The RBA’s recent review of Interest Rates resulted in a reduction in the cash rate by half a percentage point or 50 basis points. This was on the back of the worsening European financial crisis and slow domestic growth figures. However the dark economic cloud does have a silver lining.This has created some real opportunities for people looking to invest in a new vehicle. Interest rates have been reduced across all asset finance lenders so now is a good time for people to take advantage of low, fixed interest rate car finance products. All of the loans that Lowe Finance provides for motor vehicles are fixed rate, which means that if interest rates increase, your loan rate will not. This gives our clients the peace of mind and knowledge that regardless of what the economy does, they know exactly how much their monthly repayment will be for the remainder of the loan. For further info on how to take advantages of these great rates, give us a call and have chat to a friendly Lowe Finance representative.
In 2010 the Australian Government introduced the NCCP legislation which governs all of the providers of consumer credit in Australia. Essentially, any Lender, Broker or Agent associated with providing consumer credit i.e. non-commercial loans and credit, must hold an Australian Credit Licence (ACL). The Global Financial Crisis that began in 2008 was the catalyst for the legislation, designed to protect the rights of consumers entering into credit contracts. It was the actions of many unscrupulous banks in the USA, providing mortgages to consumers who clearly couldn’t afford them that was the major cause of the GFC.
This started a global domino effect as world financial institutions folded, one by one. The NCCP legislation ensures that consumers who seek credit in Australia will not be provided credit if they can’t afford the loan. It also ensures that consumers are not led into inappropriate commercial contracts. Lowe Finance holds an ACL and it is very important for any consumer looking for a loan to ensure the entity that they are dealing with holds one of these licences. This will ensure that the lender / broker / agent is compliant with its ACL licensing requirements and that the consumer is protected against inappropriate lending practices.