Target Market Determination – Vocational Loans

for ZeeFi – Vocational Loans Product issued by Nimble Australia Pty Ltd (ABN 91 135 501 807, Australian Credit Licence 386010) trading as ZeeFi.

1. About this document

This document is not intended to provide financial advice, customers should refer to the Terms and Conditions and any supplementary documents when making a decision about this product.

This target market determination (TMD) seeks to offer distributors and staff with an understanding of the class of consumers for which this product has been designed, having regard to the likely objectives, financial situation and needs of the target market. 

This document is not to be treated as a full summary of the product’s terms and conditions and it not intended to provide financial advice. Consumers must refer to the relevant Terms and Conditions and other Supplementary Documents which outline the relevant terms and conditions under the product when making a decision about this product.

Terms and Conditions to which this target market determination applies

This TMD applies to the Vocational Loans Product referred to in the following Terms and Conditions: 

• Loan Agreement; and
• Terms and Conditions of Use.

Date from which this target market determination is effective

19 January 2023

2. Class of consumers that fall within this target market

The information below summarises the overall class of consumers that fall within the target market for Vocational Loans Product, based on the product key attributes and the objectives, financial situation and needs that it has been designed to meet.  

This Vocational Loans Product has been designed for consumers whose likely objectives, financial situation and needs (as listed below) are aligned with the product (including the key attributes). Accordingly, the Vocational Loans Product is for consumers who:  

• Require a loan to assist with financing Vocational Studies with Accredited Education Providers with ZeeFi because they are unable to pay the upfront costs of those studies;
• require the flexibility of making additional repayments without penalty; and
• require the flexibility to borrow some or all the course costs and only repay the amounts drawn down. 

Product description and key attributes  

The key product attributes of this Vocational Loans Product are:  

• The amount that can be financed under the Vocational Loans Product is between $2,001 and $20,000;
• The loan term in which the student can repay the amount borrowed can be between 6-48 months;
• Establishment fee of $200.00;
• Monthly Account Keeping Fee of $2.50-$7.00;
• Arrears Fee of $25.00-$35.00;
• Interest rates are determined on a risk profiling basis. Students are provided with an outline of the interest rate applicable to their facility once approved. Students should consider whether the interest rate applicable to their facility is right for them;
• Interest and payments are structured based on draw downs. Each time the Education Provider requests a draw down, which re predetermined and advised in the loan contract. Interest and payments are calculated on the amount advanced and the term remaining;
• There are no early repayment penalties for paying out the Vocational Loans Product early;
• The student can borrow some or all the course costs to enable them to participate in vocational studies;
• The student accesses the money as needed and only needs to repay the amount borrowed. Each time the student increases their borrowing up to the approved Vocational Loans Amount, ZeeFi will automatically adjust the repayments to make sure the student stays up to date and the loan is repaid on time;
• The funds are released directly to the Education Partner to ensure the funds are used for the purpose in which they were intended (i.e., to pay for the costs of those Vocational Studies); and
• The student identifies the Vocational Course that is right for them, with any of our Accredited Education Partners.

The key eligibility requirements of this Vocational Loans Product are that applicants must:  

• Be 18 years of age or older;
• Be an Australian Citizen or Permanent Resident;
• Be employed in a full-time, part-time, or casual job (minimum of 6 months);
• Demonstrate serviceability of the loan facility;
• Have a valid mobile telephone number and email address;
• Have good credit without any adverse listings;
• Have positive bank account conduct in the last 90 days; and
• Be able to provide 3 months of bank statements.

Objectives, financial situation, and needs  

This product has been designed for individuals who:  

• require an amount of credit to fund Vocational Studies of their choice with an Accredited Education Provider;
• wish to repay the loan over a 6–48-month period;
• are able to pay the associated fees and charges;
• are able to provide ZeeFi with sufficient financial evidence of their ability to be able to service the loan;
• are able to pay the associated fees and charges;
• require a loan to finance Vocational Studies, which will allow them to:
  • Increase their existing skill set in an area of study of interest to advance their career opportunities or advance their understanding in the chosen study area;
  • Learn new skill sets that are of interest to the student for further career development or advancement or to further strengthen their skills and interests in a specific area; and/or
  • Obtain the necessary credentials, skills and understanding to change their career direction, strengthen their career progression or explore potential education fields of interest.

Excluded class of consumers 

This product has not been designed for individuals who:  

• Are bankrupt, or a participant in a Part IX or Part X Agreement;
• Have bad credit or adverse credit behaviour;
• Income source is solely Centrelink (with exception to Disability Support Individuals);
• Are unemployed;
• Expect their financial circumstances to change in the future;
• Are under the age of 18; and
• Are not an Australian Citizen or a Permanent Resident.

Consistency between target market and the product   

This product (including its key attributes) has been assessed as meeting the likely objectives, financial situation and needs of consumers in the target market because it provides them with access to Higher Education Studies with Accredited Education Providers by financing the associated upfront costs and spreading it over a fixed term.

3. How this product is to be distributed

Distribution channels

This product is designed to be distributed through the following means: 

• Direct: Online via the ZeeFi website or by contacting ZeeFi Sales & Support Team via 1800 324 909; and
• Third Party: Via authorised representatives of Accredited Education Partners of ZeeFi.

Distribution conditions and restrictions

This product should only be distributed under the following circumstances: 

• To individuals who meet the eligibility requirements;
• To individuals who have the appropriate borrowing capacity and in accordance with the Responsible Lending Guidelines of ZeeFi;
• To individuals who fall within the target market;
• All applications must be submitted through the ZeeFi Application and Lending Platforms or via platforms provided to Distributors by ZeeFi from time to time;
• This product is only available to consumers within the Education Sector;
• Distributors other than ZeeFi as the Distributor must be accredited by ZeeFi; and
• Accredited Distributors (Education Providers) who lose their accreditations for any reason are prohibited in providing any ZeeFi Product without the written consent of ZeeFi or its Representatives. 

Adequacy of distribution conditions and restrictions  

This product has been designed for a specific segment of consumers. Distributors following the Distribution Conditions will make it likely that consumers who purchase the product are in the class of consumers for which it has been designed for. 

The distribution channels are appropriate because:

• our distributors have been adequately trained and have the necessary skills and knowledge to distribute this product in accordance with the TMD;
• our application and approval process has controls in place to ensure all approved consumers meet our eligibility and lending requirements; and
• we conduct upfront and ongoing review and monitoring of distributors and distribution conditions and restrictions.

4. Reviewing this target market determination 

We will review this target market determination in accordance with the below:

Where a review trigger has occurred, this target market determination will be reviewed within 10 business days. Meanwhile, we will cease to offer this product to our consumers until our review concludes and any necessary changes to the product or target market determination, including distribution methods, are made.

5. Reporting and monitoring this target market determination