I've been looking at getting a personal loan to get some capital together. I went with NAB due to their interest rate and being an existing member. Well I just got off the phone to them. Initially I was only looking for 40K. The girl said that this type of loan is issued as a cheque. Because I want to do my trading online she tells me I need a loan that is issued as cash. She said if I was to trade through a broker then I could use the "cheque" loan. As a result I would have to go for a "project loan". The maximum of the project loan is 35K. Due to the higher interest rate, shorter loan period (5 years) and no option for weekly repayments I would be paying 20% more per month on the project loan of 35K as opposed to the equivalent 40K personal loan.
Sorry for the spiel but I was wondering what everyone else does when borrowing to invest in shares? Do you guys all use brokers? If I did do it through a broker obviously my brokerage fees would be more but could I still trade online?
Any suggestions would be helpful. I'm having trouble coming at paying 20% more a month for 5K less capital.