Help with Investing

How long has Southern Finance Limited been in operation?

Southern Finance Ltd commenced business in 1990, its former names have been Southern Securities Limited, Mackay Taylor Securities Limited and M. T. Securities Limited. Its main activities are to operate as a mortgage lender and a manager of mortgage services primarily in the Western District and south west of Victoria. The Company is a member of Southern Financial Group.

HNG Investments and Loans Ltd merged with Southern Finance Ltd on 31st December 2004.

How do I invest?

To invest in Southern Notes with us, simply complete the Application Form accompanying the Prospectus and either mail it to us or call into one of our offices with your cheque.

Who can apply to invest?

Investments can be opened in single names, joint names, in the names of partnerships, superannuation funds, trusts, businesses, companies and other incorporated/unincorporated bodies. Accounts for trusts and superannuation funds should be opened in the name(s) of the trustee(s).

Is there a choice of terms available?

You can invest with us on “At Call” basis or fixed terms ranging from 3 months to 24 months.

Is there a minimum opening balance?

No, we are happy to accept any level of investment.

How will I know you have accepted my investment?

We will forward a Certificate for your Southern Notes to you as soon as reasonably practicable, and in any event within one month of receipt of application monies.

How is interest paid?

Interest on “At Call” accounts will be credited to the account. Interest on fixed term investments may be added to the deposit, credited to an “At Call” account with Southern Finance Limited, sent to you by cheque or transferred directly to another financial institution.

How is interest calculated?

Interest is calculated on the investment balance of your Southern Notes on a daily basis from the date of receipt of your application monies.

When is interest payable?

Interest is paid in arrears on “At Call” accounts on the last day of March and September in each year. Interest on fixed term deposits is paid in arrears quarterly from the date of deposit.

Can I have moneys invested for my children?

Yes. Monies may be invested in the name of a child or grandchild or in your own name/s as trustee for the child. The child’s Tax File Number or date of birth should be provided if claiming an exemption as a minor.

What kind of investment is a Southern Finance debenture?

Southern offers investments in Southern Notes and it is not a bank. No external assessment has been made about the risk to investors losing any of their principal investment. The risk of investment in a Southern Note is set out in our current prospectus and shoud be read and understood before investing. Applications for Southern Notes can only be made on the application form which accompanies the prospectus issued by Southern Finance.

What do you do with the funds that I invest?

Southern Finance Limited predominantly lends against registered first mortgage securities over titles to real estate in Australia with the balance of the funds invested in Australian Banks and other investments as permitted by the Trust Deed.

The Company does not intend to lend against the security of real estate where the predominant activity is forestry, viticulture or horticulture.

Is repayment of my investment secured?

Repayment of all monies deposited with or lent to the Company for investment in Southern Notes is secured by a charge over the whole of the assets and undertaking of the Company in favour of the Trustee (The Trust Company (Nominees) Limited) which is held for the benefit of Southern Note holders.

What happens when my fixed term investment reaches its maturity?

Approximately two weeks before your investment falls due we will notify you in writing of the upcoming maturity and our current interest rates and terms. We will offer you the opportunity to reinvest with us, change your investment term or add to your investment.