Defining the ‘best’ of anything can be a very subjective issue and sure to raise controversy and vigorous debate among friends. Defining the ‘best’ personal loan for the purchase of various goods is a little easier – it’s the loan that is structured to suit your requirements.
OK so that’s not quite what you were asking but it is the ‘best’ answer.
Jade Finance is a very active finance broker in these key areas of consumer finance so we’ll explain further and elaborate on the personal, that is consumer, loan area of the finance sector.
Loans to Finance Your Lifestyle
In the area of loans to individuals, that is consumer finance, Jade Finance provides loans for cars, motor bikes and boats. For most individuals a secured loan is the most popular choice of loan to purchase these items. Jade Finance Secured Car Loans, Motorbike Loans and Boat Loans all follow the same basic format:
- Jade’s cheap interest rates fixed for the loan term.
- The lender uses the goods as security against the loan.
- The loan term is fixed. Usually 4-5 years but can be longer for some higher priced items. Some lenders have individual requirements around loan terms on second hand items.
- The repayments are fixed and payable monthly and you are allowed to make extra payments if you want but break fees will apply if you pay out the loan early.
Loan Sources Compared
Jade Finance is a finance broker so we source the best (mmm, there’s that word again) quote for each individual customer based on their application profile and the car, bike or boat they plan to buy. We’re accredited with multiple banks and lenders and we know which ones offer the best loans in each of these categories at any particular point in time.
Lenders base their interest rates and loan charges partially on their own costs to secure the funds to loan to you and partially on aspects of an application. So at any particular day, month or year, some lenders will be in a better position than others to offer a better deal.
Banks and finance companies do offer personal loans for boats, cars and bikes but they usually have a set interest rate for those loan categories and set guidelines. If you don’t meet those guidelines you usually don’t get the loan approval.
If you apply to the bank or finance company yourself, you’ve got no leverage to negotiate on interest rates or terms. Jade Finance on the other hand does have leverage. We write a lot of business with various lenders and that gives us bargaining power.
Bank v broker, which is the best? We would say considering all the benefits (which you can review on our web page) our Jade Finance broker loans are better.
Is the best loan the cheapest loan?
Now this is a question which requires some qualification before saying ‘yes’. At Jade Finance we have built our business model on sourcing the cheapest loans at better interest rates. So our cheap interest rate loans we consider are the best.
But if you only look at the interest rate being offered or you only look at the monthly repayment you’re being offered without taking some other aspects into consideration, what you think is a cheap loan, may not actually be that.
- Make sure the monthly repayments are workable for your budget.
- A loan can appear ‘cheap’ because the monthly repayments are low. But if the loan is over a long period and possibly at a higher interest rate, the overall cost of the entire loan may not be cheaper than an alternative. A loan over a shorter period at a lower interest rate may end up with slightly higher monthly repayments but end up being significantly cheaper overall.
- Check the fees and charges and compare to others so a cheap loan is not disguising high fees.
- Don’t jump into offers like 0% interest rate loans thinking they are cheap and must be the best. These are usually promotional offers. The 0% rate is often only for say 6 months and then a much higher rate kicks in.
- A quick way to see how this all works is to go to our online personal loan calculator and do a test run. Input a loan amount and our current interest rate and a loan term and see what repayments that shows. Then vary the loan term and/or the interest rate and you’ll see how the repayments change.
- So if you want low repayments, you adjust the loan term at the same interest rate. But you’re paying interest over a longer term. So the overall cost of the loan may end up higher.
Jade Finance source genuine better interest rates and then we go to the next step – structuring the loan to suit your requirements.
The Best Loan is the Loan Tailored for You
Cheap interest rates are great but if you get locked into a loan at a repayment level that you can’t comfortably sustain, that can’t be considered the best loan. Your Jade consultant works with you to establish the overall loan that works for you. If they feel you require independent financial advice, then they will recommend you refer to your financial advisor or accountant.
At Jade Finance, we’re committed to assisting our customers to achieve their lifestyle dreams – cars, boats, bikes – with better loans based on better interest rates. We think that delivers the best loans. Why not try us out? Give us a call for a quick quote.
To discuss your loan requirements contact Jade Finance on 1300 000 008
DISCLAIMER: THIS INFORMATION IS FOR GENERAL CONSIDERATION ONLY. INFORMATION FROM MANUFACTURERS, GOVERNMENT, INDUSTRY AND OTHER SOURCES HAS BEEN GATHERED FROM THE PUBLIC DOMAIN WEBSITES. NO LIABILITY IS ACCEPTED FOR INTERPRETATION OF PRESENTATION OR ERRORS IN CONTENT. READERS ARE ADVISED TO CONSULT WITH THEIR FINANCIAL ADVISOR OR ACCOUNTANT IN REGARD TO FINANCIAL DECISIONS IN REGARD TO INDIVIDUAL REQUIREMENTS.