[Question] Vehicle instalment loan - maximum applicable interest rate as per NCA

[Martin Moz]

Hi,

Does anyone know what is the maximum applicable interest rate for a vehicle instalment loan for a private person as per the NCA interest rate limits? I am somewhat confused as neither an "instalment loan" or "vehicle finance" is not featured in the Government Gazette regarding the Review of Limitation on Fees and Interest Rate Regulations dated 6 November 2015.

[Dave A]

The maximum interest rate for Credit Facilities and Other Credit Agreements is the same, the (repurchase rate at the SA Reserve Bank x 2.2) + 10%.

May I gently suggest if you are quoted anywhere close to that, you should reconsider your options.