FAQs
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Do I have to be a Credit Union member to take out a loan?

The Credit Union is a mutual financial services organisation and as such is owned by its members, each one of whom is a shareholder. Therefore we require that you must be a member of the Credit Union to apply for a loan. Macquarie Credit Union is an industry based Credit Union catering for employees of Essential Energy, Local Shires, Macquarie Area Health, Auscott, Australia Post and Telstra in the Essential Energy area and their immediate family members. ^

How much can I borrow?

You can borrow up to 90% of the valuation of the property with mortgage insurance or 80% without mortgage insurance. The actual amount you can borrow is determined by your ability to meet the repayments of the loan. Wish to calculate how much you my you could borrow? Use our Loan Calculator. ^

What costs do I need to consider?

Deposit
The biggest initial cost is the deposit. This will be 10% of the value of the property if you have mortgage insurance or 20% if you do not.

Stamp duty & registration fees
Stamp duty and registration fees are payable on a property purchase and on a mortgage.

Property purchase stamp duty & registration fees
Property purchase stamp duty is a form of government tax and is calculated on the market value of the property or the purchase price, whichever is greater. You may be exempted or eligible for a concession, please contact your solicitor/conveyancer.
In addition, whenever a property changes hands, the change of ownership must be recorded with the appropriate State Titles Office. A document known as a Transfer of Land must be lodged, the cost of which varies in each State/Territory. Please contact your solicitor/conveyancer who should perform this task on your behalf.

Mortgage stamp duty and registration fees
Stamp duty is incurred to make mortgage documents legal. The fee is determined by the amount you are borrowing. We will calculate your loan security stamp duty and will pay the applicable state authority on your behalf.
There is also a government charge to register your mortgage document. We will pay the applicable state authority on your behalf. You will be charged at cost. ^

Legal Fees
Legal expenses for the average home purchase include:

  • Solicitors fees (between $500-$2000)
  • Survey and building certificate ($450)
  • Disbursements for documents ($296 plus $50 per unit)
  • Building inspection and pest report ($400-$500) ^

Searches and inspections
Contracts should never be exchanged until the necessary searches and inspections have been completed.
Searches and inspections may include a title search the following:

Title search
A Certificate of Title obtained from the Titles Office by your solicitor/conveyancer provides details of who owns the property and who else has an interest in it. This is a good way to research if there are any mortgages, caveats, restrictive covenants etc on the property which would affect the transfer of title.

Building inspection and pest report
The report completed by your building inspector will detail any building flaws, e.g. structural issues with the building or roof, damp etc. The pest report should detail any evidence of pest infestation. It will enable you to assess the cost of any required treatment. ^

How do I make repayments on the loan?
 

You can arrange to make your loan repayments either by payroll deduction, direct debit from your savings or transaction account, internet or telephone banking transfer, over the counter at our office, or at any branch of the National Australia Bank with a specially encoded deposit book. ^

How often will I receive information on my account?

Statements are issued on the 3rd day of each month. Duplicate statements can be requested at any time from our office. Account Balances and Statements are also available through our Internet and Phone banking services. ^

What security is required to take out an Investment Property Loan?

We will take a mortgage over residential property as security. This does have a cost involved in set up. ^

What happens if I get sick, have an accident or lose my job?

The best way to obtain peace of mind that your repayment obligations will be met in the case of accident, illness or involuntary unemployment is to take out insurance. Learn more about the Credit Union Loan Repayment Insurance. ^

Do I need to take out insurance?
 

Lenders Mortgage Insurance will be required it the amount of your loan exceeds 80% of the valuation or purchase price, whichever the lesser. Building insurance is required to be taken out equal to the value of the building shown in the valuation of the property at the time of the loan application.

It is recommended that you take out insurance on your loan, designed to cover your lending obligations in the case of sickness, accident or involuntary unemployment. Although you do not have to purchase your insurance through the Credit Union we offer a range of insurance policies. Learn more about Loan Repayment Insurance. ^

Is a redraw facility available?

The Credit Union gives you the option of making extra repayments on your loan and then having the flexibility of being able to redraw on these extra repayments. You need to have your loan in advance by at least $500 & one loan repayment, and the minimum redraw is $500. This facility is free of charge and allows you to park extra funds on your loan, thus saving you interest and then redrawing them as required. ^

What is Lenders Mortgage Insurance?

Mortgage insurance covers the credit union against a loss in the unlikely event that we have to exercise our right to sell the property due to ongoing default of loan repayments. It must not be confused with Consumer Credit Insurance designed to cover your lending obligations in the case of sickness, accident or involuntary unemployment. ^

Want to know more?


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You can be assured of getting great value, competitive interest rates and personal service from a credit union that puts members first.

Matthew Bow, General Manager