With a Flexitax instalment, we calculate what we expect each instalment to be based on current interest rates. Should you underpay or overpay on a given instalment, or interest rates change, we’ll automatically calculate if a new instalment amount is required, without changing your final instalment date.
Finance instalments are a fixed rate option where the cost of borrowing is paid upfront and the payment of tax is due across the desired term at the desired frequency. With this option, if there is an overpayment we’ll credit any upcoming instalments. If there is an underpayment we’ll create a Flexitax for the underpaid amount, without change to the remaining finance instalments.