What is a personal cash loan?

By Louise Chan

November 29 2019
Share

A personal cash loan is a type of secured or unsecured loan that typically have terms ranging from six to 60 months.

There are a variety of such loans available in Australia, but before applying for one to address your financial emergency, make sure that you know what you may sign up for.

Here’s what you need to know about personal cash loans.

Who can get a personal cash loan?

To be eligible for a personal cash loan, you must:

Be at least 18 years old
Be an Australian citizen or permanent resident*
Not be an undischarged bankrupt
Have a regular income (amount varies)
Have an Australian bank account (if money will be paid out directly to your account)

*Some lenders accept loan applications from temporary residents but enforce additional criteria that must be satisfied.

Where to get a personal cash loan?

You may get a personal cash loan from licensed online lenders and through peer-to-peer (P2P) lending marketplaces.

Simply open your web browser and run a search for personal cash loans. You will immediately see a list of different lenders and P2P lending sites that offer personal cash loans.

Some lenders also have physical facilities that you may go to.

How to obtain a personal cash loan?

To secure a personal cash loan, run a search for different lenders that offer this type of loan. Keep your objectives for borrowing in mind as you compare them to ensure that you select an appropriate loan.

You may also contact your shortlisted lender to answer any questions you may have about their loan offer, especially if it’s about loan repayment flexibility, interest rates, fees, terms and conditions.

Once you’ve chosen a loan and made sure that you’re eligible for it, we suggest checking the lender’s license in the ASIC’s Professional Registers before filling out any form.

Once verified, prepare all the necessary documents and fill out the required form, then submit them to the lender.

How to pay back a personal cash loan?

Making repayments for personal cash loans is simple.

Most lenders arrange for a direct debit from the transaction account you provide during your loan application. This process is automatic, so you only need to ensure that you have enough money in your account on the dates that the direct debit is scheduled to happen.

If you prefer a different method to direct debit, there are also lenders that offer different payment methods. We suggest asking the lender about the payment options they offer before applying for a loan so that you won’t have problems with your repayments.

About the author

Louise Chan

Louise is a content producer for Momentum Media’s nestegg who likes keeping up-to-date with all the ways people can work towards financial stability in 2019. She also enjoys turning complex information into easy-to-digest, practical tips to help those who want to achieve financial independence.

About the author

Louise Chan

Louise is a content producer for Momentum Media’s nestegg who likes keeping up-to-date with all the ways people can work towards financial stability in 2019. She also enjoys turning complex information into easy-to-digest, practical tips to help those who want to achieve financial independence.

sections

sections

sections

sections

sections

sections

sections

Borrow