Read about how to check whether your small loan company is a legitimate one right here with Savvy’s handy guide.
Fact checked
Fact checked
Borrowing money in Australia should be a straightforward process, not a minefield of dodgy lenders, but it’s always crucial to keep an eye out for potential scams. That’s why, before you sign on the dotted line, it’s important to know how to check if the loan company you’re looking at is legitimate. You can learn about how to find out this information right here with Savvy in our comprehensive guide.
The Australian Securities and Investments Commission (ASIC) regulates financial services in Australia and allows you to perform checks on companies to determine their legitimacy. Via ASIC Connect, you can search for lenders to see whether they hold an Australian Credit Licence (ACL) number. A legitimate lender will have an active ACL listing with contact details and licensing information.
This is the most effective way to check whether a payday loan company operating in Australia is legitimate. You may also wish to use this search function to check whether they have the appropriate Australian Company Number (ACN). This information should be accessible on their website, so you can double-check this as part of your personal review process.
If you suspect a loan company might be illegitimate, it's essential to act swiftly and protect your financial security. Here are some steps to take:
Remember that staying vigilant and acting promptly can minimise potential damage and help authorities crack down on scams. Don't hesitate to seek help and support from relevant organisations and professionals if you find yourself in this position.
There are several areas you should look into when seeking out your small loan to help you avoid falling victim to a scam. These include:
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.
Quantum Savvy Pty Ltd (ABN 78 660 493 194) trades as Savvy and operates as an Authorised Credit Representative 541339 of Australian Credit Licence 414426 (AFAS Group Pty Ltd, ABN 12 134 138 686). We are one of Australia’s leading financial comparison sites and have been helping Australians make savvy decisions when it comes to their money for over a decade.
We’re partnered with lenders, insurers and other financial institutions who compensate us for business initiated through our website. We earn a commission each time a customer chooses or buys a product advertised on our site, which you can find out more about here, as well as in our credit guide for asset finance. It’s also crucial to read the terms and conditions, Product Disclosure Statement (PDS) or credit guide of our partners before signing up for your chosen product. However, the compensation we receive doesn’t impact the content written and published on our website, as our writing team exercises full editorial independence.
For more information about us and how we conduct our business, you can read our privacy policy and terms of use.
© Copyright 2024 Quantum Savvy Pty Ltd T/as Savvy. All Rights Reserved.
© Copyright 2024 Quantum Savvy Pty Ltd T/as Savvy. All Rights Reserved.
Quantum Savvy Pty Ltd (ABN 78 660 493 194) trades as Savvy and operates as an Authorised Credit Representative 541339 of Australian Credit Licence 414426 (AFAS Group Pty Ltd, ABN 12 134 138 686). We are one of Australia’s leading financial comparison sites and have been helping Australians make savvy decisions when it comes to their money for over a decade.
We’re partnered with lenders, insurers and other financial institutions who compensate us for business initiated through our website. We earn a commission each time a customer chooses or buys a product advertised on our site, which you can find out more about here, as well as in our credit guide for asset finance. It’s also crucial to read the terms and conditions, Product Disclosure Statement (PDS) or credit guide of our partners before signing up for your chosen product. However, the compensation we receive doesn’t impact the content written and published on our website, as our writing team exercises full editorial independence.
For more information about us and how we conduct our business, you can read our privacy policy and terms of use.
