Personal loans are our specialty! - NZCU Baywide · Variable interest rates. Terms and conditions and normal lending criteria apply. A $250 approval fee and other fees apply. *As

100% Kiwi

Not-for-profit

Customer-owned banking

NZCU Baywide awarded 5-stars for Outstanding Value personal loans

and car loans for the last four years in a row. You can reassure your customers they are in very good

(award-winning) hands.2016 2017 2018

Credit Union Baywide trading as NZCU Baywide. Terms and conditions and normal lending criteria apply. A $500 approval fee and other fees apply for home lending. A $250 approval fee and other fees apply for personal lending. All variable rates, fees and returns are subject to change without notice. The CANSTAR 5 Star Rating was awarded in December 2016, 2017, 2018 and 2019 to NZCU Baywide for Orange Personal Loans.

NZCU Baywide is proud to be a credit union and not a registered bank.

NZCU Baywide is a 100% New Zealand owned financial co-operative, owned by our customers. As the largest credit union in New Zealand we have a long history of helping Kiwis with their everyday banking and finance needs.

Personal loans are our specialty!

Personal loans up to $60k

Up to 7 year term

Great commissions

Fast turnaround

2019

Adviser’s personal loan application form and disclosure

- Including referral notes and any relevant customer background

Bank statements of ALL accounts for the last 3 months

Debt statements showing ALL transactions for the last 3 months

Proof of income (refer to page 2 of the policy guide)

Photo/colour scan of applicant’s current NZ driver licence (front and back) or passport

- For foreign passports we require a colour copy, certified by a JP. Contact your BDM for more details.

If not an NZ citizen, include proof of Permanent Residency Visa

Online applications: Email [email protected] and cc in your BDM.

In-branch applications: Email your local NZCU Baywide branch (lower 1/2 North Island only) and cc in your BDM.

A complete and accurate application can mean a quick

approval and faster money into your customer’s account.

Speed is critical. We understand you have tight timelines to work with, so we focus on providing

the fastest loan turnaround.

Personal loans - Don’t forget!

Once approved the applicant will either visit the branch with their original ID for verification or

use the remote link included in the Letter of Offer to verify their identification online.

Low risk

9.90+1%

unsecured

Three month bank statements - for all bank accounts held.Debt statements showing ALL transactions for the last 3 months.Proof of income.

Note – Pricing current as at 6 January 2020, subject to change.

Variable interest rates. Terms and conditions and normal lending criteria apply. A $250 approval fee and other fees apply.

*As published on interest.co.nz as at 6 January 2020..

Personal loans - indicative pricing

Documentation requirements

Low risk High risk

9.90+1%

unsecured

11.90+1%

unsecured

13.90+1%

unsecured

15.90+1%

unsecured

17.90+1%

unsecured

19.90+1%

unsecured

21.90+1%

unsecured

23.90+1%

unsecured

Risk profile - price % p.a.

Some of

New Zealand’s

lowest personal

loan rates*.

NZCU Baywide will lend to:

Personal customers (i.e. not commercial entities or trusts).

Applicants aged 18 years and over, NZ Citizens and

Permanent Residents

Identification

Photo identification is required – a current NZ driver licence

or passport. For foreign passports we require a colour copy,

certified by a JP. Contact your BDM for more details.

Security

Secured and unsecured personal loans.

Security must be valued at more than 50% of the loan amount

and must be less than 10 years old.

For secured vehicle loans the applicant must hold a learner,

restricted or full licence.

We are one of only a few providers who will consider learner licence applicants for vehicle loans.

Loan purpose

NZCU Baywide will lend for most purposes, excluding

payment of unpaid fines, clearing of current defaults or IRD

arrears.

Credit check

A credit check is required for every application.

A privacy waiver covering each individual applicant and/or

guarantor must be obtained. If an applicant’s Credit Bureau

Score is below 230 it is unlikely to be approved.

Assessment

NZCU Baywide utilises CCR and a Credit Scorecard for

enhanced decisioning. See the personal loan pricing matrix

for interest rates based on risk assessment.

Will consider an applicant with less than six months

employment history. Will consider applications with paid

defaults (with satisfactory explanation).

Average interest rate of 15.9% should be used in the NSR Calculator for assessment.

Next of kin

All applications require name, address and phone

details of two relatives or close friends who reside in NZ

but are not living with the applicant.

Personal loan policy guide

Policy guide page 1 of 2

Updated 6 January 2020

Did you know that we’re one of only a few

providers offering personal loans

up to $60k?

Term 1 - 7 years P&I only

Minimum amount $2,000

Approval fee $250

Repayment frequency Weekly, fortnightly, monthly

NSR maximum 100%

Salary and wages (including bonus or overtime income)

Seasonal workers

Casual workers

Bank statements showing wages credited to account a minimum of three most recent pay periods; or recent payslip confirming annual income; or most recent IRD tax assessment/return.

A year-end payslip or two years tax statements.

12 months with the same employer and a tax summary showing 12 months history.

Government benefits (job seekers, sole parent, sickness, NZ super, ACC)

Family Assistance (working for families, disability)

Acceptable if it’s clearly a permanent source of income.

Acceptable for children of any age.

Rental income - scaled at 75%

Boarder income - scaled at 50%

Evidence of regular payments to account.

Evidence of regular payment to account (not cash). Boarder must not be a family member. Maximum of one boarder.

Self-employed/business income Last two years financial accounts prepared by an accountant. For non true trading entities (e.g. IT contractor), IRD returns are acceptable for the past two years.

Acceptable income and verification

Policy guide page 2 of 2

Updated 6 January 2020

Unacceptable income

Student allowance

Child support

Irregular income

Income received in cash

Non-permanent benefits

- e.g. temporary accommodation supplement

Shared expenses

Where an applicant is in a de-facto relationship or married,

the application is to include all joint liabilities (ie no halving of

loans or repayments, the full liability is required).

Supporting documentation

Bank statements of all transactional accounts

- the last 3 months

Debt statements showing ALL transactions

- the last 3 months

Income verification

- in line with the table above

Other requirements

For vehicle loans, the applicant can hold a NZ learner,

restricted or full driver licence.

Full insurance, with the interest of NZCU Baywide noted on

the policy, is required when an asset will secure the loan.

This is a summarised version of NZCU Baywide lending policy. NZCU Baywide reserves the right to amend or introduce new

policy requirements. Terms and conditions and normal lending criteria apply. A $250 approval fee and other fees apply.

Income source Verification requirements

What is an NSR?

The Net Servicing Ratio is a measurement used to calculate

the cash available to customers after all expenses and

debt is serviced. NZCU Baywide’s calculator is configured

so the lower the number the better their NSR score. For

example, an NSR of 70% means the customer would need

70% of their income to meet all of their obligations including

servicing the new proposed debt. The NSR score is a good

guide for you on the likelihood of approval and interest

rate. It is not required to be submitted with NZCU Baywide

applications.

What is debt consolidation?

Often customers take on multiple, small debts such as

HPs, credit cards and personal loans usually for consumer

purchases, holidays or just to help them get by. When the

debt stacks up and interest free periods expire, customers

find it difficult to dig their way out.

A debt consolidation loan is a personal loan for the purpose

of repaying all of the smaller, usually higher interest, debts.

The debts are added together into one personal loan so

they only have one easy to manage and more affordable

monthly loan repayment. This helps increase their monthly

cashflow to provide a bit of breathing room for everyday

living expenses.

How are debt statements different to bank statements?

Debt statements are sourced from the finance provider, e.g.

GEM Finance, and display the credit limit, repayment history

and transactions.

What other information should I provide alongside the

application?

As an adviser you are advocating for your customer and by

submitting the application you are providing your support

for the deal. The application itself only includes facts and

figures. Sometimes it’s good to get more of an explanation

of their strengths, weaknesses and background - what you

see and why you think we should approve it.

Provide diary notes with your application that include more

qualitative details such as: employment details, dependent/

custody information, liability information and account

conduct.

What is comprehensive reporting?

CCR is a standard credit reporting tool, also known as

‘positive reporting’. Companies contribute the repayment

history of their customers to the credit bureaus. This

provides are clearer view of the applicant’s finances as it

includes their full repayment history rather then just the

negative information, ie defaults.

Some of the information now available through CCR:

• Type of credit applied for

• Amount of credit applied for

• Date credit accounts were opened and closed

• Maximum credit amount available for each account

• Repayment conditions

• Monthly repayments for the last two years

• Details of default agreements

This information provides our lenders with more decisioning

power, particularly for ‘marginal’ deals.

All banks and most telcos contribute to and consume

comprehensive reporting. There is a current shift in the

market with tier 2 credit providers moving over to CCR.

What is a credit scorecard?

A scorecard is a predictive model that incorporates key

credit risk characteristics of a defined population, to quantify

the likelihood of an individual applicant defaulting on their

loan.

This enables more accurate decisioning, which provides

NZCU Baywide with speed, control and consistency over its

credit decisioning process at a portfolio level.

Why CCR and Scorecard decisioning?

By taking a portfolio approach we can objectively and

consistently understand the risk of each customer and price

more accurately, while delivering a faster service.

There has been a significant change in customers

expectations and in a generation where instant gratification

is the norm - they expect more, with less effort.

These decisioning enhancements will allow us to deliver on

these expectations.

FAQs

Where to look for debt consolidation

When you see any of these names pop up on your customer’s bank statements it’s a prime indication that there is an

opportunity to pick up that debt and wrap it into one easy personal loan with NZCU Baywide.

OPPORTUNITIES

We can consolidate:

• Credit cards

• Personal loans

• Vehicle finance

• Hire purchases

• Store cards

• Student loans

• Medical/dental bills

• and more...

Jane RileyBusiness Development Managerm: 027 266 6681e: [email protected]

Andrew WebsterBusiness Development Managerm: 027 589 6331e: [email protected]

Your local branchvisit nzcubaywide.co.nz for more details

Your online teamServicing personal loans onlinee: [email protected]: 0800 229 943

Your BDMS - here to help!