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 9.95%% 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.
* A Nectar Money loan requires responsible borrowing checks and must meet standard borrowing criteria. Interest rates 9.95% - 29.95% p.a. fixed. $240 establishment fee and $1.75 admin fee per repayment apply. 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 and does not constitute legal, tax or other professional advice from Nectar Money, and it is not intended as a substitute for obtaining advice from a financial advisor or any other professional. We make no representations, warranties or guarantees, whether expressed or implied, that the content in the publication is accurate, complete or up to date.
