Getting a cash boost in the form of a personal loan can be great for helping you get a new car or freshly kitted out apartment and the main thing you’ll probably want to know is the interest rate. The Bank of Melbourne Secured Personal Loan comes with two different options, fixed and variable rates, which both have different rates. The fixed rate is 8.49% (9.60% comparison rate) and the variable rate is 12.74% (13.81% comparison rate).
To get access to the Bank of Melbourne Secured Personal Loan you’ll need to use your vehicle as collateral. The vehicle will need to be a four wheel vehicle registered in the loan applicant’s name, have never been massively damaged or written off, be less than 12 years old by the end of the loan period and hooked up with 1 year of full insurance when the loan is first acquired.
Both the variable and fixed rate loan options allow you to borrow between $3,000 and $80,000. So whether you’re looking for cash for a small renovation or a new yacht, Bank of Melbourne Secured Personal Loan has an option for you.
There’s also flexible loan terms on offer, with fixed rate option letting you repay the loan between 1-5 years, while the variable rate option allows repayments between 1 and 7 years. Both allow you to choose between weekly, fortnightly or monthly repayments.
The variable rate option comes with the chance to make free extra repayments, and if you are $500 ahead of your regular repayments you’ll also have the ability to redraw. Although keep in mind every redraw comes with a $10 redraw.
Who it's good for:
To be eligible for the Bank of Melbourne Secured Personal Loan, you’ll need to have a vehicle to put up as security, that satisfies all the criteria so it’s a competitive option for borrowers with a car that fits the bill.
If you are keen to pay off your loan early to save on interest, you may want to think twice, as paying off your loan early will cost you $150 if you do it in the first year of the loan and $100 after the first year.