loan repayment pause

Members may apply for a 3 month break in repayments, or a 6 month reduction (up to half) of their repayments on their loan, subject to the following conditions:

• Only loans for owner-occupiers are eligible.
• A request must be provided detailing an inability or choice not to work in favour of caring for your child (evidence of maternity/paternity leave approval may be required), or that funds will be re-directed for the purpose of installing water and/or energy saving devices (eco-pause).
• The loan must be established with mecu for at least 12 months before applying for payment reductions.
• Accounts must be operated within mecu terms and conditions prior to the request, and loans must not be in arrears or have had any repayments missed within the six months prior to the request.
• Excludes Bridging loans, Interest Only loans and Home Equity loans.
• Subsequent payment reductions can be made no sooner than 12 months from completion of any previous repayment reduction period.
• A maximum of 2 repayment pause breaks are permitted for loans that are subject to Lenders Mortgage Insurance (LMI).
• Loans that exceed a loan to value ratio (LVR) of 90% for Family Leave, or 80% for eco-pause, are not automatically eligible.
• Loan repayments may need to be recalculated at the conclusion of the break to ensure the loan term does not exceed the maximum permitted by mecu or the LMI insurer.

Full terms and conditions, fees and charges are available on request and on application.

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