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First Option Credit Union has now been rebranded to First Option Bank. All product information below is correct.
First Option Bank is a mutual financial services organisation, which offers personal loans, car loans, home loans, credit cards, transaction accounts, savings accounts, financial planning advice, foreign exchange solutions, and business banking solutions. They offer both secured and unsecured personal loans. The minimum borrowing amount is $2,000. For an unsecured loan, the maximum loan amount is $15,000, while the loan limit for a secured loan will depend on the security offered. The interest rate starts at 13.99% p.a., with a maximum loan term of 7 years. This loan does not have monthly or annual fees, but there is an application fee of $175. There is also a $10 redraw fee. To borrow, you will have to be a member of the First Option Bank.
What Personal Loans does First Option Bank offer?
You can get an unsecured or secured loan through First Option Bank, which can come with a fixed or variable rate. If you become a member during March, First Option Bank are offering a 3% discount on 1, 2 or 3 year fixed personal loans.
Compare First Option Bank Personal Loans
- Personal Loan. This variable rate loan does not attract any monthly or annual account-keeping fees and you'll get a competitive rate of 13.99% p.a. You can make extra repayments as and when you like, you can pay the loan off ahead of time, and in both scenarios you don't have to pay any penalties. You can access the money you pay as additional payments through a redraw facility.
- Fixed Interest Personal Loan. With this loan comes peace of mind in knowing that your repayments won't change for the selected term, which can be one, two, or three years. This loan does not attract any ongoing account keeping fees, and it allows you to make extra repayments without worrying about penalties. It comes with a redraw facility and a competitive fixed rate of 10.99% p.a.
- Cash Secured Loan. You can take advantage of a very competitive interest rate of 4.99% p.a. through this loan, which you need to secure using a First Option fixed Term Deposit. You can choose between fixed and variable interest rates and you also get flexible repayment methods. You don't have to pay any application or account-keeping fees, there is no penalty for extra repayments. You'll have access to a free redraw facility.
The features and benefits that come with First Option loans
- Extra repayments. No matter which First Option personal loan you take, you can make as many extra repayments as you like and not worry about paying penalties. This enables you to pay the loan off ahead of time and you can also save what you pay in interest.
- Redraw facility. The funds you add to the account in the form of extra repayments are easy to access if you need them later through the redraw facility. With cash secured loans, this facility is free.
- Minimal fees. None of First Option's personal loans attract any ongoing account-keeping fees, and if you're considering getting a First Option Cash Secured Loan you don't have to pay any application fees.
- Repayment options. The easiest way to make repayments towards your loan is via salary deduction, given that this takes away the need of remembering when to make payments. You can also make repayments and extra payments via phone, Internet, and mobile banking.
- Variable loan terms. The loan term of a variable rate Personal Loan can vary between 1 to 7 years, and for fixed rate loans the maximum loan term is 3 years. With a Cash Secured Loan, the maximum loan term can extend up to 7 years.
- Consumer Credit Insurance. Sickness, accident, and involuntary unemployment cover is an optional extra, premiums of which can club with your loan. This insurance cover makes repayments on your behalf in case you or your partner are injured or sick and cannot work.
First Option Bank also offers:
- Transaction accounts. First Option provides an access saver account that functions as an everyday account while also giving you the ability to earn interest. A Deeming/Over 65 account is for individuals over 65 years of age who receive Government pensions or allowances.
- Savings accounts. This bank provides an array of savings accounts to suit various needs. While some provide easy access to your money, some others offer bonus rates. This bank offers a special award winning savings accounts for kids, a GST/Tax Saver account, and a Christmas Saver account.
- Home loans. If you're looking for home loans, your options with this bank include standard home loans, packaged home loans, investment loans, construction loans, interest-only loans and bridging loans.
- Credit cards. First Option Bank, in association with Visa, gives its members the ability to apply for cash rewards and low rate Visa credit cards.
- Other offerings. Some of the other offerings this bank provides include insurance solutions, tax and accounting services, financial planning advice, and business loans and overdrafts.
Want to apply for a Personal Loan? Here's how:
You can visit any First Option Bank branch to apply, you can get started over the phone, and you can apply online. The online application does not take long to complete, and you can start the application for a First Option Bank Personal Loan if you meet the following eligibility criteria:
- You're over 18 years old
- You're a permanent resident of Australia
- You don't have poor creditworthiness
To complete the application successfully you have to provide certain information, so keep the following easily accessible.
- Proof of income in the form of last two payslips or a letter from your employer confirming the same
- Self-employed individuals have to submit copies of tax returns for the last two years
- Details of all existing debts
- Proof of rent you pay (if applicable)
- Copy of the current Rates notices for properties you own (if applicable)
Personal Loan OffersImportant Information*
You'll receive a fixed rate between 5.35% p.a. and based on your risk profile.
Apply for a loan up to $50,000 and repay your loan over 3 or 5 years terms.
You'll receive a fixed rate of 8.99% p.a.
Apply for up to $50,000 to use for a variety of purposes without needing to add security. Available to self-employed applicants.
You'll receive a fixed rate between 6.99% p.a. and 18.99% p.a. ( 7.91% p.a. to 19.83% p.a. comparison rate) based on your risk profile
Borrow from $5,000 to $55,000, with 1 years to 7 years loan terms available. This loan comes with no fees for extra repayments and no early exit fees.
You'll receive a fixed rate between 5.95% p.a. and 19.99% p.a. based on your risk profile
A loan from $5,000 to use for a range of purposes. Benefit from no ongoing fees and no early repayment fee.
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