Consumer Lending
COSTS OF BORROWING FOR CONSUMER LOANS
CURRENT AS AT 1 JUNE 2018
As we are a boutique finance company that tailors each loan for the specific requirements of each individual there is no “one size fits all” in terms of fees. We will always clearly detail exactly what fees would be payable by you before you make any decisions to proceed with a loan offer from us. If you require clarification regarding the interest rate that would apply to you or any of the fees detailed below please telephone Noel on 027 450 5301.
INTEREST RATES
Ordinary Interest Rate
Our interest rates range between 9.95% per annum to 13.95% per annum and are determined by a number of factors including:
- The security available for the loan
- Your credit history
- Your financial stability, work status and financial commitments
- Your ability to service the loan
- The amount you wish to borrow and the term of the loan
The Interest rate is fixed for the term of your Loan and interest is debited to your account on the basis of monthly rests.
Default interest rate
Default Interest is charged at the rate of 10% per annum above the annual interest rate. If you fail to make a payment on the due date then Default Interest is charged on the overdue amount from the date that you were supposed to make payment to the date that the lender receives the overdue amount.
FEES
Loan Application and Account Maintenance Fees
Loan Establishment Fees: Our Establishment Fees range from between $250 to $750 and are payable when you draw down the loan. The level of our Establishment Fees is dependent on the time spent processing and
considering your loan application to make sure that we understand you and your situation, whether we have to travel to inspect any security property and the amount and complexity of work required in order to assess the application. We are happy to discuss the level of fees as they might apply to your particular situation in advance with you.
Valuation Fees: If we require a valuation of any property or collateral to be used as security for your loan then the costs of that valuation are payable by you in accordance with actual costs of the valuer.
Legal Fees: Once your loan application is approved and you have accepted our loan offer we instruct our lawyers to prepare the loan contract and security documents prior to the loan being advanced Our lawyer’s reasonable legal fees will be payable by you. Legal costs and disbursements vary and will be quoted in advance for your specific situation. These costs are payable by you when you first draw the loan.
Brokerage Fee: Any brokerage fee that you are obliged to pay to a finance broker that you have engaged to arrange your financing is not a charge under our credit contract but we will, if you request us to do so, as a matter of convenience to you pay the brokerage fee direct to your broker when the loan is advanced.
Administration Fee: We do NOT charge you any monthly administration fee.
Progress Payment Fee: $50.00 for every progress payment made if your loan is to be advanced in stages. However if there are more than 3 progress payments within one month we will negotiate the fee.
One Off Payment: If you have not paid your outgoings such as rates or insurance premiums in relation to a security property and we have to pay these on your behalf a fee of $40.00 will be charged for processing the payment. Any attendances necessary by us if you request any variation to your loan facility will be charged on a time and attendance basis.
Repayment Fees
Early Repayment: We allow early repayment of your loan at any time. You may be required to compensate us for the reasonable estimate of our loss as a result of early repayment which will be calculated in accordance with regulation 9 of the Credit Contracts and Consumer Finance Regulations 2004. If you want to know what that cost might be you can contact us at any time.
Release Fees: At such time as your loan is fully repaid we charge a repayment administration fee of $250.00. Our lawyer’s legal fees of $500.00 (including GST and disbursements) to arrange for the release of any securities once your loan is repaid are also payable by you.
Default Fees
Default Letter Fee: If you fail to make a monthly payment on the due date and we send you a text/email/letter in relation to the default we charge a default letter fee of $50.
Third Party Fees: If it is necessary for us to enforce the loan because you have defaulted then you will be charged with all of the costs and disbursements we incur in doing so. These costs may include (without limitation) the costs of lawyers, process servers, repossession agents, valuers, real estate agents, auctioneers and court costs. All Fees are added to your loan account and form part of your loan which means that we will charge interest on them until they are paid.
Click here to download our standard form consumer credit contract.