Finance calculator questions, answered
The finance calculator estimates your vehicle repayment from the amount financed, the term and the repayment frequency, at a representative rate of 12.95% p.a.. The figures are indicative only, not an offer of finance. Below is how the estimate is calculated and how deposit, term and balloon change it.
How the estimate is calculated
What the calculator does with your inputs, and what the figure means.
The calculator estimates your repayment from three inputs: the amount financed, the term and the repayment frequency. It applies a representative interest rate of 12.95% p.a. and spreads the loan plus interest evenly across the term, so each repayment is the same. You can add a deposit or a balloon to see how the structure changes the figure. The result updates as you adjust the controls and is indicative only, not a quote.
The representative rate of 12.95% p.a. is a sample rate the calculator uses so it can show a realistic figure. It is not the rate you will be offered. Your actual rate depends on the lender, the asset, the term and your circumstances, and is confirmed only when a lender on our panel assesses your application. The estimate also excludes fees, so treat it as a planning guide rather than a final cost.
No. The figures are indicative estimates, not an offer, a quote or a pre-approval. They help you compare structures and understand likely cashflow before you apply. An accurate figure comes from a lender once your application is assessed. LDM Finance works with a panel of lenders and is not a lender, so the lender you are matched to sets the rate and makes the final decision.
It is close enough to plan around, but not exact. The estimate uses a single representative rate and excludes fees, so your final repayment may differ once a lender confirms your rate. As a worked example, a $45,000 vehicle financed over five years at 12.95% p.a. with no deposit is about $235 a week. Use the figures to compare options, then apply for numbers specific to you.
Deposit, term and balloon
How each control changes the repayment and the total cost.
A deposit reduces the amount financed, so both your regular repayment and the total interest fall. Paying part of the price upfront lowers the balance the lender charges interest on. Zero deposit finance is available if you would rather keep working capital in the business, in which case the loan covers the full purchase price. Move the deposit control to see the trade-off for your own amount.
A longer term lowers each repayment but increases the total interest paid, because you borrow for longer. A shorter term does the opposite: higher repayments, less interest overall. The calculator compares three, four and five year terms side by side, so you can weigh a manageable repayment against the total cost. As a general guide, choose the shortest term your cashflow comfortably supports.
A balloon is a lump sum deferred to the end of the term. Setting a balloon lowers your regular repayment while the asset is earning, then the balloon is settled at term end by paying it out, refinancing it or selling the vehicle. The calculator shows the lower repayment and the balloon amount together, so the cashflow trade-off is clear before you commit.
Use whichever frequency matches how you are paid, as it makes budgeting simpler. Switching frequency changes the size of each repayment but not the total cost of the loan. As a worked example, $45,000 over five years at 12.95% p.a. with no deposit is about $235 a week or $1,023 a month. Pick the view that fits your income cycle, then carry it into an application.
Answers are general information, not financial advice. Figures are indicative only, at a representative rate of 12.95% per annum. Lending criteria, terms and conditions apply. Finance wording follows UDC Finance's standard guidance and remains subject to UDC marketing review.