Bad credit loans

Get a second chance at finance with a bad credit loan.

Poor credit? Savvy can help You

Stress less with a selection of bad credit loans tailored to you

Gain approval with bad credit

If you have bad credit, you are not alone. According to credit reporting agency Veda, 600,000 Australians are at-risk for credit default. Defaults sometimes happen due to circumstances out of our control. Bad credit can be a burden applying for car loans or mortgages, but it shouldn’t have to be. Savvy believes all Australians should access affordable credit. Nine out of ten applicants are approved. You get your own specialised consultant to help you through the process from start to finish. We look for the best bad credit (or sub-prime) loans to help you on your way to financial independence.

From cars to homes, We get you

Savvy understands that a new car or home can feel out of reach for many of us with bad credit. If you have bad credit, or have been discharged from a Part IX Debt Agreement (for over 18 months) and are making inroads to correcting your finances, our consultants help to find you the best sub-prime or bad credit car loans or mortgages that suits your circumstances. We can also help you with finding chattel mortgages or hire purchases for business purchases. We find loans from over 25 of Australia’s top lenders, fighting to give you the best deal possible. Bad credit? Trust Savvy.

See how Savvy can help you with your bad credit loan

We use our extensive experience in bad credit car loans to help you gain approval. You get a personalised consultant from start to finish.

Some of your bad credit loans questions answered

Read through our knowledge base to find answers to all your common bad credit car loan questions

What is bad credit?

Bad credit, or poor credit, is a credit report that shows you have defaulted, or not paid loans back in a timely manner. It also shows applications that have been rejected by lenders for the same reason. This gives other lenders pause to approve you for finance, as they see people with bad credit as a higher risk.

What is a sub-prime interest rate?

A sub-prime or non-mainstream interest rate is a higher than average interest rate that takes added risk into account. A typical sub-prime car loan interest rate can range anywhere between 20% p.a.-30% p.a.

Can I apply for a loan with bad credit?

Yes. Savvy welcomes bad credit loan customers to apply. We help many Australians with bad credit gain approval for competitive bad credit loans.

I have been declared bankrupt, can I apply?

You may only apply for credit products at least 18 months after you have been discharged from a bankruptcy or a Part IX Debt Agreement.

Can I refinance a loan with bad credit?

Yes. In many cases, such as bad credit home loans, you can refinance your loan once you have accrued some equity in the property. If you have made efforts to correct your credit, you may be able to refinance your loan with a lower interest rate.

Can I gain approval even with unpaid defaults?

Yes – however be prepared to pay the sub-prime rates. Be sure to check your credit history for mistakes.

Can I get pre-approved for finance with bad credit?

Yes – you can use pre-approval to set a hard-and-fast budget so you don’t spend over your limit. This can also help give you an upper hand in negotiations.

Does having bad credit mean slower approvals?

No. Approvals are granted in the same time-frame as mainstream loans.

Will I have bad credit forever?

No – but that is up to you. If you pay your loan on time and in full each month, it will help your credit score. It can take several years for your credit history to reflect the changes.

Can a business apply for bad credit loans?

Yes – our consultants have helped dozens of business customers find bad credit loans of all types. Ask your consultant for a range of options.

Your helpful guides to bad credit loans

Need more insight into bad credit loans? Read our informative guides

100% finance for bad credit business loans?

If you run a business and you have bad credit (either personal or business credit) this can limit your options for a consumer car loan. Business customers with bad credit can access business options such as a chattel mortgage or hire purchase. They are similar loans, but are secured against the value of your vehicle. The upside is you can claim tax deductions and depreciation. You can also finance more than the value of the vehicle, making your purchase revenue neutral. However, the National Consumer Credit Protection Act does not regulate business car loans. So you must beware any pitfalls of taking out loans you may not be prepared to pay back.

How evidence can help you save money?

When you are looking for a bad credit loan, whether it’s a car loan, personal loan or home loan, you should always gather up as much evidence to support your application. More evidence of good banking habits means you look like a lower risk for lenders, which gives them incentive to say yes, or even offer lower interest rates to you. You should always have recent payslips, financial transactions, residential records, letters of recommendation, and other evidence of paying down debts to give to your broker or lender. It could mean a lot of difference to your bottom line.

Adding extras to bad credit mortgages

People with bad credit often believe – by mistake – that they are not entitled to extras on their home loan to help them save money. It’s unfortunate, but bad credit customers will pay more due to lenders seeing you as a higher risk. However, not every bad credit home loan is made the same. You can still find bad credit home loans with offset accounts to reduce interest payments, redraw facilities, lines of credit and your choice of variable or fixed rates over two, three, or five year terms. You may have higher interest rates, but you need not settle for less.

Why a credit report matters?

In the information age, anything we can do to save time, we use. This goes into the financial services sector and consumer lending. A credit report is a file that logs all the times a bank, lender, telco, utility or other service that provides credit has approved you for a loan. It also shows any defaults on that record. This is handy shorthand to tell lenders to lend to you, or not. More defaults mean a higher risk, which makes lenders hesitant to approve you. Mistakes can appear at times, and it’s your responsibility to fix them. You should see your own report, as many lenders use this as a basis for their decision to approve your loan.