Have you heard of peer to peer lending? It's a new lending phenomenon, where everyday Aussies borrow directly from investors rather than the banks. By removing the middleman, peer to peer platforms are generally able to pass on lower rates to customers.
One new P2P provider to enter the market in 2017 is none other than Harmoney. After finding success in New Zealand, the business launched in Australia with a low rate personal loan offering, available to creditworthy borrowers. Read on to learn more...
Rates and fees verified as correct at 02 July, 2020. Other information correct at the time of writing.
| Product | Interest rate from | Comparison rate from* | Upfront fee |
|---|---|---|---|
| 6.99% p.a.to 25.69% p.a. | 7.69% p.a.to 26.53% p.a.based on $30,000 | $575 | |
| Unsecured Personal Loan (Fixed) Harmoney | 6.99% p.a.to 25.69% p.a. | 7.79% p.a.to 26.65% p.a.based on $30,000 | $575 |
† Mozo may receive a payment from financial providers listed on the site. Customer reviews are in no way affected by any commercial relationships Mozo has with providers.
Harmony has one unsecured personal loan on offer, and boy will a top notch credit rating give you a low rate! Whether you need credit to fund your nuptials or dream holiday, check out a rundown of the key features that come with this loan below:
Tiered rates: Have an excellent credit rating? Then there’s a good chance you’ll be eligible for this lender’s lowest interest rate available. Then again, if your history of paying debts is on the shady side, you could be dealt an interest rate over the 20% mark! At least with Harmoney, you aren’t obliged to commit to a rate you’ve been quoted if it’s higher than what you’re looking for.
Unsecured loan: The good news is Harmoney’s loans are unsecured, which means you won’t have to worry about tying an asset such as your car to the loan, making for a faster online application process.
Flexibility: Want the peace of mind that comes with a redraw facility to dip into extra repayments? Harmoney can provide that with its personal loans, along with the option for you to pick your billing frequency, whether it’s weekly, fortnightly or monthly.
Loan top ups: Let’s say you borrow money from Harmoney to fund your big home renovation and surprise expenses crop up down the track. You can choose to apply for a loan “top up”, which means that provided you’re approved, you can borrow additional funds by paying a fee of $500.
$0 ongoing fees: While Harmoney charges a $500 flat rate upfront, you won’t be required to pay admin fees when you’re paying off your debt. Of course, if you’re late on your repayments then you may be slapped with penalty charges, which brings us to…
Dishonour fees: These loans suit borrowers who’ve developed good habits when it comes to repaying debt, as fees kick in if you don’t stick with the billing schedule. Another thing to keep in mind, is that if your account gets sent to the debt collectors, you’ll have to pay for the peer to peer provider’s out of pocket expenses.
To apply for a personal loan with Harmoney, you’ll need to provide them your email address
and personal details that prove you are who you say you’re, such as your passport number or driver’s licence. Take note, the peer to peer lender only approves applicants over the age of 18 and who live in Australia.
After you’ve applied...
The process of taking out a personal loan with Harmoney is more flexible than what you’ll experience with other providers in the market. For instance, you can take up to 60 days to change your mind (once you’ve applied for a loan and are approved), so long as the money hasn’t landed in your bank account yet.
The same leeway is extended to the peer investors funding your loan too, as your profile is listed on the Harmoney marketplace until the entire amount has been funded. If 60 days has passed and not enough money has been raised, your application will be pulled from the marketplace and you’ll no longer need to pay that $500 upfront fee.