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Special Purpose Loans Maximum amount for "Special Purpose Loans" (SPL) is $30,000 per member (or $40,000 per household if both are members).
Main criterion required to apply for an SPL is a substantial equity in property.
Maximum term for a Special Purpose Loan is 7 years.
Frequently Asked Questions
Q. Do I need to be a property owner? A. Yes. You must own a property and have a substantial amount of equity in that property. Your equity must be at least four times the amount of your loan.
Q. Do I need to be a member of APS for a minimum amount of years before becoming eligible for a “Special Purpose Loan”?
A. No. There is no minimum period; however approval for Special Purpose Loans are dependant on strict guidelines (refer to Information Sheet).
Q. What interest rate will I be charged?
A. The interest rate is determined by the amount of continuous years a member has been with APS. The current rate is 12.4%, however, members with ten or more years are rewarded with a reduced rate of 10.4%.
Q. Are there any application fees or similar charges?
A. An initial loan does not attract any application fees, however, if you already have a loan and are extending your loan amount, a top up fee (currently $40) will apply. This fee is deducted from your new loan.
Q. What purposes will the Special Purpose Loans be approved for?
A. These loans will only be approved for items such as new cars and late model cars (not older than five years), home renovations and approved investments.
Q. What purposes won’t they be approved for?
A. Consolidation of debts, household items, holidays and car repairs.
Q. Will these loans be secured or unsecured?
A. All loans will be unsecured, however, strict guidelines would need to be met prior to any approval.
Q. How often can I top up?
A. Top up loans will only be approved if (a) a minimum of $5000 and (b) satisfies the purpose criteria.
Q. Can I use the normal loan application form?
A. Yes. Applications to Special Purpose Loans may be submitted on our normal loan application forms.
Q. How long will it take to obtain approval of a Special Purpose Loan?
A. This will vary, as there will naturally be more documentation required than for a normal loan. It is anticipated that if all documentation is received in the normal time frame the loan could be funded within a week.
Q. How can I repay this loan?
A. Loan repayments must be made by either allotment from the member’s salary or direct debit from their bank account. Repayments from a bank account may be made fortnightly or monthly.
Q. What is the maximum term?
A. For a $30,000 loan the maximum term is seven years. Maximum term can also be arranged for $20,000 loans. Term for loans less than $20,000 will be in accordance with the repayment tables.
Q. If I am self–employed, am I eligible?
A. Yes, however, we would generally require that you have been self-employed for over two years and be able to supply taxation returns for the preceding two financial years.
Q. My spouse is also a member. Can we each apply for a $30,000 loan?
A. The maximum debt per family is generally $40,000.
Q. I already have a loan. Can I apply for a Special Purpose Loan?
A. Yes. The maximum debt any one member may have with APS Benefits is $30,000
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