At Rural Bank, we understand that there are times when you need to purchase, upgrade or replace your farm or business equipment.
That's why we are pleased to offer a range of equipment finance products designed to give you the flexibility you need to manage your finances:
|
Finance Lease |
Rural Bank purchases the equipment and then leases it to you for an agreed period. |
|
Asset Purchase |
Rural Bank purchases the equipment and you buy it from us in instalments. |
|
Equipment Loan |
You own the equipment and Rural Bank provides a loan secured against the equipment. |
Whether you choose a Finance Lease, Asset Purchase or Equipment Loan, our Equipment Finance options can help you to:
- Preserve working capital by giving you access to the assets your business needs without the capital outlay required to pay for them upfront;
- Manage your cash flows with fixed rental/instalment payments;
- Provide possible tax benefits where the equipment being financed is used to generate income; and
- Have the option of starting a new contract with the latest equipment when your current contract ends.
Product Comparison Table:
| Finance Lease | Asset Purchase | Equipment Loan | |
|
Overview |
Rural Bank purchases the equipment and then leases it to you for an agreed period. | Rural Bank purchases the equipment and you buy it from us in instalments. | You own the equipment and Rural Bank provides a loan secured against the equipment. |
|
You own the equipment from the start |
No | No | Yes |
|
You own the equipment at the end |
No | Yes | Yes |
|
Deposit Allowed |
No | Yes | Yes |
|
Minimum Amount |
$20,000 | ||
|
Term |
2 to 5 years | ||
|
Fixed rentals/repayments |
Yes | ||
|
Interest |
Calculated daily and fixed for the term | ||
|
Repayment Frequency |
Can be tailored to suit your cash flow (monthly, quarterly, half yearly, seasonally or annually) | ||
|
Residual/balloon payment |
Residual value required | Balloon payment optional | Balloon payment optional |
|
Tax deductability |
Depreciation on equipment, interest payable and rental payments may be tax deductible. Speak to your taxation advisor for further information about potential tax benefits and selecting the right equipment finance option. | ||
Downloads (PDF): Equipment Finance Brochure
Disclaimer: Terms, conditions, fees and charges may apply. Full details are available on application or by phoning our Customer Service Centre on 1300 660 115, online or by visiting your local branch. All information is subject to change. Products are issued by Rural Bank Limited.
