In Australia, there are many types of personal loans provided by banks, credit unions or other financial institutions. Among those loans cannot help but mention payday loans. What are payday loans in Australia and what conditions customers need to meet to apply for these loans?
In the previous post, Loansaustralia.net introduces people to some of the necessary information that is useful for getting the Macquarie Credit Union personal loans, to get more information people can read the article Macquarie Credit Union personal loans are offered with the best interest. Now, let find knowledge about payday loans in the post today.
PAYDAY LOANS AUSTRALIA
Just like a lot of article posts about the personal loans in Australia, as well as each type of loans such as Gateway Bank personal loans, People’s Choice Credit Union personal loans, Macquarie Credit Union personal loans…. this post about the payday loans also includes some main parts. They are:
1. What are the payday loans in Australia?
Payday loan in Australia is one types of personal loans designed by lenders such as banks, credit institution to be taken out over a short period of time. The lenders will extend high-interest credit based on your income and credit profile. Payday loans are arranged over days, so customers can use as a stop gap until your wages arrive.
Some requirements to apply for a payday loan in Australia:
- Customers need to be a US citizen or permanent resident
- Customers need to be at least 18 years of age
- Customers need to have a steady income and regular source of income
- Customers need to provide full names
- Customers need to have an active bank account
Some information customers need to provide to the lenders:
- The valid form of ID of customers
- The contact details of customers
- The proof of income of customers
- The bank account details of customers
2. Two ways to apply for a payday loan in Australia
2.1. Apply for a payday loan in credit unions or other lenders
There are a lot of lenders willing to share with different payday loans based on customers’ credit and whether the loan is secured (no collateral).
Note: Customers should NOT borrow from lenders who don’t thoroughly check the repayment ability, credit history, and other financial circumstances.
The secured loan can be a viable option for customers who are looking a payday loan in Australia. With this loan, customers receive more favorable terms: a higher loan amount and a lower rate. However, customers must be absolutely sure you can refund the loan on time or you could lose whatever collateral you’ve agreed to use.
2.1. Apply for payday loans online
- Step 1: Visit some website of payday lenders and choose a suitable lender
- Step 2: Fill out the online application and send to the lender, pledge to pay the borrowed amount by a certain date.
- Step 3: The lender deposits the money in the bank account of customers or gives them checks for the amount
- Step 4: The lender holds the application for the term in two weeks of the loan.
3. The interest rate and fees of payday loans
- The average payment loan is $375.
- The lowest financial fee ($15/$100 borrowed)
- With the amount loan is $ 430.25, the customer owes a financial fee of $64.69
- If the customer chooses to roll over online payment loans, the new amount will be $ 495.94. That’s the amount borrowed $ 430.25, plus the financial fee of $ 64.69 = $ 495.94.
- That’s how a $ 375 loan becomes almost $ 500 in a month.
- Interest rate is usually between 15% and 20% but may be higher depending on the lender.
This post is about the payday loan in Australia. We provide this information to offer you some of the necessary information that is useful for getting payday loans from any lenders in Australia. Also if you are looking for information about the personal loans from Gateway Bank, please refer to the Gateway Bank personal loans link we just provided in the previous article.
Anita (Team Content) – Payday loans in Australia