No Credit Check Loans: Compare Options for Aussies with Bad Credit
If you have bad credit, no worries! We are here to help compare options for Aussies with bad credit. There are many different types of loans or financial assistance available for Australians that will work with your situation and loan qualifications -including loans that do not require a credit check.
No Credit Check Loans
There are situations or emergencies that pop up the require immediate money. For those with no credit or bad credit, accessing quick cash can be challenging. Fortunately, if you have a job, there are loans that require no credit check and can be used as an option. There is often a higher interest rate associated with these types of loans but sometimes the need for immediate cash outweighs this cost.
Let’s look at some options to help those with bad or no credit find a loan they qualify for.
Why Choose Us For No Credit Check Loans?
For those that need money fast, a no credit check loan provides lots of conveniences. They can be done online, are fast and bad credit applications are accepted. Other reasons to consider a no credit check loan include:
-Easy application process (online)
-Fast approval with money deposited in as little as one business day or same day.
-Bad credit or no credit are accepted so you don’t need perfect credit to get approved.
No matter the reason, finding a loan without having to go through a lengthy application and document submission process is often a welcome relief.
How Do I Qualify For A No Credit Check Loan?
Qualifying for a loan is straightforward and requires no paperwork. Simply complete an online form and submit. Some lenders may require a few pieces of information such as your ID, bank details and proof of income to give you a quote but they don’t need any documentation or paperwork like traditional loans do.
It is important to know that on some occasions, a lender may request additional documentation for verification purposes.
Once this information is confirmed, you are provided with the loan amount and terms. If you are happy with what is being provided, the money will be deposited in your account and you can access it straightaway.
Who is Eligible to Apply For No Credit Check Loans?
Requirements for eligibility will vary from lender to lender but the main criteria for most include:
-Applicants must be over 18 years of age.
-Have an active job or income source (at least 3 months of history).
-Be an Australian citizen
-Bank account & contact details (home address & contact number)
What Can I Use No Credit Check Loans For?
These loans are unsecured, meaning you can use the cash for anything you like. It can be used for a wide range of purposes, including:
-Emergency expenses such as medical bills or car repairs.
-Moving and relocation costs due to a job loss or income reduction.
-Paying off credit card debt and consolidating other loans (debt consolidation).
-Buying items for the home such as furniture or a new car.
-Buying appliances such as refrigerators, washing machines, a tv, computer and more.
No matter how you choose to use your loan, there are options available that can help those with bad credit get the money they need fast without having to go through extensive paperwork or long application processes like traditional loans.
Bad Credit No Credit Check Loans Options
The different type of no credit check loans or finance options include:
- Payday loans: These are straightforward loans that range between $500 – $5,000. Less than perfect credit is ok with proof of income being the main approval criteria along with showing the ability to afford the loan.
- Cash advance : This loan option is similar to a payday loan or short-term lending and has similar approval requirements.
- Non-profit finance: This includes small living related loans for those struggling with general living expenses or emergencies. Unlike other options they have a low interest rate but do have a stricter approval process. Examples of programs include NILS and StepUp.
- Advanced Payments: Centrelink offers advanced payments to those who are collecting benefits. This essentially allows you to access a portion of future payments for immediate needs. Review more on loans for people on Centrelink here.
Are No Credit Check Loans Safe?
With any type of finance it is important to check their credentials and financial licencing. Looking at lender reviews can also be beneficial. There are a number of rules and regulations that lenders have to follow so it is important they comply with these.
There are protections in place should you end up having a bad experience, these include:
-The National Credit Code. A full list of protections can be found here: nccr.gov.au
-Australian Financial Complaints Authority (AFCA) – a free dispute resolution body for all Australians with finance and credit related complaints against financial service providers, including lenders such as no credit check loans companies . For more information visit afca.org.au
-Australian Securities and Investments Commission (ASIC) – ASIC is a government body that enforces regulation of companies involved in the offering of financial services, products or advice within Australia to protect consumers as well as the integrity of the industry . For more information please go here: asic.gov.au/
What Are The Costs And Fees With No Credit Check Loans
Interest rates and fees will differ from lender to lender and based on borrowing amount and term. However, expects the following types of fees:
-Establishment fee which is typically 20% of the loan amount
-Account fee which is a monthly fee that is normally around 4% of the initial amount
-Penalty fees are also used by most lenders should you miss a repayment.
Always be sure to review the fine print of terms to understand exactly what you are agreeing to.
Reasons You May Have A Bad Credit Rating
There are many reasons a person can have a poor credit rating. Here are common reasons people end up with bad credit.
-Late or missed payments on general bills (rent/mortgage, utility bills, mobile phone, paid tv, etc)
-Finance defaults on credit cards, personal loans, car loans or insurances.
-Inability to keep up with minimum repayments as the result of an unexpected life event such as loss of job, illness.
-Applying for several loans in a short period of time might harm your credit score. Every time you apply for a loan, your credit file is checked and hard inquiries are placed on it, which future lenders will see.
No matter your current situation there are options available for those Australians with bad credit who are in need of a short-term loan.
How Can I Raise My Credit Score?
Fortunately, there are methods to repair poor credit history. While it might take time for black marks to disappear from your credit report, there are other options to help improve your credit score. The below solutions are the most common ways to improve credit scores.
-Make all payments on time
-Keep credit limit low to reduce overall debt load.
-Close out accounts that are no longer being used or have a zero balance, this will also decrease your overall debt loads.
-Stop making credit enquiries
-Use a credit repair company to audit your file and see if they can find any marks that they may be able to have removed for you.
By following these simple steps you can repair your bad credit score and improve chances of getting approved for future
Is there a guarantee on approval for a no credit check loan?
With all finance there is an approval process with no credit check loans having the most flexible criteria.
However, there are no guarantees to be approved. Whist bad credit loans are the most flexible in the market, they are still subject to assessment by human operator and lender’s credit policy. Review the eligibility criteria section to gain a stronger understanding on your chances of approval.
What if I am unable to repay my no credit check loan?
If you do not comply with the conditions of your loan agreement, there may be extra costs and penalties, such as dishonoured payment fees and other default fees outlined in your contract. In the case of a default, the lender may notify credit reporting agencies by way of a debt on your credit report if you fall behind in payments. All lenders should always give you advanced notice of these actions.
If you default on a bad credit loan, most lenders will try to come to an agreement on repayment in advance of going to court. This could include creating a new repayment plan that works for both parties.