When you’re borrowing, having flexibility is crucial. At Nectar Money, we recognise that life can present unexpected financial opportunities. That’s why we let our customers make extra repayments, pay lump sums, or even settle their loans early without any penalties. This flexibility is a key reason many Kiwis choose us over other lenders in New Zealand.
Not every lender offers the same level of flexibility regarding repayments. Many impose significant fees for early repayments, which can be a real hassle if you’re in a position to pay off your loan sooner than expected. By choosing Nectar, you can manage your finances without the worry of extra costs.
There are various situations where making extra repayments or paying off your loan early can be advantageous:
Let’s look at the potential savings. For example, if you have a loan of $50,000 with an interest rate of 7.95%% over a 5-year term, making an extra repayment of $5,000 could save you around $1,500 in interest over the life of the loan. This is just one scenario, and the actual savings will depend on your loan amount and interest rate.
When comparing lenders, it’s important to consider more than just the advertised interest rate. While a lower rate might seem attractive, the flexibility of your loan terms can lead to greater savings in the long run. At Nectar, we prioritise responsible borrowing, which includes giving our customers the freedom to manage their loans in a way that fits their financial needs.
Selecting a lender that allows early repayments without penalties is essential for anyone looking to maintain financial flexibility. At Nectar Money, we empower our customers to take control of their financial future. Whether it’s through making extra payments or paying off your loan early, we’re here to support you every step of the way.
As you explore your borrowing options, keep in mind the benefits of flexibility alongside the interest rates. At Nectar, we’re proud to offer both, helping you save money and reach your financial goals more efficiently.
* Nectar Money offers competitive unsecured personal loan rates with fixed interest rates from 7.95% to 29.95% p.a., based on your credit profile. A $240 establishment fee and $1.75 administration fee per repayment apply. Strong Credit borrowers may qualify for low, competitive rates from 7.95% to 11.95% p.a.; Good Credit borrowers may qualify for rates from 14.95% to 22.95% p.a.; and Fair or Developing Credit borrowers may qualify for rates from 24.95% to 29.95% p.a. The broad range helps Nectar offer low interest rates to borrowers with excellent credit, while also providing loan options for more New Zealanders, including borrowers with fair or developing credit profiles. Learn more here.
All loans are subject to responsible lending checks and standard borrowing criteria. Please see our privacy policy and rates and terms, or visit our FAQs for the most up to date information. This publication is provided for general information purposes only and does not constitute legal, tax, financial, or other professional advice from Nectar Money. It is not intended as a substitute for obtaining advice from a financial adviser or any other qualified professional. We make no representations, warranties, or guarantees, whether express or implied, that the content in this publication is accurate, complete, or up to date.
