Personal Loans

Personal Loans Often Approved in Less Than a Day

Some personal loan products are approved in less than an hour, but lower rates and superior products may take up to a day. Call us for a discussion.

General Personal Loan Frequently Asked Questions

+ What are the Differences Between a Car Loan and a Personal Loan?

Personal loans are generally unsecured and can be used to purchase a car. Personal loans are commonly used to purchase vehicles on a private sale or older model vehicles, however, some lenders will have limitations on the age of the vehicle that you can finance. For example, the lender will stipulate that the vehicle should be no more than 10 or 12 years old by the end of the loan term.

A car loan cannot be used to purchase imported vehicles mainly due to the fact that the vehicle is not registered or locally compliant. This represents greater risk for a lender and in order to finance a car bought from Japan for example, a personal loan would be a suitable option.

+ Personal Loans for Motor Vehicles

There are several financing options for those who are looking to finance a car, the most popular option is a car loan, but you may also want to consider a secured or unsecured personal loan. A personal loan is a form of credit used to finance personal purchases.

+ Personal Loans for Home Improvements

A personal loan is a great option to fund smaller home improvement projects (from $4000) as they have lower interest rates compared to credit cards. If you chose an unsecured loan you do not have to provide collateral against your loan, so there is no risk of losing your home or equity should you default on payments. A variable rate loan also allows you to make extra payments to minimise the term and save on interest.

+ Personal Consolidation Loans

Multiple loans or Credit card debt consolidation is the process of combining a number of existing credit card and loan debts into one convenient loan with one set of loan fees to better manage your repayments. Your debts may consist of credit cards, medical and legal fees, utility bills or personal loans, and consolidation of these will minimise the number of fees and interest you’re paying. A debt consolidation personal loan or a balance transfer credit card are two ways in which you can consolidate multiple debts. In order to have this loan work for you, it’s essential to check that your consolidated debt’s interest rates and/or fees are not higher than what you were paying on your previous debts.

Commonly Asked Questions

+ What interest rates do you offer on your personal loans?

Unlike home loans, the interest rates on personal loans are generally not “black and white”. The interest rate will depend on a number of factors such as whether security is offered, whether you own a property, how good is your credit history and how long have you been in your job. To obtain a rate quote please call us.

+ For Renovation, should I borrow using my home uquity or use a home loan?

Normally it is advisable to use a home loan to fund home improvements. Obviously the interest rates are much lower on home loans when compared to personal loans. There are some situations where you may need to use a personal loan to conduct home improvements. Consider the following case examples: – You have borrowed 80% of the property value and borrowing more would mean you would have to pay lenders mortgage insurance. Mortgage insurance could cost you thousands of dollars. It may cost you less in interest to instead use a personal loan over a 5 year term than it would cost in mortgage insurance plus the interest on that mortgage insurance over the 30 year home loan term. – You have borrowed 100-105% of the purchase price with the help of a guarantor. In this instance you generally wouldn’t be able to increase your home loan so a personal loan would be required.

+ How quickly will the funds be available after my loan is approved?

Generally by the next day or no later than two workings days.

+ Is the interest rate fixed or variable?

Most personal loans have a fixed interest rate. This gives you certainty with ongoing repayments. There are a few lenders that offer variable rates but fixed rates are much more common and popular.

+ I have a default on my credit report. Can I get a personal loan?

Most lenders require a clean credit history. We do have options that will consider small paid defaults with a telco or utility company. Unpaid defaults generally won’t be considered.

Consider Consolidating Debt and Using Your Home Equity

Want to pay one monthly repayment rather than two? You can often consolidate your debt by refinancing your home. Monthly obligations, even with a new vehicle, are usually less than what you’re paying now. Call us for more information.