Interest Rates

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• Comment

  Australian interest rates are at a historical low. The last time we had bank home loan interest rates in the low 3% range was the early 1970s. Some economists are forecasting that the RBA will make a further two reductions in the official cash rate in the next 6 months.  Ignore the government spin - This is a sign that the economy has slowed dramatically and things are not going to look up in the short term. Australian banks borrow a large percentage of the funds they lend out from overseas sources. This makes our economy and interest rates very susceptible to the impact of events overseas. The immediate impact of a shock to the world economy could be a sudden spike in rates.   Comparing lending products purely on the basis of interest rate can be very misleading. With the raft of recent changes to lending guidelines there is now considerable variation in assessment standards, and the differential amount that can be borrowed can be quite significant.

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• Residential Rates

  Rates illustrated are indicative of current market offerings as at 9 May 18- for a loan of $500,000 repayable on a principle and interest basis over a nominal term of 30 years. maximum loan to valuation ratio of 80% non business usage comparison rates will vary with the size and term of the loan features such as offset, redraw and accelerated payments have not been taken into account lenders fees and charges apply Interest rates change on a daily basis and are often subject to special offers or lender discounts. Prospective borrowers are encouraged to contact us and discuss their circumstances and needs.

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• Equipment and Vehicle Finance

  The rates quoted in the table are indicative and purely for planning purposes. Rates are subject to change without notice.  You should discusss your circumstances, and needs and not commit purely on interest rate - particularly if you're buying a vehicle at a dealership. Contact our office for a detailed quote.

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• Commercial Property Loan - Purchase or Refinance

  Criteria   Full Doc   Lo Doc   No Doc / Lease Doc   Short Term     Amount              $250,000 plus   $250,000 - $20m+   $250,000 - $20m   $50,000- $20m   Max. LVR   to 80%   to 80%   to 70%    to 60%   Term      to 30 years   to 30 years   to 30 years   1-12 months   Ind. Rates    4.20% - 10.00%   5.50% - 15%   6.50% - 12%   6.6%-25%   Ind. Fees   0.50% - 1.50%   1.25% - 3.00%   1.00% - 3.50%   1.00% - 5.5%  Requirements             2 yrs financial statements    Profitability statement   Statement of capacity to pay   Statement of capacity     6 months loan statements   Accountant Letter   Valuation of security   Valuation of security     Valuation of security   Valuation of security   A & L Statement Borrowers    A & L Statement      2 yrs business tax returns     A & L Statement Borrowers   6 months loan statements   Exit Strategy     ATO Portal statements - 12 months   ATO Portal statements -12m    ATO Portal statements -12m       2 yrs personal tax returns   6 months loan statements         A & L Statement - Borrowers

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• Business Loan Secured by Property - Indicative Rates & Requirements

  Criteria    Full Doc    Lo Doc    No Doc    Short Term     Amount              $250,000 plus   $250,000 - $20m   $250,000 - $20m   $50,000- $20m   Max. LVR   80%   75%-85%   to 65%   to 60%   Term      to 30 years   to 30 years    1 year - 3 years   1-12 months   Ind. Rates    4.20% - 9.00%   5.20% - 15%   6.00% - 15%   6%-25%   Ind. Fees   0.50% - 1.00%   1.00% - 3.00%   1.00% - 3.00%   1.00% - 3.50%  Requirements             2 yrs financial statements    Profitability statement   Statement of capacity to pay   Statement of capacity     6 months loan statements   Accountant Letter   Valuation of security   Valuation of security     Valuation of security  Valuation of security   A & L Statement Borrowers    A & L Statement      2 yrs business tax returns     A & L Statement Borrowers  6 months loan statements   Exit Strategy     2 yrs personal tax returns   6 months loan statements         A & L Statement - Borrowers

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• Debtor Finance (Invoice Discounting)

  Criteria   Finance All Debtor Ledger     Finance Specific Invoices Only  Supply Chain Finance - under const       Amount              $15,000 plus    $5,000 - $500,000       Max. Advance   to 80% of debtor ledger    to 80% of invoice value           Term      Ongoing    90 - 120 days        Ind. Rates    9.00% - 12% per annum   0.9% - 5% per 30 days       Ind. Fees   0.15% - 1.1% of invoice value     0.5% - 1.1% of invoice value       Requirements             Min 6 months trading   Min 6 months trading   Min 6 months trading        Profitable business   Profitable business   Profitable business                  Quality recurring business debtors  Quality business debtors         Copies of issued invoices   Copies of issued invoices         Copy of debtors & creditors ledger   6 months bank statements   6 months bank statements       6 -12 months bank statements  ATO Portal statement          ATO Portal Statement   A & L Statement Borrowers   A & L Statement Borrowers       2 yrs business tax returns             2 yrs personal tax returns           A & L Statement - Borrowers

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• Unsecured Loans, Overdrafts, Lines of Credit for Business Purposes

  Criteria    Full Doc    Lo Doc    No Doc    Credit Impaired / Opportunity     Amount              $5,000 - $5m   $5,000 - $250,000   $5,000 - $50,000   $5,000 - $250,000   Max. LVR   N/A   N/A   N/A    N/A   Term     6 - 60 months   6 months - 24 months   1 year - 3 years   1-12 months   Ind. Rates    9.00% - 27%   20% - 40%   30% - 40%   30% - 50%   Ind. Fees   0.0% - 6.00%   0% - 3.50%   0% - 3.50%   0% - 3.50%  Requirements              Min 6 months trading   Min 6 months trading   Min 6 months trading   Min 6 months trading      Profitable business   Profitable business   Profitable business   Profitable business     Clear Credit File    Clear Credit File   Clear Credit File   Any credit Issues accepted     up tp 2 yrs  bank  statements   6 months bank statements   6 months bank statements   6 months bank statements     ATO Portal Statement   A & L Statement Borrowers   A & L Statement Borrowers   A & L Statement Borrowers     2 yrs business tax returns         Need credit fast      2 yrs personal tax returns       Must have exit strategy     A & L Statement - Borrowers

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