Terms and Conditions

1.When is there a binding legal agreement between you and the Lender?

We do not have to advance the Loan to you unless we are satisfied that you have met all of our preconditions.

We will not advance the Loan proceeds to you if:

(a) there is a significant change in your financial circumstances;

(b) you are in default under this agreement;

(c) we have not been able to satisfactorily verify your identity in order to satisfy our obligations under Australia’s money-laundering laws; or

(d) anything else changes that in our reasonable opinion makes it undesirable for us to advance the Loan to you.

Unless indicated in the Credit Contract, you may only draw down the Amount of Credit at one time (i.e. you may not borrow the Amount of Credit progressively).

If the Credit Contract indicates that your Amount of Credit is made up of an Initial Advance and a Remaining Balance, your ability to draw down the Remaining Balance will depend on you satisfying any Special Conditions as set out in the Credit Contract.

2. Interest charges

Interest on your Loan is calculated by applying the Daily Percentage Rate to the Amount You Owe Us at the end of each day.

Interest accrues from the day we draw cheques or otherwise allocate money at your request to make the first advance.

Interest will be debited on the same date each month as the Loan Date. Interest is also debited to your Loan Account on the date your Loan is repaid in full and on any day your Loan becomes immediately due as a result of a default as set out in these Terms and Conditions.

In the first month of your Loan, interest will be calculated at the end of each day, starting on the Loan Date and ending on the day before the interest charges are first debited. Each month after that, interest will be calculated at the end of each day, starting on the last day that interest was debited and ending on the day before the interest will next be debited.

Interest debited to your Loan will be added to the Amount You Owe Us and will form part of the Amount You Owe Us.

If the Loan Date does not exist in a month (for example 31 April) interest will be debited on the last day of that month.

In addition, if you fail to make a payment when it is due, you may be charged interest at the Default Rate. For more details refer to Section 8 – Default of these Terms and Conditions.

3. Repayments and fees and charges

You must make all payments on the due date.

The repayments set out in this Loan Agreement assume that payments are made on time and that the annual percentage rate and fees and charges will not change after the Disclosure Date.

In addition to making any repayments, you must pay all fees, charges and government charges and duties specified in your Loan Agreement, and, at the end of the Term, you must pay us the Amount You Owe Us, together with any fees or other costs arising on repayment

Payments due under this Loan Agreement are to be made by direct debit from your bank account or such other way as we agree or specify. Acting reasonably, we may also use your authority provided under the direct debit to debit for any amount owing to us under this Loan Term. We can also try to debit your account in respect of an amount owing under this Loan Agreement on more than one occasion. You must sign any forms required by us to effect repayments. The amount of each repayment will not include any applicable direct debit fees, or similar taxes or charges.

If any repayment is due on a date which does not exist (for example 31 April), you must make your payment on the last date of that month If any repayment is due to be made on a day which is not a Business Day, the repayment must be made on the next Business Day.

If any direct debit or cheque used for repayment is dishonoured, the repayment will be treated as not having been made, and interest will continue to accrue on the Amount You Owe Us until actual payment is received by us.

4. Prepayments

You may repay early the whole or any part of the Amount You Owe Us. Once you notify us of your decision to repay early, you will be liable to pay our reasonable administration and processing costs even if you change your mind and decide not to repay early.

If you repay an amount early, it will not be available for redraw.

5. Caveat

You hereby charge the Security Property to secure payment to us of the Amount of Credit and any other money now or at any time in the future due to us under this Loan Agreement or otherwise. The Security Property includes any additions or alterations made to the Security Property and any money received from any insurance claim in respect of the Security Property.

You consent to us lodging a caveat over the Security Property as notice of our interest.

6. Insurance

You must keep the Security Property insured for not less than its full insurable value as required by us against loss or damage by fire, storm, tempest, and any other risk specified by us. You must also maintain any other insurances required by us. All insurances must be with an insurer approved by us and must note the Lender’s name as mortgagee on all policies until the Loan is repaid.

If loss or damage occurs, you agree that only we may settle any claim against the insurer and any money paid by the insurer must be paid direct to us. You will direct the insurer to make such payments to us if required. We may apply that money to repair or rebuild, in repayment of the Amount You Owe Us, or hold it as additional security for the Loan.

You must pay all insurance premiums on or before the due date and if required us, provide evidence to us of the currency of all policies relating to the Security Property. You must not do anything by which any insurance policy relating to the Security Property could be prejudiced or cancelled or be subject to an increased premium.

7. Things you must not do with the Security Property

For as long as we have a caveat over the Security Property you must not:

(a) mortgage or charge the Security Property to another person or use it to secure any other Loans; or

(b) lease or part with possession of, or give away the Security Property; or

(d) do anything or allow anything to happen that might reduce the value of the Security Property,

without first obtaining our permission in writing.

You must not use the Security Property, or allow it to be used, for any illegal or offensive purpose.

8. Default

When there is default

If any one or more of the following occur we may decide default has occurred. You must ensure default does not occur.

(a) There is default of any term or condition of this Loan Agreement.

(b) There is default under any charge or other security given for this Loan Agreement.

(d) Any representation made by you to our agents or us proves to be untrue or misleading.

(e) You become bankrupt or are gaoled.

(f) You breach any material undertaking given at any time to us.

Our rights on default

If you are in default, after any reasonable grace period:

(a) we may give you a notice stating that you are in default; or

(b) if we have made reasonable attempts to locate you without success; and

if the default is not corrected within any period given in the notice or required by law (or if you are in default again for a similar reason at the end of that period), then, at the end of that period and without further notice to you, we demand that all money payable to us immediately due for payment and demand the immediate repayment by you of that amount (although we would normally give notice of our intention to do this, in some cases the law does not require us to provide such further notice).

We can exercise these rights with or without taking possession of the Security Property. If we hold more than one property as security for the Loan, we can enforce any one of the securities or all of them at the same time.

Default rate

In addition, if you are in default because an amount due to be paid by you is not paid on the due date, you must pay interest at the Daily Default Rate on the amount that is in default until it is paid.

When there is a payment default, we will debit default interest monthly in arrears on the day before the Loan Date. Interest debited to your Loan at the default rate will be added to the Amount You Owe Us and accrue interest at the same rate and in the same manner as the principal of your Loan.

Enforcement expenses

Enforcement expenses may become payable under the Loan Agreement if you default. You must pay on demand and we may debit your Loan Account with our costs in connection with any exercise or non-exercise of rights arising from any default, including:

(a) legal costs and expenses on a full indemnity basis or solicitor and own client basis, whichever is higher;

(b) our internal costs.

These expenses include our expenses incurred in preserving or maintaining the Security Property, collection expenses and expenses resulting from dishonour of a cheque or payment.

Where the Loan is regulated by the National Credit Code or similar laws, these costs will not exceed our reasonable enforcement expenses including internal costs.

9. General matters

Payments

You must make payments without deducting or setting off any money you think we owe you for any reason. You must pay to us on demand all government charges and duties on receipts or withdrawals relating to your Loan. We may debit your Loan Account with these items as incurred.

Certificate of amount payable

A certificate signed by or on behalf of us as to an amount payable to us is conclusive and binding on you. In making any decision we will act reasonably.

How we can deal with this Loan Agreement

We may assign or otherwise deal with our rights under this Loan Agreement in any way we decide (acting reasonably). We may disclose personal and credit information about you in connection with any proposed assignment or other dealing. You must sign anything and do anything we reasonably require to enable any dealing with this Loan Agreement. Of course, any dealing with our rights does not change your obligations under this Loan Agreement in any way.

Consumer legislation

To the extent that this Loan Agreement is regulated under consumer legislation (e.g. the National Credit Code), any provisions which do not comply with that legislation have no effect, and to the extent necessary, this Loan Agreement is to be read so it does not impose obligations prohibited by that legislation.

We encourage you to obtain independent legal advice and independent financial advice.

Financial difficulty

You should inform us as soon as possible if you are in financial difficulty. We will discuss your problems with you, with a view to finding an acceptable solution.

Electronic signature

You

(a) agree that we may rely on the electronic signature(s) as having the same force and effect as handwritten signature(s); and

(b) unconditionally consent to any method used by us (at our discretion, acting reasonably) to identify the signatories and to confirm your intention to enter into a binding legal agreement.

Electronic communication

You consent to us sending you notices and other documents by email.

You confirm that you understand that:

we will either make all documents (including notices, statutory disclosures and a copy of this Credit Contract):
1. available for a reasonable time on your online account on our secure portal; or
2. send you these documents by email or other electronic communication;
we will not send paper copies of any documents unless required by law;
you must regularly check your nominated email address for notices;
you may withdraw your consent to the giving of notices or other documents electronically at any time, provided that we can agree on a suitable way for us to communicate with you; and
you understand and acknowledge that when you put your signature or initials on a document electronically, you will be bound by that document as if you signed it by hand.

Verification of your identity

You agree that we may disclose your personal details to any of the following organisations in order to verify your identity:

any online identification verification provider; or
to a Credit Reporting Body (“CRB”) to obtain an assessment of whether that information matches information held by the CRB. The CRB may give us a report on that assessment and to do so may use information about you and other individuals in their files; or
to an approved Gateway Service Provider (“GSP”) to enable us to verify your identity using the Australian Government’s Document Verification Service (“DVS”). The GSP may give us a report on that assessment and to do so, may use information about you and other individuals held in official records. The GSP used by the Lender is a third party and is not related to the Lender

Alternative means of verifying you are available on request. If we are unable to verify your identity using information held by a CRB or DVS, we will provide you with a notice to this effect and give you the opportunity verify your identity using an alternative method acceptable to us.

Governing law

Your Credit Contract is governed by the law in the place where the Property is located. You and us submit to the non-exclusive jurisdiction of the courts of that jurisdiction.

Attorney

Subject to any applicable law, you appoint us as your attorney (with power to appoint substitutes) to execute all documents and do everything which you must do under this Loan Agreement.

You must not revoke this power of attorney until you have paid us all amounts you owe under this Loan Agreement. If we ask you to, you must ratify anything which we do when exercising this power of attorney.

General

If there are two or more of you, each of you is individually liable, and all of you are jointly liable. A reference to a person includes companies and trusts and any other kind of body. Singular words include plural words and vice versa.

DEFINITIONS USED IN YOUR LOAN AGREEMENT

Agent means the real estate agent appointed by the Borrower to sell the Property

Annual Percentage Rate (Interest Rate) means any annual percentage rate applicable to your Loan Agreement.

Amount You Owe Us means the total amount outstanding under your Loan from time to time and includes all interest, fees and charges.

Business Day means a day that is not a Saturday or Sunday when banks are open for business in Sydney.

Daily Default Rate means the Default Rate divided by 365 (even in a leap year).

Daily Percentage Rate means the Annual Percentage Rate (Interest Rate) divided by 365 (even in a leap year).

Default Rate (Interest Rate) means any default rate applicable to your Loan Agreement.

Loan means the loan we have offered to you on the terms and conditions of your Loan Agreement.

Loan Account means the loan account that we set up in your name in respect of your Loan Agreement.

Loan Agreement means this document incorporating the Schedule and the Terms and Conditions.

Loan Date means the date we advance funds to you under your Loan Agreement.

Loan Term has the meaning in the Schedule

Major Internet Portals means either www.realestate.com.au or www.domain.com.au.

We, us, our means the Program Manager and Lender (jointly and severally)

You, your means the Borrower

How to Proceed

You can accept this Loan Agreement electronically via our website. By accepting this Loan Agreement, each of you has made the following declarations.

You have carefully read this loan agreement and understand it establishes a legal contract between you and us. If you have any questions, ask before you sign.
All information you have given to us, our agents and solicitors is accurate and not misleading. You are aware that we are relying on that information to enter this transaction.
Other than this loan agreement, you have not relied on any promise or representation by any person when deciding to enter this transaction.

We reserve the right to withdraw from this transaction if this offer is not accepted within 14 days from the Disclosure Date on page 1 of this loan agreement, or if the loan is not settled within 60 days of the agreed date, or if anything occurs which in our reasonable opinion makes settlement undesirable.

This loan will only be made once all our requirements have been met and all matters relating to this loan agreement and any security are to our satisfaction.

Signed on behalf of the Lender and Real Flow:

by Real Estate Advance Pty Ltd