Christmas Loans

It’s a time for cheer and a time of great expense. Find out how Christmas loans can help spread the cost.

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Savvy Editorial Team
Savvy's content writing team are professionals with a wide and diverse range of industry experience and topic knowledge. We write across a broad spectrum of finance-related topics to provide our readers with informative resources to help them learn more about a certain area or enable them to decide on which product is best for their needs with careful comparison. Meet the team behind the operation here. Visit our authors page to meet Savvy's expert writing team, committed to delivering informative and engaging content to help you make informed financial decisions.
Our authors
, updated on September 12th, 2023       

Fact checked

At Savvy, we are committed to providing accurate information. Our content undergoes a rigorous process of fact-checking before it is published. Learn more about our editorial policy.

$2100
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$500
$50,000


Paid in 60 mins if approved*
Written by 
Savvy Editorial Team
Savvy's content writing team are professionals with a wide and diverse range of industry experience and topic knowledge. We write across a broad spectrum of finance-related topics to provide our readers with informative resources to help them learn more about a certain area or enable them to decide on which product is best for their needs with careful comparison. Meet the team behind the operation here. Visit our authors page to meet Savvy's expert writing team, committed to delivering informative and engaging content to help you make informed financial decisions.
Our authors
, updated on September 12th, 2023       

Fact checked

At Savvy, we are committed to providing accurate information. Our content undergoes a rigorous process of fact-checking before it is published. Learn more about our editorial policy.

It’s a time for cheer and a time of great expense. Find out how Christmas loans can help spread the cost with Savvy.

The eating, the travel, the gifts – the money. Christmas is a lovely time of the year – but, it brings financial pressures. Many people spend several times more in December than any other month in the calendar. Paying for the festive season doesn’t have to dampen your Christmas spirits. It’s possible to spread the cost with one of our twelve-month Christmas loans via Savvy.

Make paying for Christmas affordable

Christmas should be all about family and friends. It’s a time to kick back and be together. For some of us, it’s the one time in the year we get significant time away from work to travel. For many, however, Christmas gets stressful. Depending on your family situation, there can be an incredible level of financial pressure approaching the season of goodwill. There are gifts to buy, entertaining, even relatives from out of town – if you don’t hop on a plane and go to them. Spreading the cost of Christmas makes sense – and makes it far more enjoyable. That’s where a Christmas loan comes in.

Borrow between $2,050 and $5,000 over a year

Many specialist lenders offer small and medium amount credit contract loans. These are products with the option of far shorter repayment periods than the traditional personal loans offered by banks. Because these loans are so easy to access, responsible lending rules strictly apply. Capped fees make them affordable, and lenders get to make quick decisions on applications. For all loans between $2,050, establishment fees max out at $400, while monthly fees are also capped, unable to exceed 48% of your loan amount over 12 months. You can pay back your loan over any period between 16 days and two years.

Am I eligible to get a Christmas loan?

Christmas loan applications are assessed on your ability to repay, not by your credit history or income type. That means that you’ve got a high chance of qualifying – no matter your circumstances. In terms of your finances, you’ll get approved if you:

  • Can comfortably afford to repay the loan
  • Haven’t taken out too many loans recently
  • Are not in default of an existing loan, and not bankrupt
  • Don’t intend to use the loan to cover day-to-day expenses.

In order to have basic eligibility for a Christmas loan, you’ll need to be an Australian resident or citizen. You must also be at least eighteen years of age, and able to demonstrate some regular form of income.

Can I use my loan to pay for all my different Christmas expenses?

It’s no secret that Christmas can get expensive – especially if you come from a large family – or have a few kids. There aren’t just gifts to buy; there’s the whole package. The food is lavish, and we tend to go out for drinks and Christmas work parties. Lots of us travel to see relatives or take a holiday too – which just adds to the overall cost. Unsecured Christmas loans are a perfect fit when it comes to spreading the total cost of the festive season. You’re free to use the funds to pay for multiple purchases.

Credit cards versus shorter-term loans

Credit cards can be handy to have – however, loading them up to pay for Christmas can get problematic. The advantage of a shorter-term, fixed cost loan is that you set the repayments right at the start. That gives you a finite period to pay off Christmas costs. In essence, you make the rules, pay for the holidays in instalments, and won’t spend more than you can afford. With a credit card, it’s easier to overspend – the sky isn’t the limit, but your credit limit is. You’ll also need to be disciplined and regularly pay more than the minimum monthly repayment. Otherwise, it can work out to be a costly debt – and carry over into the following year too.

If you want a convenient, affordable method to pay for Christmas, before next Christmas arrives – a loan might be your best bet. Here’s an example:

  • Maree has six children, and she borrows $2,500 to help spread the cost of Christmas gifts. She applies for a loan in December and gets her cash the same day.
  • She decides to pay back the loan over 12 months – giving her time to prepare for the following Christmas.
  • Maree pays a maximum $400 establishment fee. Her monthly repayments will be $341.67.
  • Over 12 months, Maree will pay back a maximum of $4,100.

What will I need to apply, and when can I get my money?

Applying for a Christmas loan is fast and convenient. Most lenders are based online, and the process is paperless. Turnaround times are lightning fast too. Loan providers will ask you for several things during your application:

  • Proof of ID – such as a driver’s licence or passport
  • Proof of address – such as a utility bill
  • 90 days worth of bank statements
  • Payslips, if you’re employed
  • Centrelink Income Statement – if all or part of your income comes via benefits
  • Some loan providers may ask for your Medicare card

You’ll need to fill out the lender’s online application form too. Requirements vary from provider to provider, but they’ll ask you about your employment and marital status. Lenders will also look at your monthly expenses and earnings. Once you’ve submitted all of your documentation and filled out the online form, your lender will assess the application. In some cases, you may have a loan officer contact you to obtain further information. There are various reasons a lender might do this, including:

  • If you have several forms of income on your bank statement, and you weren’t clear about it in your application
  • If there are debits on your account that you haven’t specified
  • If you’ve failed to supply a Centrelink Income Statement, and you receive benefits

In order to speed up your application, it’s a good idea to assemble more documents than you think you might need. Sit down before you apply and work out your exact disposable income too. That’s just the difference between what you earn and spend every month. Once the process is complete, lenders make decisions quickly. Where possible, you can expect to receive your funds on the same day.

Why apply for a small loan with Savvy?

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Disclaimer:

The information on this website is of general nature and does not take into consideration your objectives, financial situation or needs.

For loans between $2,050 and $5,000, the APR is between 21.24% (minimum) and 48% (maximum) per annum. Comparison rate of 65.4962%. Minimum term is 16 days and maximum term is 24 months. The cost of the loan is a $400 establishment fee and monthly interest charged on the amount borrowed. For example, a loan of $3,000 over 3 months with an APR of 48%, (comparison rate of 65.4962%), will have an establishment fee of $400, monthly repayments of $1,225.20. Total repayments of $3,675.60 and total interest payment of $275.60.

Warning: A comparison rate indicates the true cost of a loan. Comparison rates are true only for the examples provided and may not include all fees and charges. Different terms, fees or loan amounts might result in a different comparison rate.