Chattel Mortgage Calculator
Calculate business asset repayments with a deposit and final balloon, then export the repayment schedule.
Your business asset
Enter the asset cost and deposit, then set the repayment terms.
Your chattel mortgage estimate
Example inputsUnavailable. Check the fields with errors to calculate your estimate.
- $971.61
- Each month at the starting settings. Add the balloon to the last regular repayment.
- $18,000
- $16,297
- $60,000
- $76,297
60 monthly repayments. The last payment is $18,971.61 including the balloon.
With no balloon
| Regular repayment | $1,216.58 |
|---|---|
| Total interest | $12,995 |
| Total outlay with your entered balloon and deposit | $82,897 |
Repayment schedule
First 12 payments and the final payment. Export the full schedule for principal and interest in every period.
| Payment | Paid | Balance |
|---|---|---|
| 1 | $971.61 | $59,428.39 |
| 2 | $971.61 | $58,852.97 |
| 3 | $971.61 | $58,273.72 |
| 4 | $971.61 | $57,690.60 |
| 5 | $971.61 | $57,103.60 |
| 6 | $971.61 | $56,512.68 |
| 7 | $971.61 | $55,917.82 |
| 8 | $971.61 | $55,319.00 |
| 9 | $971.61 | $54,716.18 |
| 10 | $971.61 | $54,109.35 |
| 11 | $971.61 | $53,498.47 |
| 12 | $971.61 | $52,883.52 |
| 60 | $18,971.61 | $0.00 |
Repayments With a Balloon
A chattel mortgage balloon reduces regular repayments by leaving part of the loan balance to pay at the end. Interest still accrues on that balance. A larger balloon usually increases total interest when the amount financed, rate and term stay the same.
This calculator keeps the balloon you enter and adds it to the last regular repayment. It uses a fixed annual rate divided by 12, 26 or 52 for monthly, fortnightly or weekly payments. Each payment falls at the end of its period.
The calculation discounts the balloon to its value at the start of the loan. The remaining opening balance is repaid through equal regular payments. At a zero interest rate, the regular repayment is the amount financed minus the balloon, divided by the number of payments.
The no-balloon comparison changes only the balloon. Use it to see the regular payment and interest cost of repaying the whole balance during the term. The balloon is a debt you must fund at maturity, even if the asset sells for less than expected.
Reading the Repayment Schedule
The repayment schedule shows each payment and the loan balance left after it. The full export separates principal from interest and identifies the balloon within the final principal payment.
In this illustrative business-vehicle example, the $66,000 asset has a $6,600 deposit and $600 in financed fees. The amount financed is $60,000. Over five years at 8%, with a $18,000 balloon, the regular monthly repayment is $971.61.
| Example figure | Amount |
|---|---|
| First payment: interest | $400.00 |
| First payment: principal | $571.61 |
| Balance after first payment | $59,428.39 |
| Final balloon | $18,000 |
| Last payment including balloon | $18,971.61 |
| Total interest | $16,297 |
| Total paid to lender | $76,297 |
The first payment reduces principal by $571.61 after covering $400 in interest. The final payment includes the balloon and leaves a zero balance. The balloon is already included in total paid to lender, so adding it again would overstate the cost.
Export the full schedule as a comma-separated values (CSV) file to open in Excel or another spreadsheet. The export keeps plain numbers. Calculations retain precision between periods, so a lender that rounds every payment or calculates daily interest can produce a slightly different schedule.
Deposit and Financed Costs
The opening loan balance is the asset price minus your deposit plus the fees you finance. A larger deposit reduces that balance. Adding fees to the loan increases both the amount financed and the interest charged on it.
Enter the full invoice amount, including any goods and services tax (GST). Add only costs financed under the contract. Costs paid separately in cash are outside the lender-payment total, and the total outlay figure adds only the deposit you enter.
This business asset finance calculator also handles equipment repayments under the same fixed-rate assumptions. Use the agreed balloon amount in dollars. For a percentage balloon, first calculate that percentage of the amount specified by the lender, which might be the asset price or amount financed.
A later GST credit does not automatically reduce the loan balance. This tool applies no assumed refund or extra repayment. If you plan to pay a refund into the loan, the repayment terms and any early-payment costs determine the effect.
GST and Tax Are Separate Decisions
A repayment estimate calculates loan cash flows. It does not establish a deduction or entitlement to a GST credit. Tax treatment depends on the purchaser, the transaction and the asset's use.
The Australian Taxation Office (ATO) explains that a GST-registered business generally needs a tax invoice to claim GST on an eligible vehicle purchase. Private use and the rules for luxury cars or second-hand purchases can change the claim. Its GST and motor vehicles guidance sets out those conditions.
The ATO lists interest on a motor vehicle loan among business vehicle expenses. The motor vehicle expense rules limit claims to eligible business use and explain how business structure affects deductions. Repaying principal and claiming depreciation are separate calculations, so the total loan payment is not an automatic deduction.
Business-purpose equipment finance and consumer credit also have different legal treatment. The Australian Securities and Investments Commission (ASIC) explains that the National Credit Code applies when its lender, borrower and purpose conditions are met. The borrower conditions include a natural person or strata corporation. The covered purposes include predominantly personal, domestic or household use as well as specified residential investment purposes.
Calling a loan a chattel mortgage does not decide its classification. Match the actual borrower and intended asset use to the legal conditions and the lender's product rules. The numerical repayment result cannot establish the transaction’s legal classification. Tax entitlements and credit approval require their own assessment.