Christmas Loans for Unemployed

Unemployed but need a loan for Christmas? Apply today.

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.

$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.

Christmas can be the most wonderful time of the year, with plenty of gifts, food, and cheer to go around. However, the costs can be a burden if you’re one of the almost 500,000 Australians who are currently unemployed. If you’re between jobs, though, Savvy can help you get a Christmas loan to take the stress out of seasonal spending.

We partner with flexible lenders to find you a loan best suited to your financial circumstances. Get plenty of choice over your repayments, term and loan amount and make your Christmas a merry one by applying with Savvy today.

How do I get a Christmas loan if I’m unemployed?

You can get a loan to cover the cost of Christmas-related expenses if you’re unemployed provided you’re earning a form of fixed income. You’ll also need to meet your lender’s eligibility requirements and show you can afford the repayments on a loan between $2,050 and $5,000.

Most lenders in Australia will let you factor several forms of income towards your loan if you’re unemployed. These can include income from fixed Centrelink benefits. Eligible Centrelink benefits include:

  • Aged pension
  • Carer payment
  • Child care benefit
  • Disability support pension
  • Family Tax Benefit Part A or B
  • Mobility allowance
  • Single and partnered parenting payments
  • Veterans’ pension

JobSeeker can be factored in if you receive it alongside a Family Tax Benefit or use it as a low-income supplement. Youth Allowance, ABSTUDY and Austudy can’t be factored towards your loan, nor can JobSeeker on its own.

Lenders have a set of eligibility criteria which you’ll be required to meet before starting your application. While these may vary slightly, you’ll generally need to be:

  • Over 18 years old
  • A permanent Australian resident
  • Earning a steady income for the past three months
  • Able to provide a working mobile number and email
  • Able to access 90 days’ worth of internet banking statements

Once you’ve ticked all the boxes, you can apply. Lenders will ask for some basic personal details (age, residential and employment status and income) as part of this initial application. If you receive a positive instant outcome, your lender will run formal checks of your credit and online banking statements to make sure you earn enough to repay your loan.

Don’t fret too much about a credit check if you have bad credit, though. Even a very bad credit score is unlikely to significantly impact your chances of approval, as lenders tend to look at your broader borrowing history and your ability to repay your loan in the here and now.

How long can I take to repay my Christmas loan?

Depending on how much money you borrow with a fast cash loan in Australia, you can take up to two years to pay it back. However, if you wish to have your loan paid off quickly, you can opt for a loan term as short as 16 days.

The longer you choose to take to repay your instant cash payday loan, the less you’ll pay in regular repayments. However, while choosing a short term will mean paying more on your loan each pay period, you’ll save money on your monthly fees. Loans come with two types of fees:

  1. Establishment fee: one-off charge of up to $400, built into your repayments.
  2. Monthly fees: charged on an ongoing basis with each repayment, capped at no more than 48% of your loan amount each year.

For example, if you reduced the term on a $2,500 loan by four months, you’d save about $400 in monthly fees. The added bonus of repaying these types of loans early is that payday lenders don’t charge early repayment of exit fees when you wrap up your finance sooner than scheduled, so there won’t be any disincentive for you to pay it out sooner.

What can I use my Christmas loan for?

You can use one Christmas loan to cover multiple costs, such as presents, food, travel or even decorations for your home. However, you can also use your payday loan cash for a range of non-Christmas-related expenses.

When you choose how much you want to borrow, you get the choice of a few spending options. These include:

  • General living expenses
  • Child-related costs
  • Medical or veterinary bills
  • Repairs to your home or general maintenance
  • Vehicle-related expenses
  • New furniture or white goods
  • Travel-related expenses
  • Debt consolidation

You can also cover costs associated with other seasonal holidays with loans for Easter and Valentine’s Day. The only things you won’t be able to spend your loan on are gambling or repaying similar debt.

Why apply for a small loan with Savvy?

Got a Christmas loan question? We’ve got the answers

How long will it take to receive my Christmas loan funds?

In most cases, your Christmas loan funds should hit your bank account on the same day you apply. However, this will depend on the timing of your application and your bank’s payment transfer speed. Once your lender runs a few checks and offers you formal approval, they’ll get you to sign a digital copy of your loan contract. Your lender should then be able to release your funds as soon as you return it. Applying earlier in the day and week will maximise your chances of avoiding your application running overnight or into a weekend while also being made within your bank’s business hours for processing.

Can I apply for a Xmas loan 24/7?

Yes – you can apply for a Christmas loan 24/7 and receive an instant outcome on your application. However, lenders won’t be able to offer formal approval or funding outside of business hours, meaning you can’t have your loan processed in the middle of the night. If you’re chasing a loan on a weekend, Savvy can help match you to a lender which offers approval and funding on a Saturday or Sunday.

I have unpaid defaults. Can I still borrow money for Christmas?

It can be tough to get a loan if you have unpaid defaults on your credit file as most lenders are unlikely to approve you. However, there may be some lenders on the market who can help you get a loan.

Should I get a cash advance from Centrelink instead of a Christmas loan?

If you receive a fixed Centrelink benefit, you may be eligible to get a one-off advance payment of up to $1,000. It’s worth weighing up whether you can afford to lose a portion of your future government benefits by taking out an advance payment, as this will be taken out of payments over the next six months. Advance payments are only approved if you can prove you have enough money left over for general expenses. If you need more than this amount, though, a fast and east online loan is likely to be a more suitable option for you.

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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.