Important Terms

Address for Service - An address that is given to deliver legal documents. If the document is delivered to that address it is considered to have been delivered to the party.

 

 

AML-CFT Act - The Anti-Money Laundering and Countering Financing of Terrorism Act 2009 - This is a multi-industry piece of legislation designed to reduce/eradicate the potential for criminals to use New Zealand businesses to launder the proceeds of criminal activity or the funding of terrorism.

 

To ensure compliance, Real Finance asks relevant questions and needs them answered to our satisfaction, including identity verification, income analysis, source of wealth, etc to be able to approve lending to individuals and companies alike. Contact our team to find out more.

 

 

Baycorp - In the event that you fail to repay your loan as your contract sets out, and if you do not make suitable arrangements with us about this, we may load your debt with Baycorp, a debt collection company who will chase the debt for us. The cost of this is added to your account balance, so please contact us rather than letting your loan account head in this direction!

 

 

Centrix - We use Centrix, an emerging leader in providing comprehensive credit information in New Zealand to assist us in making good lending decisions for both our clients and ourselves. We also use Centrix to upload and download comprehensive credit reporting data.

 

 

Credit Contracts and Consumer Finance Act - The main legislation governing credit contracts (loans) between consumers and Real Finance Limited. This does not govern lending for investment or business purposes. The act can be found here (opens in a new window)

 

 

Collateral - In our lending agreements, collateral is your pledge of specific property to us to secure repayment of your loan. Collateral serves as protection against you defaulting - that is, it can be used to offset the loan balance if you fail to pay the balance owing under the terms and conditions of your contract.

 

If you default on your loan, you may have the property pledged as collateral repossessed, with the lender then becoming the owner of that property to sell and recover part or all of the loan balance.

 

 

Current Balance - This is the exact balance on the date you received the figure. It is made up of the amount you borrowed, any fees, charges, interest, default fees or default interest which have been added to your account, minus any repayments which you have made against the account up until that date.

 

It does NOT include any fees, charges, interest, default fees or default interest yet to be accrued and added to your account, and it is NOT the amount needed to settle (or finish) the loan.

 

 

Draw Down - When you complete the Loan Contract Documentation, and funds are transferred from our bank account to yours (or the third-person or company who you have requested we disburse funds to), or paid out to you in cash or cheque.

 

 

EBANK - To speed up our approvals for you, Real Finance offers Electronic Bank Statement Collection through our third party provider Credit Sense. This is highly secure, and works for all major NZ banks (and most of the smaller credit unions as well). We send a link either to your mobile or email address, you "login" and your bank statements are securely sent to us within roughly 90 seconds.

 

 

E-Sign - When you have requested to complete your Loan Disclosure Documentation online (digitally). All parties to the loan must have email and web access to select this option, preferably along with smart phone or web camera access (Contact us for any issues). You can then receive your loan documentation via email link to sign up online through our provider, Secured Signing in a process that can take as little as 5 minutes without having to  come into a branch.

 

 

External Lender - Where Real Finance cannot approve your loan internally due to our standard lending criteria, we may still be able to help. We use external, third party lenders in many cases, to ensure that you are able to get the approvals you are looking for.

 

 

Guarantor - A person who guarantees to pay for someone else's debt if he or she should default on their loan obligations with us. A guarantor acts as a co-signor of sorts, in that they pledge their own Collateral if a situation arises in which the original debtor cannot perform their obligations.

 

 

Maturity Date - The date which the loan is expected to end on. If you still have a remaining balance after this date, it will be all due for repayment.

 

 

Personal Property Security Register - The Personal Property Security Register (PPSR) is the NZ Governments register where details of all New Zealand security interests in personal property can be registered and searched.

 

 

Positive Credit Reporting - Previously New Zealand had a negative reporting system. This meant consumer credit reports could only contain information such as credit enquiries (typically applications for credit e.g. a personal loan or credit card) or the fact a particular credit provider or collection agency had loaded a credit payment default.

 

Under the new CCR system positive data is able to be included on credit reports and provided to eligible groups - this will provide a more balanced view of an individual’s credit history.

 

The positive data that can be included on credit reports includes account information such as the date an account was opened and closed, credit limit, type of credit account, as well as 24 months credit repayment history.

 

 

Equifax Limited (formally Veda Advantage) - Equifax is a leading provider of credit information and analysis in Australia and New Zealand, and we use Equifax to assist us in making good lending decisions in regards to both individuals and business clients alike.

 

 

Verifi Identity Services Limited - verifi is a technology provider which Real Finance uses to bio-metrically verify our customers to satisfy some of our legislative responsibilities.

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