Schedule of Rates and Fees

RATES AND FEES

INTEREST RATES

Alternate Finance provides loans at an annual interest rate from 13.95% to 26.98% per annum.

The rate that applies to your loan will be based on a range of factors including your circumstances, credit history with us or others, the security you can provide and the loan amount.

Once set, our interest rate is fixed for the term of your loan.

DEFAULT INTEREST RATE

If you get behind in your loan repayments, then we may charge a default interest rate on any overdue loan payments, while they are unpaid. The Default rate that we charge is 10% per annum above the Interest Rate that normally applies to your loan.

LOAN TERMS

Loan terms are normally over a maximum term of three years.

CREDIT FEES

Establishment Fee

A contribution towards the cost of assessing and processing approved loan applications.

Loan Amount Establishment Fee
$0.00 to $499.00 $95.00
$500.00 to $1,000.00 $230.00
$1,001.00 to 1,999.00 $290.00
$2,000.00 to $4,999.00 $340.00
$5,000.00 to $7,499.00 $390.00
$7,500.00 to 11,999.00 $490.00
$12,000.00 to $24,999.00 $590.00
$25,000.00 to $39,999.00 $690.00
$40,000.00 to $49,999.00 $790.00
$50,000.00 to $79,999.00 $870.00
$80,000.00+ $1,090.00

Fees are calculated based on the complexity of loans and only on the NEW money component.
The fee is then determined by reference to the bands as shown. i.e. there is no fee for any refinance portion of an existing loan from Alternate Finance.

REGISTRATION FEES

The actual charges incurred for registration of:

Item Fee Explanation
PPSR Registration (Manual) $20.00 Financing Statement completed through PPSR Website (or renewals).
PPSR Registration (Automatic) $10.00 Financing Statement completed through PPSR BtoG link (or renewals).
LINZ Registration – Mortgage $187.70* Mortgages using E-Dealing through a 3rd party.
LINZ Registration – Caveat $192.70* Caveats using E-Dealing through a 3rd party.
LINZ Discharge – Mortgage or Caveat $187.70* Using E-Dealing through a 3rd party.

*These charges vary depending on the 3rd party. Fees displayed are the current fee levied by our primary third party conveyancer.

ADMINISTRATION FEE

A contribution towards the costs of ongoing maintenance/processing of a loan.

Item Fee Explanation
Administration Fee $6.00 A monthly charge included in the instalments required to repay the loan.

VARIATION FEE

A contribution towards the cost of assessing and undertaking formal contract variation.

Item Fee Explanation
Variation Fee $50.00 Where an existing loan’s terms are changed, e.g. security, parties, or repayment requirements.

FULL PREPAYMENT FEE

A contribution towards the costs associated with full early prepayment of loans.

Item Fee Explanation
Administration Costs Charge $110.00 Where you repay a loan in full before the final payment is due.
Prepayment Charge As Calculated Compensation for any loss we may incur calculated under the formula prescribed in regulations.

DEFAULT FEES

OVERDUE ACCOUNT NOTICES

A contribution towards costs associated with management of loans in default.

Item Fee Explanation
Arrears Letters $20.00* Where your loan is overdue through missed payment(s).
Unpaid Item Letter $12.00* Letter issued advising that a payment made by you has been reversed by your bank.
Final Warning Letter $30.00* Where repossession or legal action may follow, or a payment default may be listed against you.

*Where a notice is sent to more than one person (e.g. if there is more than one borrower and/or guarantor) only one fee is charged, not one fee per person.

DEFAULT INTEREST CHARGES

In the event of a default in payment and while the default continues you must pay the default interest charges. In the event of a breach of the loan agreement or on the enforcement of the loan agreement, the default fees specified below are payable. The loan agreement may allow the creditor to vary these fees and charges.

Default interest is 10% per annum, when charged on any overdue instalment or overdue amount before payment of the unpaid balance has been accelerated (called up early). Default interest is charged from the time that you fall into financial default until you are no longer in financial default. It is calculated by multiplying the overdue instalment or overdue amount by the daily default interest rate. The daily default interest rate is calculated by dividing the annual default interest rate by 365. Default interest is charged to your account each payment period.

If the lender accelerates payment of the unpaid balance or the unpaid balance falls due at the end of the loan term, and you do not pay, the default interest rate will be 10% per annum charged on the unpaid balance from when the unpaid balance is called up or otherwise becomes due until you repay it in full.

Item Fee Item Fee
Arrangement Requested $13.00 Letter Correspondence $10.00
Arrears Letter $20.00 Monitoring Fee $14.50
Broken Promise $15.00 Phone Call $8.60
Car Searches $14.45 Post Possession $32.50
Mobile Phone Call $8.60 Further Advance $40.00
Change of Direct Debit $6.50 Property Law Notice $265.50
Caveat / Mortgage COST Refund Charge $16.00
Comment / Diary $6.50 Repossession Authority $65.00
Direct Debit Transfer $4.00 Repossession Fee COST
Default Loading Fee $15.00 Repossessed Vehicle Sales Fee $500.00
Dishonour Fee $12.00 Statement of Account After Sale $26.00
Fifteen Day $25.00 Storage (daily) $18.00
Final Notice $30.00 Text Message $6.50
Gone No Address $35.00 Variation Cost $50.00
Insurance Default $26.00

AGENT CALLS

A contribution towards costs associated with a physical visit due to default.

Item Fee Explanation
Field Visit – Alternate Rep $75.00 Where we have an employee visit you regarding a default (payment or otherwise).
Field Visit – Third Party Agent As Invoiced to us Where we have an contracted third party agent visit you regarding a default (payment or otherwise).

REPOSSESSION

A contribution towards costs associated with repossession action.

Item Fee Explanation
Repossession Warning Notice $30.00* Statutory Notice formally advising of our intention to repossess.
Repossession Fee As Invoiced to us Where we issue an authority to repossess to a contracted third party agent.
Post Repossession Notice $32.50* Statutory Notice confirming the repossession.
Storage of Repossessed Goods – Alternate $8.00 per day Where repossessed goods are stored at Alternate Finance’s storage locations.
Storage of Repossessed Goods – Other As Invoiced to us Where repossessed goods are stored at a third party’s storage location.
Return of Goods As Invoiced to us Cost for return of goods, where this is through Alternate Finance’s warehouse the charge will be $50.
Storage Vehicles $18.00 per day Where a storage vehicle is used for repossessing goods.

*Where a notice is sent to more than one person (e.g. if there is more than one borrower and/or guarantor) only one fee is charged, not one fee per person.

RECOVERY

A contribution towards costs associated with other collection or enforcement actions.

Item Fee Explanation
Collection Agents Commission As Invoiced to us Where a third party debt collection company has been passed the loan to pursue repayment.
Property Law Act Notice $265.00 Statutory Notice issued under the Property Law Act requiring payment or other default to be remedied.
Other Charges As Invoiced to us Any other services contracted out to third parties to facilitate collection/repayment of a loan.

NOTES:
These are the maximum level of fees charged, in some cases fees may be charged at a lower level.

Current as at 1 November 2015.

THIS IS WHY YOU WANT TO BORROW FROM US

Better Interest Rates

WE GIVE YOU BETTER INTEREST RATES

Why pay more through dealer finance?
See our Loan Rates & Fees page to see how we stack up.
Easy loan repayment options

WE MAKE IT EASY TO BORROW

With online application, flexible repayments and terms to suit your situation.
We look beyond credit ratings

WE LOOK BEYOND YOUR CREDIT RATING

We prefer to look at the security you have rather than your income.
If your credit rating’s not great, you can still borrow money from us.