Novated Lease Finance Rates

mavis30551 on 02/09/2025 - 14:50

My Employer only allows 1 novated lease company.
The rates for Finance are pretty high - around 9%.
You can organise your own finance though.

Has anyone been successful in finding a company that does competitive EV novated finance rates - something more like 5-6%?
If so would you care to share?

I've done a few quotes and its usually not worth the hassle of organising for around the same %.

Any tips or tricks for getting the lowest rate? Sometimes I swear I wish they would just give me a list of lenders and rates before making me go through the hoops to find out they're still average rates.

Thanks for your attention in this matter.

Financial Novated Lease

Comments

  • JimB on 02/09/2025 - 14:54

    Your novated lease company will allow you to use another finance company?

    5.xx% is home loan rates.

    • mavis30551 on 02/09/2025 - 15:22

      Ive seen it advertised for EVs, but never for novated finance.

      Hell,1.99% and lower offers come around for new cars sometimes.

      • JimB on 02/09/2025 - 15:36
        +1

        Usually on specific models when they are struggling to move the cars.

        I know you get 1.99% on a Ford Mustang at the moment from Ford on a regular car finance loan.

        I'm not sure you it works when you find your own finance with a novated lease.

  • theHMASfriendship on 02/09/2025 - 15:06
    +3

    Thanks for your attention in this matter.

    You’re very welcome

  • burningrage on 02/09/2025 - 17:42

    The problem with Novated Lease is the savings you will make will be eroded significantly by:
    1. The much higher than market interest rates. I'd say about 50-60% of the benefits will be eroded by this.
    2. If you are receiving Govt benefit, the inclusion of Reportable Fringe Benefit may disqualify you from receiving certain Government benefits (FTB-A, FTB-B, Carers, etc).
    3. The potential over-budgeting which disrupts your cashflow. I have a friend who bought an PHEV that grossly overestimated the "fuel" component

    In my opinion, this example below would be better than Novated Leasing.

    https://www.waverleytoyota.com.au/national-offers/
    (All-Electric bZ4X - 1.99% Finance)

  • Iwantthebestprice on 02/09/2025 - 19:08

    If you bargain hard enough you can get it lower. I got just under 6% for my Tesla juniper a couple months ago. Was a lot of haggling and I was in touch with them for over 6 months before I finally decided to buy, I wasn’t in a rush and the sales guy knew that so as EOFY was approaching they obviously needed targets to hit so I smashed them home that they need to come back with their best rate or I walk. After seeing online, it’s talked a lot on all the EV forums, anything under 7 is really really good, under 6 barely heard of so I locked it in.

    Could also be based on salary and income brackets etc keep in mind, the novated lease company told me they only financed teslas via an external finance company, so in order to get this rate the sales guy had to get approval for in house financing rates - very rare and need an amazing credit rating and good salary to even consider this.

    • mavis30551 on 03/09/2025 - 09:58

      thanks for sharing, dont know why someone down voted you

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