The Works Investment Fixed Home Loan

The issuer of this product is Illawarra Credit Union Limited ABN 14 087 650 771 AFSL/Australian credit licence 245576
Date of creation: 5/10/2021

Description of Target Market

Retail clients who:

  • are seeking a loan to purchase or renovate an investment property, refinance an existing investment loan, or top up an existing loan for any worthwhile investment purpose
  • are aged 18 years or more and meet the credit assessment criteria for the product.
  • are willing and able to offer a registered mortgage over real property (or other acceptable security) as security for the loan
  • need the certainty of a fixed interest rate and fixed repayments for up to 5 years
  • are seeking The Works Package benefits (no annual credit card fee and a lower interest rate) even if that means higher fees
  • do not need other features not included such as an offset account or redraw facility
  • need to make regular repayments of interest and principal over the term of the loan

Description of Product

This is an investment home loan secured over real property. The key attributes are:

  • loan amounts up to 5 million
  • repayment term up to 360 months
  • fixed rate of interest
  • ability to make additional repayments (early repayment fee applies for amounts over 15% of the minimum monthly contractual repayment)
  • no redraw facility
  • no offset account
  • an annual package fee
  • must provide a registered mortgage over real property or other acceptable security
  • repayment frequency is monthly
  • application fee
  • valuation, legal, and other fees may apply
  • split loan option available
  • repayment must be made from an Illawarra Credit Union Transaction Account
  • internet banking
  • banking app
  • telephone banking

Distribution Conditions

This product is distributed by the issuer through the following channels:
  • Branches
  • Call Centre
  • Online
  • Mobile lenders
  • Brokers
Distribution conditions for this product include:
  • Ensuring that retail clients meet the eligibility requirements
  • Ensuring that distribution through branches, call centres, and mobile lenders are by appropriately trained staff
  • There are no other distributors of this product
  • Ensuring that distribution is through accredited brokers which are approved by Illawarra Credit Union

Review Triggers

The review triggers that would reasonably suggest that the TMD is no longer appropriate include:
  • A significant dealing of the product to consumers outside the target market occurs,
  • A significant number of complaints are received from customers in relation to their use of the product that reasonably suggests that the TMD is no longer appropriate,
  • A material change to the product or the terms and conditions of the product occurs which would cause the TMD to no longer be appropriate.
The Product Governance Framework which includes the Product Policy and related policies includes regular consideration of whether there has been a review trigger following each distribution information report.  That consideration is by reference to paragraphs 154 to 156 of RG 274 Product Design and Distribution Obligations published by ASIC.

Review periods: First Review Date: 05/04/2022 Second Review Date: Every two years after the initial and each subsequent review.

Distribution reporting requirements

The following information must be provided to Illawarra Credit Union by distributors who engage in retail product distribution conduct in relation to this product: *
*Type of Information Description Reporting Period
Complaints Number of complaints Every 6 months
Significant Dealing(s) Date or date range of the significant dealing(s) and description of the significant dealing (eg, why it is not consistent with the TMD) As soon as practicable and in any case within 10 business days after becoming aware
Customers outside the target market The number of customers who have an account but are not within the target market Every 6 months

get in touch

Not sure what's the best fit for your needs? No worries. Get in touch with one of our banking specialists today.

Apply now.

Already a customer?

Apply in internet banking

New customer?

Apply online