Frequently asked questions

Who can apply?

Who is eligible to apply for a COLLECT loan?

All Australian residents (as individuals) are eligible to apply for a COLLECT Art Purchase Scheme loan. Joint applications from couples, or applications from businesses of any kind are not eligible to apply.

Can I apply in my own name if my partner already has a COLLECT Art Loan and we have the same last name and bank account?

Yes. As long as you apply in your own name and it is your signatures and identification that you provide to COLLECT, then you can have a loan at the same time.

Can I apply from interstate within Australia?

Yes. Interstate Australian residents should contact the relevant arts business to arrange the following:

  • the selection and purchase of eligible artwork(s)
  • provision of 1 primary and 1 secondary proof of identity documents (see guidelines or application form for more details)
  • Proof of current address

Once these details have been provided to the arts business, they will complete a artwork submission form to Arts Tasmania. We will verify these details within 24 hours from successful submission and forward an electronic loan application form to the applicant for completion.

Interstate applicants will be required to pay freight costs or negotiate these with the arts business. Freight costs cannot be included as part of the loan.

I don’t readily have access to the internet, how can I complete my application?

Please contact Arts Tasmania on 03 6165 6666 and we can help provide you with an alternative application process.

Artworks

What artworks are eligible under the scheme?

To be eligible artworks must be produced by a living Tasmanian artist and it the first sale of the artwork – i.e. it must not have been previously owned or sold. It may be sculpture, glasswork, ceramics, paintings, works-on-paper, photographs, furniture, textiles, jewellery, metalwork, woodwork, new media or limited edition prints where the print run is less than or equal to 150 prints (not reproductions or posters).

Can I commission artworks?

Yes. There is no minimum deposit requirement for commissioned works. The arts business will determine if an appropriate deposit amount is required. However, the minimum and maximum caps for retail prices and loans still apply to commissions. The minimum price of a commissioned artwork is $1 335 to qualify for a $1 000 loan.

Loans and loan agreements

How much can I borrow?

The minimum amount you can borrow is $1 000 and the maximum is $8 500. The minimum retail price for an artwork able to be purchased using a COLLECT loan is $250, so you may buy up to four $250 artworks to be eligible for a $1 000 loan.

The maximum retail price for an artwork able to be purchased using a COLLECT loan is $11 500, so to buy an artwork retailing above $8 500, you will need to pay the balance as a deposit. For example, if you purchase an artwork retailing at $11 500, you may borrow up to $8 500 and will need to pay a deposit of $3 000, which is the difference between loan amount and the value of the artwork.

Why do both names on the joint bank account need to sign the DDR form?

You are required to provide authority from both bank account holders for the loan to be debited from the joint account. Without both signatories the loan cannot be progressed.

Fees and loan repayments

Are there any additional fees for using the COLLECT Art Purchase Scheme?

There are no application or administrative fees applicable to the applicant. The only cost is the retail price of the artwork plus any freight costs you may incur.

If you miss payments, however, there will be additional costs. If your direct debit is declined by your bank, you'll be charged a $25 dishonour fee by Arts Tasmania in addition to any charges you may incur from you bank. The Arts Tasmania dishonour fee will be added to your next instalment.

If any payment is not made within five days of the due date then you will need to repay the entire outstanding loan balance immediately and interest will be charged on any outstanding balance at the rate of 13 per cent per annum.

How long is the loan term?

The length of the loan is one year. Repayments are made in 12 monthly instalments paid via direct debit from either your own or a joint nominated bank account.

Can I make extra payments?

You cannot make extra payments or vary the monthly payments of the loan however, you may pay out the loan early in full.

Are there any penalties for paying out the loan early?

There are no penalties for early pay out of the loan, however we are unable to vary the monthly payments of the loan.

How do I make loan repayments?

Successful applicants will be required to submit a Direct Debt Request (DDR) form to the Department of State Growth to facilitate monthly loan repayments. The nominated account MUST be either in the name of the applicant or a joint account that includes the name of the applicant. If debiting from a joint account, all signatories are required.

Please ensure the nominated account is NOT a credit card and confirm with the financial institution that direct debits can be accepted as some accounts cannot accept a DDR.

How many loans can I have at once?

You can only have one active loan at a time although this one loan can cover a number of different artworks purchased at the same time from the same arts business. There are no penalties for early pay out of a loan if you would like to finish one loan in order to take out another.

How long does it take to process my application?

Once the arts business has submitted the artwork information form and you have submitted the application form, it typically takes up to five business days to process your application.

If your application is approved you then have another five business days to sign and return your loan agreement. Once you have sent back your signed documents and the arts business has been paid, the artwork will be released to you.

If your loan agreement is not received by Arts Tasmania within five business days, the arts business may release the artwork for sale.

What if my loan application is not successful?

If your loan application is unsuccessful we will notify you by email. We will also notify the arts business. If you still wish to purchase the artwork you should get in touch with the arts business as soon as possible as there may be a range of other options available to you through the arts business to purchase the artwork. If you paid a deposit to the arts business then you should contact them to arrange for its return.

Arts businesses

How do I join the COLLECT Art Purchase Scheme?

Arts businesses considering applying to participate in the COLLECT Art Purchase Scheme are strongly encouraged to contact us before submitting an application. Arts businesses can apply online to participate in COLLECT at https://artstasmania.smartygrants.com.au/collect-business

All applications are assessed by an independent panel of arts and business experts, against three criteria – quality; planning and business practice.

Contact Arts Tasmania for further information on 03 6165 6666 or E-mail: collect@collect-art.com.au

How long do I need to hold an artwork?

There is no formal timeframe for which the arts business must hold an artwork. This is an arrangement made between the customer and the arts business as part of the sale of artwork. If a holding period is negotiated, it is recommended approximately 12 business days be allowed from submission of loan information which is consistent with processing times of the loan.

How does an arts business check the identity of an applicant?

In-person:

A customer must provide one primary and one secondary form of identification to be sighted by the arts business, with ID numbers included in the loan information form. A full list of identity documents is provided in the scheme guidelines; the application and loan information forms.

The applicant will be asked to upload their chosen identity documents when completing the on-line loan application form. These must be consistent with those presented to the arts business.

Online or by telephone:

The applicant will be asked to upload their identity documents when completing the online loan application form.