Cost of borrowing and standard terms

Information on interest rates, how interest is charged, and on our credit and default fees.

Cost of borrowing and standard terms

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A. Information about interest rates

MTF’s interest rates are fixed for the term of the loan and range from % to % p.a. The interest rate which will apply to your loan will depend on a number of factors including:

  • financial and other information you provide
  • information provided from credit bureaus and other third parties
  • your credit history with MTF if you have been a recent customer

Default interest

In the event of a default in payment, and while the default continues, you must pay the default interest charges. In the event of a breach of the Contract, or on the enforcement of the Contract, the default fees specified below are payable.

Default interest is % per annum calculated daily and charged to you on the dates (a) we send you a repossession warning notice (b) a repossession notice and (c) when a default is lodged with a credit bureau, if you have not paid the amount due in the meantime.

Default interest is only payable on the amount actually in default.

B. Information about charging interest

Interest charges are calculated and debited monthly, on the same day each month, from the start date of the loan (if there is no corresponding day in the relevant month, then it will be calculated and debited on the last day of that month).

The interest charge is calculated by multiplying the average unpaid daily balance on that day by the applicable monthly fixed interest rate.

C. Information about credit and default fees (for accounts created after 6/6/15)

Credit fees

Fee Amount
Establishment fee Added to the loan balance on establishment Up to $
Account maintenance fee Payable monthly with each instalment Up to $ per month
Early settlement fee Payable if you repay your loan in full before the final payment is due $
Loss on full prepayment Payable if you repay your loan in full before the final payment is due and the Creditor has suffered a loss due to a change in market rates since your loan was made.

Default fees

Fee Amount
Repossession warning fee Payable 14 days after issue of a repossession warning notice Up to $
Repossession fee On issue of a repossession notice Up to $
Recovery costs 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

Standard terms

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