Explore car loan options for self-employed borrowers, with flexible finance solutions to suit your income, business needs and budget.
Self-employed Australians and ABN holders can get a car loan, most lenders just want proof your income is regular, not a payslip. Working for yourself, you’ll probably have noticed lenders asking a whole lot more questions than they’d ask someone on a salary.
Fair enough, they can’t just take a look at your payslip. Still, plenty of lenders will lend to ABN holders and their rules are a real mixed bag. On LoanCalculator.com.au you can compare a whole bunch of them without filling in five different forms, a total time saver.
Our panel has got 40+ lenders on it, and let me tell you, no two of them treat ABN income the same way at all. Some are dead-set strict on having two years of returns lodged. A few will happily look at 12 months of BAS. Then you’ve got the ones in the middle, and a couple will go totally case by case.
Don’t just look at the rate. Here’s what to check:
| What to check | Why it matters |
|---|---|
| Comparison rate | The one to keep an eye on, it bundles in most fees |
| Setup fees | What you’ll pay to get the loan started |
| Monthly fees | Ongoing charges over the life of the loan |
| Balloon payment | Whether there’s a balloon owing at the end |
| Early payout costs | Worth asking, since some lenders charge you for clearing early |
Worth saying upfront: we’re not a lender. LoanCalculator.com.au just compares loans from our panel (we’re not looking at the whole market), and the lender is the one who sets the pricing and says yes or no.
You’re a sole trader with a van, or a director of a company with 20 staff, it’s the same idea: finance for a car that’s paid back from what your business earns. Most terms are 1 to 7 years. The car itself usually secures the loan.
From day to day, it’s just like any other car loan. Where it gets different is the paperwork you use to show what you earn. That’s why you’ve got more than one type:
Lenders are mainly asking two things. Does money come into the business regularly? And can you fit one more repayment into your expenses?
You can borrow from $5,000 to $200,000 through our panel, though what you’re offered comes down to your income, trading history and existing debts, not a fixed amount for ABN holders specifically.
What you hand over depends on whether it’s full doc or low doc. Typically, that’s:
Ask the lender for its checklist first. It saves scanning paperwork you don’t end up needing.
Choosing the right self-employed car loan starts with comparing lender requirements, understanding your borrowing options and finding repayments that fit your budget.
Try a few loan amounts and terms in our car loan calculator and see what fits the bill.
Browse what 40+ lenders are offering and narrow it down to the ones that suit you.
Get your ID, ABN details and income paperwork in order.
Pick a loan and fill it in online.
Once the lender approves it, the loan settles and you can go pick up the car.
Most self-employed people we talk to are up to their eyeballs in work and have zero time to ring around all the lenders trying to get the low down on how they treat ABN income. We know, we’ve been there. So we’ve done the groundwork for you.
Self-employed car loans can raise questions about eligibility, income documents and repayment options. Here are answers to common questions to help you understand the process.
You can still get a car loan, but the options are a bit more limited. Some lenders are more open to looking at your whole application even if you’ve only been operating for a short time, especially if you’ve been working in the same trade or industry beforehand.
For a full doc loan, generally yes. For a low doc loan, lenders might be happy with BAS statements, bank statements or a letter from your accountant instead.
Mainly how you prove your income. A full doc loan relies on your tax returns and financials, while a low doc loan uses other records to vouch for your income. Expect to pay a bit more in fees for a low doc loan.
This one’s a real minefield and your accountant is going to be the one to make that call. A lot of it depends on how your business is structured and how much of the driving is work related.
Possibly. If the car’s used for work, some of the interest and running costs might be claimable. But the percentage you can claim is usually tied to how many work kilometres you do compared to personal kilometres, which is where a logbook comes in. Your accountant or the ATO will be able to give you the lowdown on all the details.
Yep, contractors can apply as well as sole traders, partnerships and company directors.
Work out what feels manageable each month, then see which of our 40+ lenders could be a fit for your ABN income.
