At some point in the past, a borrower may have experienced difficulty in meeting their monthly commitments due to lack of work, suffered unexpected business losses, or had a difference of opinion with a former credit provider.

Unfortunately, in these cases the former credit provider may have lodged a payment default (or black mark) on their credit report with a credit recording agency. When applying for finance, a default lodged on a credit report may cause some frustration as a lender may not take an understanding view of the borrowers explanation surrounding the default.

Credit – Impaired Loans are designed especially to assist a borrower in these circumstances. Usually these loans incur an extra interest rate margin and possibly extra fees and charges.

If you need more information on these types of home loan products and how they suit your individual home loan needs, enquire online or call 1300 666 500 to speak with an experienced Workforce Finance consultant.