Car Loans For Single Parents

Yes – if you can supply the last two years’ worth of tax returns, you can still apply for a standard car loan as a self-employed single parent through your side business, as well as with Centrelink income. However, many may find themselves in a position where they’re unable to produce this, particularly if they’ve been running their operation for less than two years. For parents in these positions, you can apply for a low doc car loan, which will require you to produce documents such as BAS documents, bank and profit and loss statements, your ABN and an income declaration.

Yes – but only alongside your existing family payments. JobSeeker isn’t considered a stable stream of income by lenders on its own, as you can easily become ineligible for further payments should you find employment. Similarly, Youth Allowance, Austudy and Abstudy aren’t accepted forms of income.

There are several ways you can look to reduce the cost of your repayments. Firstly, cutting down on interest and fees will go a long way towards this, as mentioned above. Additionally, paying a deposit will cut down on your amount owing and reduce your instalments further. Finally, electing to repay your loan over a longer term will cut down on your monthly financial commitment, but will increase its overall cost.

Yes – we can arrange financing for casual workers, provided you’re earning a relatively stable income and meet our lenders’ minimum requirements relating to annual earnings.

Yes – if you’re moving from full-time employment to another full-time job, we partner with lenders who can approve applications as soon as you start at your new workplace. Part-time employees will need to have been in the same job for at least three months, while casual workers will require a minimum of six months of consistent income from the same job. All of this is related to job stability and the potential for your income stream to dry up: if you’ve completed your probationary period, or have stayed in the position for a sustained period, it’s less likely that this will happen as a general rule.

There are a few things single parents can do to increase their credit scores. Firstly, paying your bills on time is one easy way for you to do so, as this’ll show up as a positive mark on your file each time you do so. Similarly, paying off any existing debts promptly and to schedule (or in full) will go a long way towards increasing your rating, while lowering credit card limits or getting rid of those which you don’t need are also effective.

No – your car loan can only be used to cover the cost of your car and any on-road expenses such as stamp duty, rego, car insurance and extended warranties. If you want to use loan funds to cover other expenses in your life in addition to the car, you can take out a secured personal loan (with your car acting as security if acceptable) or unsecured personal loan to consolidate debts, fund renovations or pay for any other personal costs.