Boat Loans Australia :: Articles
SHARE

Share this article with your friends!

When should I use a personal loan?

When should I use a personal loan?

Unsecured personal loans can really help in a pinch.
If your savings are low and your car breaks down, for example, such a loan can patch up your life.
Or maybe you're buying a big-ticket item and you need backup money to cover a short-term hole in your bank account.
Unsecured personal loans are designed to be undertaken without the need to secure the loans against collateral, such as a property or a car. This makes unsecured personal loans ideal for people who do not own their own home and for people who have no other type of collateral to secure personal loans against.

Convenience

Part of their convenience is how quickly they can be approved - usually in one banking day, three tops.
Financial institutions don't care much about how you use an unsecured personal loan as long as you are a good candidate to pay it back.
The hitch is that because the borrower has no security, unsecured personal loans can be more expensive than secured loans.
Need Money for a Bike?
We offer fast, free, easy access to the best Bike Loan rates and options in the Australian market. Simply use our 3-minute Bike Loan enquiry form to see if you qualify … and you'll get instant access to our national Bike Loan broker network … for free advice and assistance through the approval process. No charge, no obligation!
These days, even the new crop of low-rate credit cards can often be cheaper than unsecured loans.
And besides interest, watch out for any annual service or maintenance fees on the loan that is either a flat fee or a percentage of the lump sum.
On the plus side, greater competition in personal loans from smaller financial institutions like the credit unions means there is a huge variation in the interest rates being charged - from 9 to 15 per cent.

Who qualifies?

Unsecured personal loans have a wider reach than secured personal loans. Both tenants and homeowners can take out unsecured loans, as well young people who have no verifiable personal credit history. Additionally, unlike secured personal loans, unsecured loans may also be open to people who have a poor credit record.
To successfully apply for a personal loan, the applicant for the loan must have a regular source of income. Proof of income from the unsecured loans applicant is likely to be requested by the personal loans companies and many lenders will also carry out background checks on other loans, secured or unsecured, that the personal loans applicant holds now or has held in the past.
Personal unsecured loans applicants who have been resident at the same personal address for more than three years, are married and have stable employment are those most likely to be successful in obtaining personal unsecured loans.
For homeowners, personal unsecured loans are ideal should the homeowner wish not to have personal loans officially secured against their property. The most successful applicants for unsecured loans in these cases are people who have equity in their property and no other unsecured loans. These factors above all else will help the homeowner applicant acquire unsecured loans, even if the homeowner has a bad personal credit history.
Loans companies offering unsecured borrowing in general do not limit what the funds from unsecured loans can be used for, so long as the person taking out the personal unsecured loans does not use the unsecured loans funds for illegal purposes.

Share this article:

Debt Stressed?
If you're struggling to pay your debts as well as covering living expenses, we are here to help. Through our national panel of Debt Management specialists, we can help customers with $10k or more in debt by consolidating your existing loans, stopping Debt collectors from contacting you and re-negotiating repayments on your terms!
Caravan Loan Specialists
If you want fast, easy access to a flexible, low-cost loan to get yourself on the road with a new or used caravan, we can make it happen!. Simply complete our short online loan eligibility assessment to see if you qualify ... and you'll also get access to multiple loan offers sourced from our national panel of specialist Caravan finance brokers. No charge, no credit check ... and no obligation.


Finance Articles

Credit Card Secret Guarantee Credit Card Secret Guarantee
Most people use credit cards in some form or another but few truly appreciate one of the special features of credit cards that make using their credit card to insure their purchases. - read more
When should I use a personal loan? When should I use a personal loan?
Unsecured personal loans can really help in a pinch. If your savings are low and your car breaks down, for example, such a loan can patch up your life. Or maybe you're buying a big-ticket item and you need backup money to cover a short-term hole in your bank account. - read more
5 Credit Killers 5 Credit Killers
A good credit score speaks volumes about your financial habits. It's the evidence most creditors need to evaluate your credit worthiness. - read more
Managing Credit Card Debt Managing Credit Card Debt
If your credit card debt is starting to get out of control - or you simply want to know how to avoid potential credit card pitfalls, you are not alone. Managing credit cards is a problem faced by many who are now drowning in an ocean of debt. Here are some simple strategies that may be of help. - read more
Business Loans: Managing interest rate risks Business Loans: Managing interest rate risks
"I want the protection in the current low interest rate environment but I don't want to be locked in for too long a period" - a commonly heard requirement from business borrowers. - read more
Simple Tips On Getting Your Loan Simple Tips On Getting Your Loan
So, you want to get a loan? Here are some simple tips that might help you make more informed decisions about the type of loan you buy, and from whom. - read more

Finance News

Interest rates up another 50 basis points with more hikes to come Interest rates up another 50 basis points with more hikes to come
03 Aug 2022: .

As expected, the Reserve Bank of Australia (RBA) raised interest rates by another 50 basis points this month. The fourth rate hike in as many months, today’s decision takes the cash rate from an emergency low of 0.1% to 1.85%. - read more
Business loans on the rise while mortgage growth remains flat Business loans on the rise while mortgage growth remains flat
02 Jun 2022: .

Australian business loans growth accelerated in April as mortgage growth stayed consistent, with major banks growing at less than the system average according to latest RBA data. - read more
Homebuyers up in the air despite new  government home loan support Homebuyers up in the air despite new government home loan support
29 May 2022: .

The government’s promise of an equity contribution will help the most disadvantaged Australians to get a home loan, but they still won't be able to afford one. - read more
RBA lifts official interest rate RBA lifts official interest rate
03 May 2022: .financialservicesonline.com.au

The Reserve Bank of Australia lifted the official cash rate by 25 basis points at its meeting Today. - read more

Boat Loans
boat loan finance

One simple enquiry form gives you quick, easy access to quotes and product analysis from a selection of Australia`s leading and best known Boat Loans professionals.



Knowledgebase
Personal Loan:
a loan that is granted for personal use, normally unsecured and granted by a lender on the borrower's integrity and capacity to repay


Quick Links: | Boat Loan Finance | Boat Loan Brokers | Boat Loan Calculators | Boat Loan Quote