Flexible Personal Loans

Name: Flexible Personal Loans
Creator: Savvy
Published: 2021-09-15T13:55:17+09:30

Home > Personal Loans > Flexible Personal Loans

It won't affect your credit score.

Written by , updated on October 4th, 2023

The features and benefits of a flexible personal loan

Borrow what you need

Loan amounts are wide-ranging, with sums starting at just $2,000 and stretching all the way up to $75,000, which makes them versatile for many purposes.

Repay over one to seven years

You also get to choose whether to save on repayments by stretching it out up to seven years or cut down on overall interest and fees by opting for as few as one.

Access competitive rates

With fixed fees and no interest rates, borrowers carry a degree of certainty regarding their repayments and can budget effectively around them

100% online applications

On top of your ability to choose the bulk of your loan’s terms, you can do so at affordable rates starting from just 5.35% p.a. (6.14% p.a. comparison)

Choice of fixed or variable interest

We’re partnered with a selection of lenders that enable us to display offers for both fixed and variable interest rates, giving you more choice on your loan.

Set your own payment schedule

Most lenders will also enable you to have a say in the frequency at which you contribute to your personal loan: either weekly, fortnightly or monthly payments.

Pay your loan off early

You have the freedom to not stick to a rigid pay schedule, though, and can (in most cases) pay your loan in full before its end date and not incur any fees for doing so.

Redraw facilities

Some personal loans also come with redraw facilities that enable you to withdraw extra payments made towards your loan, bringing even more flexibility to the loan.

Types of personal loan

Unsecured personal loans

With an unsecured personal loan, you can potentially borrow as much as $75,000 without the need to attach any valuable assets, such as your car, as security. These loans are the most widely available and often the quickest, with same-day approval possible.

Secured personal loans

Secured personal loans, on the other hand, make use of collateral. This lowers your risk profile in the eyes of a lender, potentially lowering your interest rate and expanding your borrowing power beyond what you may be able to get through an unsecured loan.

Variable rate personal loans

Variable interest rates remain open to fluctuation during your term. This means you can benefit from decreasing rates and save on your loan if the market heads in that direction, although you’ll also pay more if rates start rising.

Fixed rate personal loans

Fixed interest rates are locked at the beginning of your loan and remain constant throughout your repayments. This acts as a valuable protection against interest rate increases, as your loan will be unaffected, but you’ll miss out on potential drops as well.

Debt consolidation loans

If you’re paying off multiple debts at the moment, particularly those with high interest (such as credit card debts), consolidating them into one payment can not only make them more convenient to manage but also potentially save you money overall.

Travel loans

Looking to take off on a holiday with your family but want to pay it off at your own speed? Travelling can be expensive, so you can distribute the cost of your next trip over a period you’re more comfortable with by taking out a personal loan to pay for it.

Wedding loans

There are so many costs that go into making your dream wedding a reality, from venue hire to catering to dresses and suits and so much more. By taking out a personal loan, you can start planning the big day you want, even if you can’t pay for it upfront.

Renovation loans

Home improvements are desirable for a range of homeowners to help keep their living space fresh and interesting, not to mention increase its value. You can get past the financial hit of renovations with a personal loan paid in instalments.

Self-employed loans

Personal loans aren’t limited to PAYG employees, though. If you’re running your own business, you can still be approved for financing by submitting tax returns and other alternative documents instead of payslips and utilise your funds however you wish.

Student & education loans

There’s a variety of expenses which come with being a student, ranging from the cost of your courses, textbooks and computer to your accommodation. Taking out a personal loan can make these costs more manageable by spacing them out.

Green loans

Some lenders offer green personal loans, which are designed to be used for energy-efficient appliances and products such as solar panel and air conditioning installation in your home. You can qualify for lower interest rates and fees with this loan.

Why compare personal loans through Savvy?

100% free

There's no need to worry about forking out to compare offers. Our service is free, so you can come back whenever you like.

Paperless applications

You won't need to worry about sifting through documents and visiting the post office, as they can all be submitted online.

Reputable lending partners

We've partnered with personal loan companies you can trust to ensure your comparison is a high-quality one.

What you could use your personal loan for

Consolidating existing debts

Renovate or improve your home

Purchase a car or other vehicle

Fund travel arrangements

Cover the cost of a wedding

Consolidating existing debts

Renovate or improve your home

Purchase a car or other vehicle

Fund travel arrangements

Cover the cost of a wedding

Frequently asked personal loan questions

How quickly will my personal loan be approved?

With Savvy, your personal loan can be approved, processed and have funds sent through to you in as little as 24 hours.

Who is eligible to apply for a flexible personal loan?

While eligibility specifics may differ from lender to lender, the criteria you’ll be required to meet will include the following:

Must be at least 18 years old
Must be an Australian citizen or permanent resident
Must be earning at least $20,000 to $26,000 from stable income sources
No bankruptcies or defaults on your credit file

Can I apply for a flexible personal loan with bad credit?

Yes – personal loans are available to bad credit borrowers, although they aren’t as flexible as those for borrowers with good credit. This is because options are more limited, giving you fewer products and lenders to choose from, and borrowing is capped at around $10,000 for unsecured loans. Nevertheless, they can serve as a great financial solution for borrowers in positions like these.

Which factors can affect my interest rate?

Your interest rate is dependant on several different factors, which include:

Your credit rating – higher scores attract lower rates
Your past borrowing – can reduce your rate if you’ve paid off a similar loan in the past
Your job stability and income – safer jobs and higher income earners are usually rewarded with lower rates
Which rate you choose – fixed interest starts at a lower base rate than variable
Your loan security – attaching collateral will reduce your rate substantially

What fees will I need to pay?

The fees that you’re likely to pay on your personal loan include:

Application fee: $0 to $595
Ongoing fees: $0 to $10
Early repayment fee: $0 to $600 or over (depending on time left on loan)
Late payment fee: $15 to $35

As you can see, though, many of these fees are able to be avoided. Early repayment fees, for instance, are uncommon on personal loans, while many of our partnered lenders also don’t charge ongoing fees. You can compare these here with Savvy.

Am I able to submit my application with another person?

Yes – submitting a joint application can be a great way to maximise your chances of personal loan approval, as well as increase your borrowing power and lower your interest rate. This is usually done with a partner but can also be taken out with a family member or close friend.

You can also arrange for a close relation to act as a guarantor on your loan, which will have the same effect (if not greater). Under this example, your guarantor agrees to take on the loan debt if you become unable to do so. These are limited to those with comfortable or strong financial positions, though.