Debt Con­sol­i­da­tion
Loans

What can I use my Latitude Debt Consolidation Loan for?

<span>You can use a Latitude debt consolidation loan to combine multiple debts into one single loan. This means one interest rate (fixed or variable) and one weekly, fortnightly or monthly repayment. If you would like more information, give us a call 13 28 26 to discuss options to suit you.</span>

How much can I borrow with a Latitude Debt Consolidation Loan?

<span>The minimum amount you can borrow with a Latitude personal loan is $5,000, with the maximum depending on your circumstances and current financial situation.</span>

How do I make repayments on my Latitude Debt Consolidation Loan?

<span><p>You can opt to make weekly, fortnightly or monthly repayments by Direct Debit or BPAY®.</p><p>Payment via BPAY® will incur a payment handling fee of $1.50.</p><p>BPAY® and the BPAY® logo are registered trademarks of BPAY Pty Ltd ABN 69 079 137 518</p></span>

When should I consider a debt consolidation loan?

<span><p>Considering a debt consolidation loan can be a smart financial move under certain circumstances. Here are some situations in which you should may consider a debt consolidation loan:</p><ol><li>High Interest Rates: If you have multiple high-interest loans or credit card debts, a debt consolidation loan can help you combine these debts into a single loan with a lower interest rate. This can save you money on interest payments over time.</li><li>Simplified Payments: Managing multiple debts with varying due dates and payment amounts can be overwhelming. A debt consolidation loan simplifies your finances by combining all your debts into one monthly payment, making it easier to manage your payments and stay organized.</li><li>Lower Monthly Payments: Debt consolidation loans often come with longer repayment terms, which can result in lower monthly payments compared to your original debts. This can make your debt more manageable, especially if you're on a tight budget.</li><li>Streamlined Finances: If you're dealing with multiple creditors, keeping track of payments, interest rates, and due dates can be challenging. Consolidating your debts streamlines your financial obligations, reducing the risk of missed payments.</li><li>Avoiding Default: If you're at risk of defaulting on one or more of your debts, a consolidation loan can help you avoid this situation by providing a more manageable repayment plan.</li><li>Getting Out of Debt Faster: If you're committed to becoming debt-free, a consolidation loan with a lower interest rate and a focused repayment plan can help you pay off your debt faster than if you continued making minimum payments on multiple debts.</li></ol><p>It's important to note that debt consolidation is not a one-size-fits-all solution. Before pursuing a debt consolidation loan, carefully consider the terms and fees associated with the loan, your ability to make the new payments, and your overall financial goals. Additionally, assess whether the underlying issue causing your debt has been addressed, so you don't find yourself accumulating more debt in the future. Consulting a financial advisor can help you make an informed decision based on your individual circumstances.</p></span>

Will a debt consolidation loan impact my credit score?

<span>When you apply for a quote for a personal loan, there will be no impact to your credit score. That is because a <q>soft check</q> is used during this process which cannot be used by credit bureaus to inform your credit score. However, when you make a full application for any type of credit (including personal loans, credit cards and mortgages), there will be a full credit check made on your credit file which will cause your score to drop slightly. If you take out a personal loan and consistently make your payments on time then your score will eventually improve again. Missing payments and making multiple applications for credit can negatively impact your credit score. </span>

Useful forms to manage your Latitude Debt Consolidation Loan

<span><p>To help you manage your account, here are some useful forms.</p><a target="_blank" href="https://latitudefs.zendesk.com/hc/en-au/requests/new?ticket_form_id=360000137778">Direct debit set up form</a> [PDF]<br><a target="_blank" href="https://latitudefs.zendesk.com/hc/en-au/requests/new?ticket_form_id=360000130337">Third party authority</a> [PDF]</span>

What is redraw?

<span><p>Redraw is a feature of Latitude Variable Rate Personal Loans that gives access to additional repayments you've made on your loan. There's no cost to redraw and no need to reapply for a new loan. Just flexible access to funds when you need them. Call 1300 973 422 to see if you are eligible.</p></span>

Do all Latitude personal loans allow redraw?

<span><p>Only Latitude Variable Rate Personal Loan have redraw available.</p></span>

When will I get a decision on my Latitude Debt Consolidation loan application?

<span>In most cases, you can expect to receive a decision on your Latitude Debt Consolidation Loan application in 1-2 working days.</span>

How long until I receive funds for my Latitude Debt Consolidation Loan?

Once your Latitude Debt Consolidation Loan is approved and contracts signed, your funds are usually available the next business day or no more than two working days (depending on your circumstances).

What is the eligibility criteria for a Latitude Debt Consolidation Loan?

<div><p>At a minimum, you will need to:</p><ul><li>be currently employed and earning at least $25,000 gross per annum</li><li>be an Australian Permanent Resident</li><li>be at least 18 years of age</li><li>Be able to demonstrate a good credit history for the last 5 years</li><li>Be free from bankruptcy for the last 7 years</li></ul><p>Other credit and approval criteria will apply depending on your situation. In most cases, you can expect to receive a decision on your loan application in 1-2 working days.</p></div>

Do I need to provide security for my Latitude Debt Consolidation Loan?

<span>Whether you need to provide security or not will vary depending on your personal circumstances and the loan amount you have applied for.</span>

Will the interest rate on my Latitude Debt Consolidation Loan be Fixed or Variable?

<span>You can choose whether your Latitude loan is fixed or variable. Interest rates may vary depending on the type of Latitude debt consolidation loan you apply for. Fixed loans have a fixed interest rate for the term of the loan. With a Latitude Variable debt consolidation loan the interest rate could change during the term of your loan.</span>

How is interest calculated on a Latitude Debt Consolidation Loan?

<span>Interest is calculated daily and charged to your account on a monthly basis.</span>

Will I be charged a fee for making extra payments?

<span>With a Latitude personal Loan, you can make extra payments whenever and however you like. Be aware that for a Fixed personal loan, an early termination fee of $500 applies if you payout your loan in full up until the last 3 months of the loan.</span>

How can I avoid paying late fees on my Latitude Debt Consolidation Loan?

<span><ul><li>Paying by direct debit saves you time and the hassle of manual repayments, it also helps you to avoid fees from missed or late payments.</li><li>Make sure you have sufficient funds in your account so all direct debits and other scheduled payments can be made.</li><li>If your circumstances change which could affect your repayments, call us on <a href="tel:132826"> 13 28 26</a> to discuss your options.</li><li>You can also make additional repayments so you pay off your loan sooner and save on interest¹.</li></ul><p>¹Early termination fee applies.</p></div></span>