KEEPING YOU SAFE: Safeguarding your financial security is our utmost priority. We employ state-of-the-art encryption and advanced security measures to protect your sensitive information. Learn more about how we keep you safe here.

Alex Bank logo - White

Secured Personal Loan Target Market Determination

Last updated 12 June, 2024


Alex Bank Pty Ltd ABN 13 627 244 848, Australian Financial Services Licence and Australian Credit Licence 510805 (Alex, We, Us or Our).

Target Market

This Target Market Determination (TMD) sets out the target market for our Secured Personal Loan product.

Product Description and Key Attributes

The Secured Personal Loan product key attributes that will impact whether it is likely to be appropriate for the target market include:

  • a 100% digital online application process;
  • no monthly fees;
  • flexible repayment frequency;
  • flexible loan term;
  • fixed interest rate; and
  • no fees for extra repayments or paying the loan off early.
Description of objectives, needs and financial situation

This product requires customers to provide an eligible asset as security for the loan which meets the following criteria:

  • The vehicle is for personal use;
  • The vehicle is sold through a dealership;
  • Vehicles of the following types: Convertibles, Coupe, Hatches, People Movers, Sedans, Wagons, Utes, SUVs, Caravans, Campervans and Motorhomes;
  • A new or used vehicle under 7 years old at the time of application;
  • The vehicle is insured via comprehensive insurance and is or will be registered at loan disbursement, and certificate of currency of insurance made available to us, where required; and
  • The vehicle has never been written off, is not currently stolen, and has no financial interest recorded.

We will make reasonable enquiries about the customer's requirements and objectives. However, we recommend the customer consider whether their objectives and requirements align with the features and suitability of the product.

We will also make reasonable enquiries about the customer's financial situation. To assess whether the loan is affordable to the customer, we will consider the customer's employment, income, living expenses, automotive expenses, discretionary expenses, other debts, credit history, specific life events, temporary difficulties and any information that will assist us to understand the customer's full financial position.

This product is not suitable for a customer that:

  • wants a variable interest rate;
  • requires redraws or loan splits;
  • requires a personal loan in joint names;
  • requires a unsecured loan facility;
  • requires a personal loan with the following purposes:
    • Refinancing a Vehicle;
    • Buying a New or Used Motorbike, Van, Truck or Bus;
    • Any loan purpose other than buying a motor vehicle.

The Alex Secured Personal Loan product is subject to our Lending Policy.

Description of Customer Profile
  • This product is only available to customers that meet Alex identification requirements and are:
    • 18 years or older;
    • An Australian Citizen or Australian Permanent Resident with the ability to provide Alex with a valid Australian issued Photo ID (Passport or Drivers Licence);
    • Residing in Australia at the time of the application;
    • Not over 67 years of age at loan maturity (unless we receive a satisfactory loan repayment proposal);
    • Able to demonstrate the capacity to make required repayments on the credit facility without substantial hardship; and
    • A holder of a current Open or Provisional Australian driver’s licence.
  • The product is appropriate for the target market on the basis that the key attributes of the product, as set out in this determination, directly address the objectives, financial situation and needs of consumers in the target market.

Distribution Conditions

  • We have placed conditions and restrictions on the distribution of the product to ensure it is distributed to customers within the target market.
  • We have designed this product to be distributed by:
    • visiting our website;
    • contacting our representatives or affiliate partners directly; or
    • contacting our authorised brokers.
  • This product is only marketed and promoted through advertising on the internet (including social media) and other marketing material available to the general public and in person recommendations. This condition is appropriate as the target market is wide.
  • To further ensure the product is distributed to customers in the target market, we have:
    • implemented targeted advertising;
    • provided specific content about the product on our website that is consistent with this TMD;
    • ensured our representatives are adequately trained to understand the customers this product has been designed for; and
    • provided guidance to our brokers and affiliate partners.
  • We have taken steps to ensure that our remuneration and incentive structures for this product do not result in distribution that is inconsistent with the TMD.
  • We supervise the distribution of the product through monitoring the process of each application and collecting any relevant data. We will provide sufficient information to our brokers and affiliate partners to assist them with meeting their obligations to ensure distribution of the product is consistent with this TMD.
  • If we become aware that the distribution conditions are inadequate, where for example, significant distribution is occurring outside the target market, Alex will undertake a review of this TMD.

Review Triggers

  • The events or circumstances (called 'review triggers') that would reasonably suggest that the TMD is no longer appropriate and would trigger its review are:
    • invitations made to customers from outside the target market;
    • significant dealings meaning a material pattern of dealings in the product or distribution conduct appears that is not consistent with the determination;
    • a material change to the product, including introduction of promotional features;
    • a significant increase in events of defaults;
    • a material change in law or regulatory guidance;
    • reporting from representatives or brokers that suggests part or all of the TMD is no longer appropriate;
    • internal complaints or notice of complaints made to the Australian Financial Complaints Authority considering the nature of complaints and complaint trends; or
    • a notification from the Australian Securities and Investments Commission (ASIC) requiring; immediate cessation of the product or particular conduct in relation to the product.

We will review this TMD within 10 business days if we know or reasonably know, that a review trigger has occurred.

Review Periods

Start date: 12 June 2024

Next review due: 12 June 2026

Review period: At least every 24 months from the start date of this TMD.

  • We will also review this TMD in response to any review triggers or other events or circumstances that would reasonably suggest that this TMD is no longer appropriate.
  • We will notify ASIC within 10 business days of us becoming aware of a significant dealing in the product that is not consistent with this TMD.
  • We will integrate the review process into our product governance arrangements, and controls will be put in place to ensure that meaningful reviews take place. Possible outcomes from the review process include:
    • no change to the way the product is distributed; or
    • changing the product design, target market or distribution.

Distribution Information Reporting Requirements

  • We understand complaints, events of defaults and general feedback about the product are useful indicators of whether this TMD is still appropriate.
  • Where Alex engages external representatives to distribute this product, we require that they promptly provide us with information in relation to any complaints and general feedback received, to allow us to review this TMD.
  • Our external representatives are required to provide the following information:

Type of Information


Reporting Period


The following information is required:

  1. Representative name
  2. Date of complaint
  3. Product
  4. Nature of the complaint
  5. AFCA status (if applicable)

As soon as practicable, and in any case within 10 business days after becoming aware.

Significant Dealings

Information about any significant dealing in the product that is inconsistent with the target market determination of which the intermediary becomes aware.

As soon as practicable, and in any case within 10 business days after becoming aware.

Broker Feedback

Information discovered or held by the intermediary that suggests that the determination may no longer be appropriate.

As soon as practicable, and in any case within 10 business days after becoming aware.

Other Information Requested

The representative must provide the information by the date requested by Alex.

As soon as practicable, and in any case within 10 business days after the request.