Centrelink Loans For Single Parents

Discover Centrelink loans for single parents with fixed and capped repayment fees and online applications 

Apply in less than 10 minutes.

Last updated on May 4th, 2022 at 03:08 pm by Bill Tsouvalas

Personal loans for people on Centrelink and single parents

Centrelink loans for single parents the Savvy way

Parenting throws up many unsuspected surprises, both welcome and not so welcome – and parenting on your own can make things twice as unpredictable! Life doesn’t always stick to the rule book, and when you’re looking after a child alone, that can make you even more vulnerable to its ups and downs. The good news is that receiving benefits doesn’t exclude you from getting access to finance when you need that. You can apply quickly online for Centrelink loans for single parents and even receive funds the same day in some cases.

Fast applications

At Savvy, if you’re currently dealing with a financial emergency, we understand you’ll have a lot on your hands, and that’s where we can help. When you’re in a hurry, two things are essential – applications have to be fast and easy to navigate, and you need to know the lender is reputable, charging fair fees and offering a regulated product. That’s why thousands of Australians trust Savvy to source cost-effective Centrelink loans each year. We only deal with accredited lenders, and you can apply for a loan from start to finish via our website.

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Why choose Savvy for your Centrelink loan?

Step-by-Step Guide to Centrelink Loans for Single Parents

How to qualify for Centrelink loans for single parents

You’ll need to be eighteen or over and be able to demonstrate regular income from Centrelink for at least the past three months. You can do that by granting read-only access to your bank statements via this website. You’ll also have to be a resident or citizen of Australia, so we’ll need you to supply a driving licence, a government-issued ID card, or a passport. You won’t get approved if you have too many other cash loans currently in progress.

Work out your budget and how much you need to borrow

Make sure you understand repayments before you commit, and don’t borrow more than you need to tackle an unexpected expense or a one-off purchase. Equally as important is not borrowing less than you need. You can only take out so many loans at one time, and making too many applications in a short period will hurt your credit score. Applications are rapid, so take a little while to sit down and work out what’s what before you start.

Make a fast, simple online application when you’re ready

You can save and return to an application at any time during the process, so especially if it’s an emergency, as soon as you’ve worked out your budget and how much you need, get the ball rolling. All that entails is a quick, straightforward online form, and you upload your ID and bank statements via the web too. There isn’t long to wait – the online lender can quickly assess your application, which means they can also often have it approved it within minutes or hours.

Getting approved for a Centrelink loan for single parents

Once your application is approved by the lender, you’re almost there. At this point, the loan provider will put together all the specifics about your borrowing, the length of the term, and any additional fees in a loan agreement document. They’ll email that you, and you should review the agreement carefully. Check that you understand your obligations and the total cost before you make a final decision about the loan.

Sign the Agreement, and then sit back and wait for your funds!

When you’re ready to go ahead, just sign the agreement digitally and return it without delay. After that, the lender will make sure everything is in order, and then they’ll release funds to the bank account you nominated on your application form. It’s as simple as that! Some lenders get funds to you the same day, but that’ll depend on your bank and things like the time of day when you apply.

Still got questions about your Centrelink loan?

How do loan fees work?

Smaller cash loans are a lot easier to figure out than larger ones, like personal loans that have an annual percentage rate (APR) and other fees. Savvy is a fully accredited broker, so the cash loan fees available through the site are capped by the government. For loans under $2,001, you can’t be charged more than 20% in establishment fees (that’s basically a set-up charge). The fee for each repayment you make is capped at 4% – so, for instance, on a repayment of $100 per month, the most you can get charged $4, so you’d pay $104.

How do I repay a cash loan?

Your lender will very likely tailor repayments to fit in around how you get your income. So, let’s say you get funds every Tuesday; the loan provider might arrange for repayments to leave your account by direct debit on a Wednesday. Schedules can be set to fortnightly, weekly, or even monthly.

How long do I get to repay Centrelink loans for single parents?

For loans between $300 and $2,000, you can take twelve months to repay or pay the money back within as short a time as sixteen days. For loans between $2,001 and $5,000, you can opt to take up to two years to pay the loan back in full.

What if my situation changes? Are there any early repayment fees?

That’s one of the best things about a cash loan structure. You can repay more than the arranged repayments or all of the loan at any time without incurring any extra fees. If you have a windfall, or your employment situation changes, that’s great, and you can get straight back on an even keel.

Will the lender check my credit score?

Yes, for loans to be legal in Australia, providers absolutely must check your credit rating before they approve your application – and that’s all in the best interests of consumers anyway. With cash loans, lenders mainly look at your credit record to check your existing borrowing – they don’t base decisions on past credit problems, so most lenders will consider bad credit cash loan applications.

What can I use a cash loan to pay for?

There isn’t really any limit to what you can use a cash loan to buy. They’re designed to provide fast and convenient access to smaller amounts of cash, so they’re great for when back-to-school time comes around again, or you have to pay for unexpected dentist or doctor fees, or even when you get those dreaded Summer electricity bills. You can use a cash loan for a rental bond, or if you’re looking to get out of the city or visit grandparents, you can pay for a holiday with a cash loan.  Some parents use cash loans to spread the cost of Christmas gifts across the whole year. It just depends on what you need.