BestFind.com.au provides factual information in relation to financial products. While
attempts to make a wide range of products and providers available, it may not cover all the
to you. Moreover, we cannot be responsible for changes made to this information by product
inaccurate information obtained from a product provider. All product information comes from the
provider or publicly available information and to the best of our knowledge is correct at time
The information published on BestFind.com.au is general in nature only and does not consider
objectives, financial situation or particular needs and is not recommending any particular
product to you. If you
decide to apply for a product you will be dealing directly with that provider and not with
BestFind.com.au recommends that you read the relevant PDS or offer documentation before taking
Minimum and maximum loan periods vary between 6 months and 10 years. Comparison
interest rates vary between 6.55% and 20.89% p.a. Total interest repayments vary between
$1,387 and $4,165 over the life of the loan. *Comparison rate is based on an unsecured loan
of $10,000 for a term of 3 years. WARNING: This comparison rate is true only for the
examples given and may not include all fees and charges. Different terms, fees or other loan
amounts might result in a different comparison rate. These rates can change without further
notice. All rates quoted are per annum. For more information regarding fees click on "View
fees & additional info +" for each product or contact the provider.
Best personal loans – Find options that match your needs
The world of personal loans is chock full of options, whether you’re looking at the product features or lenders that are available. Snagging the best personal loan requires some research, and remember, a good deal with “off-target” features is still a bad deal. Therefore, the best personal loan for you is based on your needs, which are different from everyone else’s. Here’s what you need to know to find the best personal loans in Australia while staying true to your situation.
What does “best personal loan” mean?
Tagging a personal loan as the “best one” is mostly a matter of perspective. Otherwise, there’s no single personal loan out there that’s received the ultimate award for being the best. A personal loan is only best for you in a specific situation. For instance, there could be best personal loans for:
- Average credit
- Bad credit
- Fast approvals
- Joint applications
- Thin credit history
The list goes on and on so that ideally, there’s something for every borrower. Generally, personal loans can make available up to $100,000. Any amount you qualify for is repaid over a fixed term of between 1 and 7 years.
Which type of personal loan is best for my needs?
A lot can set two personal loans apart, but the two main differences you have to decide on are secured vs unsecured and variable rate vs fixed rate.
- Secured. Secured personal loans are best when you want to borrow a larger amount at a low interest rate. The trade-off is you have to put up a high-value asset, typically a car or home, as collateral. This cancels the lender’s risk of loss since your asset is theirs for the taking if you default. An example of a secured loan is a car loan, which typically uses the car you’re buying as collateral.
- Unsecured. Unsecured personal loans are best when you don’t have or are unwilling to provide a suitable asset that guarantees your debt. The lender’s risk of loss is greater than with secured deals, so they’ll try to dilute it by charging a higher interest rate and possibly limiting the amount you borrow. Unsecured loans are also best suited for people with a good-to-excellent credit score for the same reason.
- Fixed rate. A fixed interest rate loan is best for borrowers who want a stable budget and repayments that don’t change. While market rates may fluctuate, your rate won’t vary. This protects you from paying more when rates rise, but it also bars you from saving when rates fall.
- Variable rate. A variable interest rate loan works best if you prefer an offer with more flexible features, such as the ability to make extra repayments. Additionally, credit providers generally offer starting rates that are lower than for fixed rate loans. But you’ll be exposed to the market’s mood swings. This is good if rates fall because you might save, but your repayments may increase if rates push up.
Which sort of option is best designed for my loan purpose?
Personal loans are designed to cover the gap when you’re short on cash but need to consolidate your debt, pay a bill, or make a purchase. A debt consolidation loan combines several credit accounts such as credit cards, student loans, car loans, or other personal loans into a single personal loan.
This makes your debt more manageable since you only have to deal with one repayment. For purchases and other expenses, personal loans are best suited to cover:
- Home improvements and renovations
- Holiday and travel
- New or used car purchases
- Tax debt
- Other legitimate purposes
How do I find the best personal loan features?
Finding the best personal loan is a game of compare and contrast. Remember, there’s no standard best loan, so you’ll have to ask a few questions to ensure you have the best option for you.
- What’s the interest rate? – Borrowers may have unique needs, but if there’s one universal thing, it’s the need for cheaper finance. A low interest rate is a personal loan’s main attraction and no doubt the first thing most people check for. To find the best personal loan rates in Australia, compare different loan types separately to get the best personal loan rate for each category, then check other features before deciding if the overall financial product works for you.
- What are the fees and charges? – A personal loan with low fees can also help you rack up more savings. There are standard fees and fees that you may have to pay. Standard fees and charges include upfront application or establishment fees and ongoing monthly or annual fees. Additional fees may include extra repayment fees, early exit fees, late payment fees, and redraw fees.
- How much can I borrow? – Use the minimum and maximum limits each lender has as a guideline to choose an affordable amount you can borrow. But keep in mind that you only find out how much credit the lender is willing to extend after applying.
- What’s the repayment period? – For any given loan amount, choosing a longer loan term gives you smaller repayments and vice versa. But a longer term also builds up borrowing costs, so it’s essential to find a happy medium. You can use BestFind’s personal loan calculator to estimate repayments until you find an affordable option that allows you to pay off your debt in the shortest time possible.
How do I choose the best personal loan lender?
You’ll also need to compare personal loan lenders to figure out which one is best for you. Suitable credit providers include major banks, small banks, credit unions, online lenders, and P2P companies. Consider the following factors when scoping out financial institutions:
- Flexibility. A flexible credit provider always offers terms that make it easier to manage your debt. For instance, they might let you choose a repayment frequency that best suits you. So you can opt for monthly, fortnightly, or weekly repayments depending on your particular situation. They can also give you the freedom to make early repayments or exit the loan without too many penalties.
- Restrictions. Restrictions can apply when, for instance, you want to pour the funds into a startup or buy company equipment while the lender prefers that you use a business loan.
- Requirements. Find out what you need to qualify for the best personal loan you have in mind. Although there are general requirements, some providers have more stringent requirements. For instance, they may only prefer borrowers with a credit score or income above a certain amount.
- The lender’s reputation. A reputable lender typically has an Australian credit licence, a secure website, good reviews, and charges that are within ASIC’s limits. They also perform credit checks or enquiries before approval to ensure you’re borrowing responsibly.
- Unique services or products. The best finance provider for you might be one that offers special features such as online accounts for tracking repayments and managing debt. Or they may have excellent in-person service and a quick response time, which are perfect for urgent needs. Ultimately, there’s a bulk of providers to choose from and no single best lender for everyone.
What else do I need to know when choosing what’s best for me?
- Check the comparison rate. Don’t get caught up by a good-looking interest rate and think it’s best without considering the true cost of the loan. Instead, check the comparison rate which factors in all costs and fees for that product. The best personal loan rate should be tied to a proportionally low comparison rate.
- Read the fine print. Sometimes the comparison rate doesn’t take into account all costs involved. Make sure you catch the outliers by sifting through the provider’s terms and conditions thoroughly.
- Know your credit score. This prevents you from applying for offers you don’t qualify for. Also make sure to fix any errors in your credit file to mark up your credit rating. This increases your chances of getting the best low-rate deals.
- Avoid too many applications. You may be enthusiastic about getting the best loan offer and thinking of submitting several applications to boost your luck. However, before they give you a quote, most finance providers carry out hard credit checks that go on record in your credit file. Too many marks in a short period damage your credit score. The only way around this is to check out deals that can show you a personalised rate by carrying out “soft checks” that won’t affect your credit history.
How to apply online for the best personal loan of your choice
Find the best personal loan for your situation in the table above, and click “Go to Site” to move on to the lender’s website. Minimum requirements are generally outlined as follows:
- Be at least 18 years
- Be an Australian permanent resident
- Have a bank account that receives a steady flow of income
- Have a good credit score
Along with that, you must provide documents such as a driver’s licence or passport, bank statements, payslips, and proof of residence.
Popular personal loans searches
View all search queries
- $25,000 personal loans
- Personal Loans to Borrow $32,500
- Personal Loans to Borrow $33,000
- $33,500 personal loans
- $34,000 personal loans
- Personal Loans to Borrow $34,500
- Bendigo Bank Personal Loans
- Personal Loans to Borrow $21,000
- Personal Loans for Credit Card Debt
- Personal Loans to Borrow $23,000
- Beyond Bank Personal Loans
- Personal Loans Online
- Dental Loans
- CommBank (CBA) Personal Loans Repayment Calculator
- Big Sky Personal Loans
- Citi Personal Loans Repayment Calculator
- Coastline Credit Union Personal Loans Repayment Calculator
- Big Sky Personal Loans Repayment Calculator
- Beyond Bank Personal Loans
- Catalyst Money Personal Loans Repayment Calculator
- Personal Loans to Borrow $21,500
- BOQ Personal Loans Repayment Calculator
- Personal Loans to Borrow $21,000
- Car Repair Loans