judithross150

Hi,
Just moved to Sydney on a 457 visa and need to get a car for my job as a medical sales rep. Could get a novated lease through my company, but wondering if it'd be better for tax reasons to take the car allowance. Someone has told me it's very difficult to get credit/loans on a 457 visa - does anyone have experience of this? does having no credit history count for or against you here?
Thanks Jude

smoggieswilltravel

HI

OH got his car through the novated leasing and it works out really well, reduces tax and works out really well for us. He had no problem getting a car through this system and I've heard about many others on 457 not having a problem. A letter from your employer also helps. Usually the leasing company can source the best price cars for you to be got $$$$$ off ours.

Good luck

oliver1982

I've recently been through this experience. You are able to get finance for a car through a car yard...but it's not good. They wanted my girlfriends car as security and an interest rate of 23% over 36 months. I said no, they then offered 19%, I said no again and they lowered it to 17% (I didn't take it in the end!) What annoyed me is the fact that they were obviously trying to rip me off by charging the 23% initially when all along they could have offered the 17%. There was also an $800 broker fee and a heap of other extra charges added on to the contract.

On a seperate note, I have found out that the Commonwealth bank offer credit cards for people who are don't have PR.

paddyo

[QUOTE

On a seperate note, I have found out that the Commonwealth bank offer credit cards for people who are don't have PR.[/QUOTE]

ooohh...now that is handy to know!!

judithross150

Thanks, always difficult to know what to do, it seems novated car lease is best although if i leave my employer the car is my responsibility and financial obligations lie with me - not good if you're leaving the country!

DCI Gene Hunt

I never had a problem getting a car loan on a 457.

Oliver1982, 17% for a car loan They were obviously just trying to rip you off.

smurtaza

Why cannot a person may buy a car in Australia by paying cash direclty or on credit card?Is there some mandatory law to take the lease or novated lease?You always end up paying more if you buy car on any lease.

DCI Gene Hunt

Yes it's comletely against the law to purchase automobiles with cash. The only accepted form of purchase is via a finance agreement, digimons or a reciprocal agreement involving lots of turnips.

smurtaza

If you save $30K put it in big suitcase or handcarry and give it to car dealer.Maximum use credit card as it gives you choice to pay the loan straight away whenever you want.On lease aggrements you must pay interest plus you must pay more if you want to finalize the aggrement earlier.You cannot leave the country unless you sell the car.Moreover its illegal to sell the vehicle on loan.

DCI Gene Hunt

Sounds like an ideal solution for an ideal world.

If you can do that 2 months after arriving in the country with just a suitcase and $1000 UKP in your pocket, I'd love to know how.

smurtaza

Save money for the car!

DCI Gene Hunt

Do you have a mortgage or did you take a large suitcase down to the estate agents?

smurtaza

I have seen in the movies.Moreover, it happens overseas where people pay everything in cash.It means if you have a bad credit history and even you have saved money but you cannot buy a car or home because nobody will give you mortage.

oliver1982

Guys this is bad...I turned down their finance and now the car yard are sueing me for 10% of the purchase price. Nice! Please watch out when talking to these car dealers!!!

augigi

You don't need to watch out when talking to them.. you need to be careful when signing documents.

Did you sign anything?