What are the standard fees and charges on Family Finance Consumer Contracts?
- Family Finance’s standard documentation or establishment fee varies depending on the amount you are borrowing.
- For loans under $250 establishment fee for setting up the loan and approving you is $75
- For loans up to $251-$500 establishment fee for setting up the loan and approving you is $99
- For loans $500- $1000 establishment fee for setting up the loan and approving you is $200
- For loans $1001- $3000 establishment fee for setting up the loan and approving you is $275
- For loans $301- $5000 establishment fee for setting up the loan and approving you is $350
- For loans $5000 and over the establishment fee for setting up the loan and approving you is $395
Personal Property Security Registration ( PPSR)
If your loan is secured by your car or personal property we register a security over this property on the PPSR. This incurs a one off cost at the commencement of the loan of $30.
Monthly Activity Fee
For each month your loan is active, there is a $7 fee. This fee is included in your initial ‘balance payable” so you know your costs at the outset of the loan.
If we have to write you a reminder letter, the fee is $10
If we write you a Prepossession Warning Notice or demand the fee is $20
Annual Interest Rates
The annual interest rate is 11.95% to 21.80%, depending on the security offered and your credit check result. For vehicle finance with reasonable credit we can offer you a rate of 13.95%.
Default and Letter Fees
If we have to write you a reminder letter, the fee is $10.
If we write you a Prepossession Warning Notice or demand or Repossession Authority the fee is $20.
Default interest is 5% above the annual rate of interest and is charged on the overdue portion only.
If you repay your loan in full before the final scheduled payment date, you incur a single fee to close the loan early. This is $50 for consumer loans.
What are the standard credit sales agreement terms (if applicable) ?
What are the consumer credit agreement terms and conditions?
What is a typical Term Loan and Security Agreement ?
What should I do if I change my address?
If you change your address or phone number(s) you must let us know immediately. You can ring us on 0800 28 27 24 come and see us at 143 Commerce St Kaitaia 8am -5pm weekdays or email email@example.com or write to us at Family Finance PO Box 250 Kaitaia 0441.
What should I do if I have a complaint?
All complaints must be first made to Family Finance in writing on a Complaints Form (FF01) which can be mailed to firstname.lastname@example.org or by requesting a form from the office. All complaints must be made within 5 working days of the incident. The Manager of Family Finance will then give the complaint a reference number and acknowledge the complaint within 10 working days. (FF02)
Within the following 20 working days, Family Finance will work with the complainant to resolve the dispute. If no resolution is found, Family finance will then refer to the Financial Disputes Resolution, an independent agency.
What dispute resolution scheme does Family Finance belong to and how can I access them?
Family Finance belongs to the Financial Dispute Resolution scheme. You can access them by calling any of the team at 0508 337 337 or through their website www.fdr.org.nz
Family Finance welcomes feedback as a way of improving and refining the services they provide. Complimentary feedback can be made in writing to email@example.com.
As a borrower, how can I apply for unforeseen hardship relief?
You can apply for a hardship relief if you have been in default for less than 2 months and you have not missed 4 consecutive payments. Applications must be in writing to Hardship Applications, Family Finance PO Box 250 Kaitaia 0441. Or by emailing a letter to firstname.lastname@example.org
What happens if I default under my agreement including, if relevant, repossession?
If you default under your agreement, the first step is to ring Family Finance on 0800 28 27 24 to discuss how you can arrange to catch up. Or you can email us at email@example.com. If this does not resolve matters, you may apply for hardship relief ( see above)
You can return the goods secured under the loan voluntarily. We will then sell the goods and if there is still money owing, you will need to pay this balance.
If the loan is seriously overdue, or the goods are uninsured or at risk, we may issue a Repossession Warning Notice. If you have not responded satisfactorily to this notice, we may repossess the goods. You will then have 15 days to act on this warning notice by paying up the arrears, reinstating insurance and Warrant of Fitness and registration (if applicable). If you fail to do this, we are entitled to sell the goods. You will also be charged the actual cost of repossessing the item that was offered as security. This might include repossession agent fees, repair bills, legal fees and storage costs.
What should I do if I wish to cancel my loan agreement?
The Credit Contracts and Consumer Finance Act 2003 gives you a right for a short time after the terms of this contract have been disclosed to you to cancel the contract.
If you want to cancel this contract you must give written notice to the creditor.
You must also—
- return to the creditor any advance and any other property received by you under the contract (but you cannot do this if you have taken possession of any goods or if you bought any property at an auction or if the contract is for the sale of services that have been performed); or
- pay the cash price of the property or services within 15 working days of the day you give notice.
If the disclosure documents are handed to you directly you must give notice that you intend to cancel within 5 working days after you receive the documents. If the disclosure documents are sent to you by electronic means (for example, email) you must give notice that you intend to cancel within 5 working days after the electronic communication is sent. If the documents are mailed to you, you must give the notice within 7 working days after they were posted. Saturdays, Sundays, and national public holidays are not counted as working days.
If you cancel the contract we may charge you—
- the amount of any reasonable expenses the creditor had to pay in connection with the contract and its cancellation (including legal fees and fees for credit reports, etc) and (b) interest for the period from the day you received the property or services until the day you either pay the cash price for the property or services or return the property to the creditor.
What is Comprehensive Insurance?
Comprehensive Insurance covers your vehicle for accidental damage, fire and theft. You are required to maintain comprehensive insurance while your loan is active. Depending on your driving history and experience this could be from $400 to $1200 per annum but is usually under $700. This is subject to change by the insurers and is beyond the control of Family Finance.
What is GAP insurance?
Guaranteed Asset Protection Insurance or GAP protects your loan while your vehicle is securing a loan. Should your vehicle be written off, and the comprehensive insurance remains current, this will pay off up to $10,000 of the loan balance due, including up to $4000 extra borrowing, plus $1000 towards the deposit on your next car, plus one year’s comprehensive insurance on the replacement vehicle, plus hotel and rental car expenses should the accident/theft occur while you are away. The cost for this insurance for the life of the loan is $549.
What Mechanical Warranties can you offer me?
We can offer our own Harrier Warranty, which usually applies for 2 years and before the vehicle has done
175 000kms. See attached the typical terms of this contract.
We can also offer Autosure and Provident warranties that vary from one to 3 years and can cover your vehicle up until it has travelled 225,000 kms.
How can I make payments on my loan?
- Call into our offices and make a cash or eftpos payment. We do not accept credit card payments.
- You can set up an automatic payment or a direct debit and the payments will be automatically deducted from your account. A direct Debit form is attached (attach direct debit form) You will need to forward this direct debit form to us via post to PO Box 250 Kaitaia 0441 for processing. We must hold the master copy.
- You can pay us via telephone banking, giving your loan number as the reference.
- You can call into any branch of the ASB Bank and pay into Family Finance’s account: 12 3096 0256708 00. Please be sure to include your name and loan number as a reference.
How can I find out the balance owing?
You can ring Family Finance on 0800 28 27 24 or email firstname.lastname@example.org or write to us at Family Finance, PO Box 250, Kaitaia 0441.
How can I settle my loan early?
You can settle your loan early by contacting us for an up to date balance payable and then making that payment.
If the answer to your question is not listed, please don’t hestitate to give us a call on Kaitaia 408 1900 or 0800 287 284