Police CU Fixed Rate Personal Loan

How does the Police CU Fixed Rate Personal Loan work?

The Police CU Fixed Rate Personal Loan comes with 2 interest rates, which depend on how much you borrow. For loans over $5,000, your interest rate will be 7.24% p.a., while for loans over $20,000 your interest rate will be 6.90% p.a. The interest rate is fixed, meaning that your interest payments will remain the same for the duration of the loan. This makes it easy to predict and budget for your interest payments. You can use the loan funds for a variety of expenses, including for renovations, a family holiday or a wedding. You could also use them to purchase or refinance a new or used vehicle, including cars, motorcycles and boats.

What features does the Police CU Fixed Rate Personal Loan offer?

• Fixed rate. You get the certainty of knowing what your interest repayments will be. This makes budgeting easier.
• Differing interest rates. Your interest rate will depend on your minimum borrowing amount. This could be either $5,000 or $20,000.
• Terms up to 5 years. Your loan term can range up to 5 years.
• Extra repayments. You can make additional repayments without penalty.
• Redraw facility. You can redraw your additional repayments online for free.
• Flexible repayments. You can choose your repayment frequency based on what suits you. This can be weekly, fortnightly or monthly.

How much does the Police CU Fixed Rate Personal Loan cost?

There are a number of costs associated with this loan. They include:

• Loan principal
• Interest rate of either 6.90% p.a. or 7.24% p.a., depending on how much you borrow.
• Package fee of $195. You may be eligible for a discount. This fee is an establishment fee.

No monthly or annual fees are charged. The comparison rate, which includes fees and interest charges, is either 7.17% p.a. or 7.65% p.a., depending on how much you borrow.

You may also be charged an early repayment fee of $250 if you repay your loan during the first 3 years of the loan term.

What are the pros and cons of the Police CU Fixed Rate Personal Loan?

Pros

• Fixed rate. This loan comes with a fixed rate, making it easy to predict repayments.
• No monthly or annual fees. No monthly or annual fees are charged, helping keep down the cost of the loan.
• Extra repayments and redraw. You can make additional repayments and redraw them for free.

Cons

• Interest rates are higher if the loan is small. For a smaller loan starting from $5,000, you can expect to pay higher interest than if you borrow more than $20,000.

• Early repayment fee. A break fee of $250 will apply if you repay the loan during the first 3 years.

Am I eligible for this loan?

To be eligible for this loan, you must:

• Be over 18
• Be an Australian citizen or permanent resident
• Have regular income and stable employment
• Have an acceptable credit history

How do I apply for this loan?

You can apply for this loan online, through the Police Credit Union website. You can also arrange for them to call you. Or, you could download an application form which you can drop off at your local Police CU branch, email, fax or post. Keep your documents on hand to speed up the process.