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Lumi Payment Pause

Australia’s first interest-free repayment pause

Pause loan repayments for 4 weeks, interest-free, to fast forward your business.

Terms & Conditions 

  1. Eligibility and Request:
    1. The Payment Pause feature is applicable solely to eligible term loans and must be requested at the time of loan origination.
    2. This feature cannot be applied to existing loans unless it was explicitly included in the original loan agreement.
    3. Customers may request the Payment Pause at any time during the loan term. However, it can only be requested once and must be for a consecutive period of four weeks.
  2. Effects of Payment Pause:
    1. Upon the request for Payment Pause:
      1. The repayment schedule will be temporarily frozen, and the following four scheduled repayments will not be deducted.
      2. Four additional weekly repayments will be added to the end of the loan term.
    2. After the payment freeze period, regular loan repayments will resume for the remaining loan term.
  3. Ineligibility:
    1. The Payment Pause feature is unavailable if customers have missed any previous repayments on any facilities held with Lumi.
    2. The granting of the Payment Pause during the loan term is at the sole discretion of Lumi.
    3. The availability of the Payment Pause feature is subject to eligibility, as determined by Lumi's discretion.
  4. Please note that these terms and conditions govern the use of the Payment Pause feature. By utilising this feature, you acknowledge and accept the terms outlined above.

Let's get started

How much are you looking to borrow?

3 ways you could benefit from Payment Pause

Business funding
your way

Hit a 4-week interest-free Payment Pause whenever you need

Get your business ahead

Focus on your business instead of your repayments

Increase cash flow

Invest back into your business

At Lumi, we don't believe in surprises.

(at least, not when it comes to finance).

Instead, we pride ourselves on offering straight-forward loans to give your venture the financial boost it needs.

No guesswork, no hassles, no reading between the lines. Just totally transparent loans to help you get ahead.

A few other reasons why you'll love Lumi...

Application outcomes within a few hours
Loans from $5,000 - $500,000
Repayment periods of 3 - 36 months
No hidden fees or charges
No collateral needed for loans up to $300k
Funds received within the same business day
We're a trusted direct lender
No early repayment fees

Why Lumi?

We know that running a small business isn't an easy feat.

You see, we're a small business ourselves and understand the daily challenges facing those who dare to dream big.

Gone are the days of lengthy applications and endlessly jumping through hoops to secure the finance your SME needs. We'll provide you with an accurate, fair and honest lending solution that's tailored to your small business.

High-five to that.

High Five

Here's how it works:

Step 1
Step 2
Step 3

Are you ready to apply for business funding?

You’re only a few online steps away from submitting your business finance application with Lumi.

Tick the boxes to check if you’re ready to apply.

Min 6 months in business
Active ABN or ACN
Min $5,000 monthly revenue

Receive a lending decision within just a few hours

SMEs form an important part of the Australian economy, providing over 40% of all jobs. Their success is integral to the ongoing prosperity of our country, but running a small business does come with its own set of challenges.

Whether it’s seasonal fluctuations, a lack of cash flow, or faulty equipment that needs replacement, small business loans can provide SMEs with the safety net they need to flourish. But what type of small business loan is right for you? And how can you gain quick and easy access to your required funds?

Keep reading to find out everything you need to know about loans for your small business.

What are the Terms and Conditions for the Payment Pause?

Lumi will offer a 4-week interest-free Repayment Pause on select new term loans settled from 8 April 2021.

  • Payment Pause only applies to term loans. It’s not applicable to Lumi’s Business Line of Credit product.
  • Payment Pause only applies to new term loans. It can not be applied to existing loans.
  • A Payment Pause can only be taken for 4 consecutive weeks. Meaning the next 4 payments from the date it was requested.
  • Loan repayments can be paused only once during the agreed loan term
  • The 4-week Payment Pause cannot be broken into multiple instalments. Once requested the loan repayments will pause for 4 weeks.
  • Payment Pause can be taken at any point in time. Upon request, the next scheduled payment freezes for 4 weeks and 4 additional weeks are applied to the end of the loan.
  • The Payment Pause doesn't increase the amount of the next repayment. It simply adds 4 more payments at the end of the payment schedule.
  • Once repayments recommence they will continue weekly for the remaining period of the agreed loan term.
  • To be eligible for Payment Pause customers can't have missed a loan payment previously on any Lumi loan products.
  • Access to Payment Pause and Lumi loan products remains subject to eligibility on new term loans at full discretion of Lumi.
  • Granting of the Payment Pause during the loan term remains at Lumi’s sole discretion.

How Can You Benefit from a Small Business Loan?

There are a number of business-related expenses that a small business loan can be used for, including:

  • Purchasing equipment
  • Maintaining inventory
  • Managing daily expenses
  • Paying employee wages
  • Hiring additional staff
  • Moving to another business location
  • Product development
  • Marketing and promotions

Often, a small business owner will want to invest in these areas to help their business grow, but find the idea of dipping into their cash flow quite daunting. This is where a business loan comes in handy, as it gives you a quick injection of cash to fund your growth, which you simply pay back in small amounts at regular intervals.

Popular Types of Small Business Loans

While there are plenty of different small business loans on offer, not every type will be suited to your needs. Below, we’ve listed two of the most versatile and popular small business loans to provide some more information.

Unsecured Business Loans: An unsecured business loan is a flexible and convenient way to get the finance you need, as you don’t require collateral to obtain the loan. Collateral is something that you or your business owns that you pledge as security for repayment, i.e. your home, vehicle, inventory, etc. Instead, the loan is issued and supported based on your creditworthiness. Therefore, unlike secured business loans, a lender cannot seek repayment by going after your assets.

Unsecured business loans are also designed to be easy to obtain, plus you can expect a quick application and approval process - usually within just a few hours. (Read more)

Short Term Business Loans: Short term business loans can be secured or unsecured, but their main difference when compared to the other types of loans is their payment terms and borrowing capacity. Payment terms usually range from 3 to 12 months, while loan amounts are often between $5,000 and $100,000.

Due to their shorter payment terms and smaller borrowing capacity, small business owners may find short term loans much easier to apply for and obtain than long term finance. (Read more).

The 5 Components of a Small Business Loan

Small business loans are pretty straightforward, but there are 5 important components that you need to be aware of:

Principle: This refers to the total amount being borrowed

Interest rate: The rate (%) at which you will repay your loan to the lender

Term: The length of your loan

Repayment frequency: How frequently you must make your repayments i.e. daily, weekly, monthly

Fees or Charges: Additional expenses you must pay on your loan. Your lender should always be upfront about these

Why Choose Lumi for Your Small Business Loan?

Here at Lumi, we provide you with the best of both worlds. Not only are our business loans unsecured, but they also take place on a short term basis, with terms of 3 - 18 months. We offer loan amounts of $5,000 to $500,000, giving your small business the quick injection of cash it needs to thrive.

As a small business ourselves, we know just how valuable and limited your time is, which is why we also offer a fast and simple application process that can be completed online within just minutes. Once approved, your funds will be deposited the following business day, helping you put it to good use ASAP.

How to Apply for a Small Business Loan

If you’re an Australian-registered business who has been in operation for at least 6 months producing a gross annual turnover of $50,000 or more, then you’re eligible to apply for a small business loan with Lumi.

To complete your loan application online, click here to get started. You’ll just need the following on-hand to complete your application:

  • Your ABN / ACN
  • Driver’s License
  • Business bank account details (for online banking)

You can also speak to a member of our team by calling 1300 00 LUMI.