Owner Finance Car Sale Contract Template for Australia

The Owner Finance Car Sale Contract is designed for situations where the seller of a vehicle provides direct financing to the buyer in Australia, eliminating the need for traditional bank financing. This arrangement is particularly useful for private sellers or small dealers who wish to offer in-house financing options. The document must comply with Australian consumer credit laws, including the National Consumer Credit Protection Act 2009, Personal Property Securities Act 2009, and relevant state motor vehicle regulations. It covers essential elements such as vehicle details, purchase price, interest rates, payment terms, security interests, and both parties' obligations. The contract is structured to protect both the seller's financial interest and the buyer's consumer rights while ensuring all regulatory requirements are met.

1. Parties: Identifies and provides full details of the seller/financier and the buyer/borrower

2. Background: Explains the context of the sale and finance arrangement

3. Definitions: Defines key terms used throughout the agreement

4. Vehicle Details: Comprehensive description of the vehicle including make, model, VIN, registration number, and current odometer reading

5. Purchase Price and Finance Terms: Details of the total purchase price, deposit, amount financed, interest rate, and payment schedule

6. Payment Terms: Specifies payment amounts, frequency, method of payment, and due dates

7. Security Interest: Establishes the seller's security interest in the vehicle until full payment is received

8. Transfer of Title: Conditions for and timing of the transfer of vehicle ownership

9. Buyer's Obligations: Maintenance requirements, insurance obligations, and usage restrictions

10. Seller's Representations and Warranties: Statements about vehicle condition, title, and authority to sell

11. Insurance Requirements: Specific insurance requirements including minimum coverage

12. Default and Enforcement: Consequences of default and seller's enforcement rights

13. Termination: Circumstances under which the agreement can be terminated and consequences

14. General Provisions: Standard clauses including notices, amendments, governing law, and dispute resolution