Payment Protect

Payment Protect is no longer available on new loans from 1 April 2020

Loans with Payment Protect attached prior to 1 April 2020 will not be affected.

What is Payment Protect?

Payment Protect is an optional repayment waiver which some borrowers chose to add to their loans.

There are two levels of cover under Payment Protect:

• Partial cover. This covers death and terminal illness

• Complete cover. This covers death, terminal illness, disability (due to illness, a medical condition, or accidental injury), and redundancy.

If you have Payment Protect and are affected by an event for which you are covered, and which impacts your ability to make your loan repayments, you will not be liable for a specified number of payments once you have notified Harmoney and your waiver application has been approved.

The number of payments that will be waived depends on your level of cover and the nature of your event, as set out in the table below.

It is important that you contact Harmoney as soon as possible when an event occurs for which you have Payment Protect cover, so your repayment waiver application can be processed. Please note that if you do not notify us, or provide further information that we may request, within the timeframes set out in the Payment Protect terms, you will not be entitled to any repayment waiver.

Payment Protect is not a type of insurance cover. It is a repayment waiver service designed to cover your loan repayments under the specific conditions in the Payment Protect terms (which form part of your Loan Contract). This page provides only a limited, high-level summary of the service, and we recommend you seek independent financial advice on whether insurance products are relevant to your situation.

Read the full Payment Protect terms contained in the Loan Contract.

Exclusions (see clauses 6 and 7, and section F, of the Payment Protect Terms) and conditions apply for all levels of cover.

Level	Event	Employment Restrictions	Waived repayments	Maximum amount waived	Stand down periods
Partial & Complete	Death - You die.	None.	All your remaining monthly repayments that fall due after we have been notified of your death.	No maximum.	None – immediate cover.
Partial & Complete	Terminal illness - You suffer an illness, other medical condition or accidental injury that is likely to result in your death within 12 months.	None.	All your remaining monthly repayments that fall due after you have notified us of your terminal illness.	No maximum.	None – immediate cover.
Complete	Disability - You suffer or are diagnosed with an illness, other medical condition or accidental injury that makes you unable to work for at least 20 hours per week.	You must be: permanently employed for at least 20 hours per week when you suffer the disability; or self-employed for at least 20 hours per week when you suffer the disability.	Your monthly repayments that fall due after you have notified us of your disability up to when you are able to work again for 20 hours per week or more.	24 monthly repayments (combined total for all disabilities).	14-day stand-down period (ie. only repayments that fall due more than 14 days after we have received written notice that you have become disabled will be waived).
Complete	Redundancy - You become unemployed due to redundancy.	You must be permanently employed for at least 20 hours per week, for at least three months immediately before becoming unemployed due to redundancy.	Your monthly repayments that fall due after you have notified us of your redundancy and up to when you are permanently employed again for 20 hours per week or more.	5 monthly repayments (combined total for all redundancies).	None – immediate cover.