurred on repaying your loan, depreciation of the vehicle and use of the vehicle.

Depending on your accounting structure you may not be required to pay GST on your repayments, but you will be required to pay GST on the initial loan amount.

You may structure a Chattel Mortgage to cover the full purchase amount, or you may contribute a deposit or trade-in a vehicle to reduce the amount that is required to be financed. 

What finance type is best suited to me?

If you are an individual the best place to start is with a consumer loan. The amount, term and rate that are available to you will depend on your ability to repay the loan amount. You can give us a call at the dealership - (03) 5849 1577, and we can help kick off the process.

If you are operating a business or you are a primary producer, you have a few more options available to you. You may choose between structuring your loan as a Finance Lease or a Chattel Mortgage.

Your choice will be guided by your accounting preferences and the exact nature of the business.

All variables being equal, the true cost of a Finance Lease and Chattel Mortgage is likely to be extremely similar, the only differences involve your accounting records, GST and tax deductions.

If you are operating a business, you should speak with your accountant for specific advice on which finance product is best suited to your needs. 

How do I apply for finance?

Before you consider applying for finance we need to workout exactly which CFMOTO ATV or UTV you wish to purchase.

Our friendly sales team will walk you through the range and help you select the best vehicle for your requirements.

Once you have decided, we can tell you the exact amount you will need to finance, and we can kick off the application. 

Tip: Any genuine accessories or optional extras can also be covered by your loan. We’ll work out the exact amount you need to finance including these.

The application is as simple as completing a form which we can do with you, or you do online or over the phone. 

What information do I need to provide CFMOTO Finance?

Applying for finance with CFMOTO is as simple as completing a form.

You’ll need to tell us all about yourself including information on your current address, employment, expenses and of course the details of the CFMOTO vehicle you are looking to finance.

We’ll also need some identification like your driver’s licence.

If you are employed on a full-time, part-time or casual basis the finance company will ask to see copies of your two most recent payslips.

If you are self-employed, they’ll ask for a letter explaining how much you draw from business to pay yourself and a copy of your latest notice of assessment from your tax return. 

On occasion, a copy of your bank statement might be requested.

We can help you complete the application in-store at Shepparton CFMOTO and will be with you every step of the way. 

How long does it usually take for my application to be approved?

Applications for finance are processed as soon as you can get the required documents to CFMOTO Finance.

If you visit our dealership with everything you need (see above), you’ll hear back as to whether your application is approved in a matter of hours.

In the worst case, you’ll hear back within 24 hours of submitting your application.  

What is the best finance rate I can get?

The rates offered by CFMOTO Finance are extremely competitive and offer you great value every day.

From time to time CFMOTO run promotions that offer even better finance rates to approved customers at heavily discounted rates.

You should keep an eye on our offers page to keep up to date with the latest promotions.  

Summing Up

Finance is a great way to enjoy the benefits of a CFMOTO vehicle sooner.

The team at Shepparton CFMOTO can provide a great range of finance products from CFMOTO Finance including consumer loans, finance leases and chattel mortgages.

The type of finance product you require is going to depend on your specific circumstances and you should speak to our friendly team for specific advice.

Apply for finance is as easy as choosing a vehicle and the completing a form with some information about personal situation or business operations.

Applications for finance are approved rapidly and you’ll here back the same day on whether you are successful or not.

We’d love to help you get into a new CFMOTO ATV or UTV. Call past our Shepparton dealership today, call our friendly sales team  (03) 5849 1577 or make an online enquiry now. 


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