Equipment and vehicle finance
Leasing is an accepted and well-established form of equipment financing enabling businesses to access equipment and technology which may not have been available through more traditional forms of finance.
Under a rental operating lease agreement the lessor retains substantially all the risks and benefits incidental to ownership of the leased property. Generally the term of the lease is for a period less than the effective life of the property.
A Revolving Limit or a Bulk Limit is a credit limit which is established for a client against which it can draw funds for the financing of goods under finance products offered by the Bank of Queensland Equipment Finance Limited, without the need for further approval at the time of each draw-down.
A Chattel Mortgage is an agreement whereby the Borrower allows the Bank of Queensland Equipment Finance Limited to take a legal charge over goods to secure due performance of an advance made to the borrower. Title to the goods remains with the Borrower.
Novated leases only apply to motor vehicles. A Novated lease arrangement is typically an agreement between three parties, a finance company (Lessor), an employer (Payee) and an employee (Lessee).
A Lease or Commercial Hire Purchase (CHP) Escrow facility provides interim finance to allow progress payments on equipment being constructed/installed over a period of months to be made on behalf of the lessee or hirer.
Commercial Hire Purchase is similar to a finance lease in that substantially all the risk and benefits relating to ownership reside with the hirer.
Equipment and vehicle finance products are offered by Bank of Queensland or its wholly owned subsidiary, the Bank of Queensland Equipment Finance Limited ABN 78 008 492 582. Fees and charges are payable. Normal credit assessment criteria apply. Full terms and conditions are available from BOQ Equipment Finance Limited.