Filter Results


Features

Personal loan provider

Important disclosure

Debt Consolidation Loans

Personal loans for debt consolidation can help contain your debt if it’s starting to spread out too much. Need a good place to begin your search? Compare debt consolidation loans offers in the product table below and use our calculator to spot the right solution for your budget and needs.

Calculate debt consolidation loans repayments

Pay ZERO fees^ on all loans with NOW Finance. That's right - no establishment fee, no monthly fees, no early payout fee on all loans between $5,000-$40,000. What’s more, get your guaranteed, tailored interest rate in two minutes without impacting your credit score. ^Charges such as default or enforcement costs may apply if you do not comply with the terms of your loan.

Overview

Minimum loan amount$5,000

Maximum loan amount$40,000

Minimum term (years)1.5 years

Maximum term (years)7 Years

Personal loan interest rates (base)6.95%

Personal loan comparison rate6.95%

Monthly repayments (approx)$308

Total repayments (approx)$11,107

Total interest repayments (approx)$1,107

Rate typeFixed

Secured or unsecuredUnsecured

Encumberance/REVVS check fee$0

Application / establishment fee$0

GO TO Now Finance

Other Fees & Information

Monthly fee$0

Quarterly fee$0

Annual fee$0

Other fees$0

Redraw facilityNo

Repayment scheduleWeekly, Fortnightly

Early repayments allowedYes

Early repayments fee$0

Missed payment fee$35

For debt consolidation?Yes

Sponsored Yes

Telephone1300 275 669

Data accurate as of9/11/2020

GO TO Now Finance

Hide info -

OurMoneyMarket offer competitive low rates on loans up to $50,000, plus free extra repayments and fee-free redraw facility.

Overview

Minimum loan amount$2,001

Maximum loan amount$50,000

Minimum term (years)1 year

Maximum term (years)7 Years

Personal loan interest rates (base)6.75%

Personal loan comparison rate7.45%

Monthly repayments (approx)$315

Total repayments (approx)$11,351

Total interest repayments (approx)$1,351

Rate typeFixed

Secured or unsecuredUnsecured

Encumberance/REVVS check fee$0

Application / establishment fee$250

GO TO OurMoneyMarket

Other Fees & Information

Monthly fee$0

Quarterly fee$0

Annual fee$0

Other fees$0

Redraw facilityYes

Repayment scheduleWeekly, Fortnightly

Early repayments allowedYes

Early repayments fee$0

Missed payment fee$35

For debt consolidation?Yes

Sponsored Yes

Telephone1300 990 115

Data accurate as of21/09/2020

GO TO OurMoneyMarket

Hide info -

NRMA used car loans can help you get one step closer to owning your dream pre-loved car.

Overview

Minimum loan amount$10,000

Maximum loan amount$100,000

Minimum term (years)1 year

Maximum term (years)7 years

Personal loan interest rates (base)6.99%

Personal loan comparison rate7.70%

Monthly repayments (approx)$321

Total repayments (approx)$11,557

Total interest repayments (approx)$1,557

Rate typeFixed

Secured or unsecuredSecured

Encumberance/REVVS check fee$8

Application / establishment fee$399

GO TO NRMA

Other Fees & Information

Monthly fee$0

Quarterly fee$0

Annual fee$0

Other fees$0

Redraw facilityNo

Repayment scheduleFortnightly, Monthly

Early repayments allowedYes

Early repayments fee$205 or 2% of outstanding balance (whichever the greater) at the time the final payout is made. Applies in the first three quarters of the original loan term only.

Missed payment fee$0

For debt consolidation?No

Sponsored Yes

Telephone1300 732 398

Data accurate as of21/09/2020

GO TO NRMA

Hide info -

Pay ZERO fees^ on all loans with NOW Finance. That's right - no establishment fee, no monthly fees, no early payout fee on all loans between $5,000-$40,000. What’s more, get your guaranteed, tailored interest rate in two minutes without impacting your credit score. ^Charges such as default or enforcement costs may apply if you do not comply with the terms of your loan.

Overview

Minimum loan amount$5,000

Maximum loan amount$40,000

Minimum term (years)1.5 years

Maximum term (years)7 Years

Personal loan interest rates (base)6.95%

Personal loan comparison rate6.95%

Monthly repayments (approx)$308

Total repayments (approx)$11,107

Total interest repayments (approx)$1,107

Rate typeFixed

Secured or unsecuredUnsecured

Encumberance/REVVS check fee$0

Application / establishment fee$0

GO TO Now Finance

Other Fees & Information

Monthly fee$0

Quarterly fee$0

Annual fee$0

Other fees$0

Redraw facilityNo

Repayment scheduleWeekly, Fortnightly

Early repayments allowedYes

Early repayments fee$0

Missed payment fee$35

For debt consolidation?Yes

Sponsored Yes

Telephone1300 275 669

Data accurate as of9/11/2020

GO TO Now Finance

Hide info -

OurMoneyMarket offer competitive low rates on loans up to $50,000, plus free extra repayments and fee-free redraw facility.

Overview

Minimum loan amount$2,001

Maximum loan amount$50,000

Minimum term (years)1 year

Maximum term (years)7 Years

Personal loan interest rates (base)6.75%

Personal loan comparison rate7.45%

Monthly repayments (approx)$315

Total repayments (approx)$11,351

Total interest repayments (approx)$1,351

Rate typeFixed

Secured or unsecuredUnsecured

Encumberance/REVVS check fee$0

Application / establishment fee$250

GO TO OurMoneyMarket

Other Fees & Information

Monthly fee$0

Quarterly fee$0

Annual fee$0

Other fees$0

Redraw facilityYes

Repayment scheduleWeekly, Fortnightly

Early repayments allowedYes

Early repayments fee$0

Missed payment fee$35

For debt consolidation?Yes

Sponsored Yes

Telephone1300 990 115

Data accurate as of21/09/2020

GO TO OurMoneyMarket

Hide info -

A no-fuss way to arrange the finance you need, when you need it all while enjoying competitive variable interest rates.

Overview

Minimum loan amount$3,000

Maximum loan amount$50,000

Minimum term (years)1 Year

Maximum term (years)7 Years

Personal loan interest rates (base)9.99%

Personal loan comparison rate13.51%

Monthly repayments (approx)$329

Total repayments (approx)$11,858

Total interest repayments (approx)$1,858

Rate typeVariable

Secured or unsecuredUnsecured

Encumberance/REVVS check fee$0

Application / establishment fee$200

GO TO MyState

Other Fees & Information

Monthly fee$10

Quarterly fee$0

Annual fee$0

Other fees$0

Redraw facilityYes

Repayment scheduleWeekly, Fortnightly, Monthly

Early repayments allowedYes

Early repayments fee$0

Missed payment fee$0

For debt consolidation?Yes

Sponsored No

Telephone1300 763 831

Data accurate as of21/09/2020

GO TO MyState

Hide info -

Whatever it is you’re dreaming about, a Bankwest Flexible Personal Loan puts you in control. Pay it off early, make additional repayments and redraw additional repayments you’ve made all at no extra cost!

Overview

Minimum loan amount$5,000

Maximum loan amount$50,000

Minimum term (years)1 Year

Maximum term (years)7 Years

Personal loan interest rates (base)10.99%

Personal loan comparison rate11.81%

Monthly repayments (approx)$335

Total repayments (approx)$12,089

Total interest repayments (approx)$2,089

Rate typeFixed

Secured or unsecuredUnsecured

Encumberance/REVVS check fee$0

Application / establishment fee$249

GO TO Bankwest

Other Fees & Information

Monthly fee$10

Quarterly fee$0

Annual fee$0

Other fees$0

Redraw facilityYes

Repayment scheduleWeekly, Fortnightly, Monthly

Early repayments allowedYes

Early repayments fee$0

Missed payment fee$0

For debt consolidation?Yes

Sponsored No

Telephone13 17 19

Data accurate as of21/09/2020

GO TO Bankwest

Hide info -

Whether you're taking control of your finances, planning a special event, or making a large purchase, our Unsecured Personal Loan may be the right solution.

Overview

Minimum loan amount$2,000

Maximum loan amount$40,000

Minimum term (years)1 Year

Maximum term (years)5 Years

Personal loan interest rates (base)12.99%

Personal loan comparison rate14.06%

Monthly repayments (approx)$337

Total repayments (approx)$12,142

Total interest repayments (approx)$2,142

Rate typeFixed

Secured or unsecuredUnsecured

Encumberance/REVVS check fee$10

Application / establishment fee$0

GO TO St.George Bank

Other Fees & Information

Monthly fee$12

Quarterly fee$0

Annual fee$0

Other fees$0

Redraw facilityNo

Repayment scheduleWeekly, Fortnightly, Monthly

Early repayments allowedYes

Early repayments fee$150

Missed payment fee$9

For debt consolidation?No

Sponsored No

Telephone13 33 30

Data accurate as of14/12/2018

GO TO St.George Bank

Hide info -

Whether you're taking control of your finances, planning a special event, or making a large purchase, our Unsecured Personal Loan may be the right solution.

Overview

Minimum loan amount$2,000

Maximum loan amount$80,000

Minimum term (years)1 Year

Maximum term (years)7 Years

Personal loan interest rates (base)12.99%

Personal loan comparison rate14.06%

Monthly repayments (approx)$337

Total repayments (approx)$12,142

Total interest repayments (approx)$2,142

Rate typeVariable

Secured or unsecuredUnsecured

Encumberance/REVVS check fee$10

Application / establishment fee$0

GO TO St.George Bank

Other Fees & Information

Monthly fee$12

Quarterly fee$0

Annual fee$0

Other fees$0

Redraw facilityYes

Repayment scheduleWeekly, Fortnightly, Monthly

Early repayments allowedYes

Early repayments fee$150

Missed payment fee$9

For debt consolidation?No

Sponsored No

Telephone13 33 30

Data accurate as of14/12/2018

GO TO St.George Bank

Hide info -

A personal loan can help you to get what you’ve always wanted. Plan ahead with a flexible loan term of between 1 and 7 years. Apply for between $4,000 and $50,000 (conditions apply). Make extra repayments to pay your loan off sooner (prepayment fee may apply). Choose a repayment frequency to suit when you get paid - weekly, fortnightly or monthly.

Overview

Minimum loan amount$5,000

Maximum loan amount$50,000

Minimum term (years)1 Year

Maximum term (years)7 Years

Personal loan interest rates (base)11.99%

Personal loan comparison rate13.15%

Monthly repayments (approx)$340

Total repayments (approx)$12,268

Total interest repayments (approx)$2,268

Rate typeFixed

Secured or unsecuredUnsecured

Encumberance/REVVS check fee$0

Application / establishment fee$250

GO TO Westpac

Other Fees & Information

Monthly fee$12

Quarterly fee$0

Annual fee$0

Other fees$0

Redraw facilityNo

Repayment scheduleWeekly, Fortnightly, Monthly

Early repayments allowedYes

Early repayments feeYes

Missed payment feeYes

For debt consolidation?Yes

Sponsored No

Telephone1300 720 697

Data accurate as of21/09/2020

GO TO Westpac

Hide info -

Borrow from $5,000 up to $55,000 for 1 to 7 years flexible loan terms

Overview

Minimum loan amount$5,000

Maximum loan amount$55,000

Minimum term (years)1 Year

Maximum term (years)7 Years

Personal loan interest rates (base)12.69%

Personal loan comparison rate13.56%

Monthly repayments (approx)$340

Total repayments (approx)$12,269

Total interest repayments (approx)$2,269

Rate typeFixed

Secured or unsecuredUnsecured

Encumberance/REVVS check fee$0

Application / establishment fee$150

GO TO NAB

Other Fees & Information

Monthly fee$10

Quarterly fee$0

Annual fee$0

Other fees$0

Redraw facilityYes

Repayment scheduleWeekly, Fortnightly, Monthly

Early repayments allowedYes

Early repayments fee$0

Missed payment fee$5

For debt consolidation?Yes

Sponsored No

Telephone13 13 12

Data accurate as of21/09/2020

GO TO NAB

Hide info -

1-7 years flexible loan term, borrow from $5,000 up to $55,000 and redraw additional repayments you've already made

Overview

Minimum loan amount$5,000

Maximum loan amount$55,000

Minimum term (years)1 Year

Maximum term (years)7 Years

Personal loan interest rates (base)12.69%

Personal loan comparison rate13.56%

Monthly repayments (approx)$340

Total repayments (approx)$12,269

Total interest repayments (approx)$2,269

Rate typeVariable

Secured or unsecuredUnsecured

Encumberance/REVVS check fee$0

Application / establishment fee$150

GO TO NAB

Other Fees & Information

Monthly fee$10

Quarterly fee$0

Annual fee$0

Other fees$0

Redraw facilityYes

Repayment scheduleWeekly, Fortnightly, Monthly

Early repayments allowedYes

Early repayments fee$0

Missed payment fee$5

For debt consolidation?Yes

Sponsored No

Telephone13 13 12

Data accurate as of21/09/2020

GO TO NAB

Hide info -

Bring your next dream purchase a little closer with a Secured Personal Loan.

Overview

Minimum loan amount$3,000

Maximum loan amount$80,000

Minimum term (years)1 Year

Maximum term (years)7 Years

Personal loan interest rates (base)12.74%

Personal loan comparison rate13.81%

Monthly repayments (approx)$342

Total repayments (approx)$12,335

Total interest repayments (approx)$2,335

Rate typeVariable

Secured or unsecuredSecured

Encumberance/REVVS check fee$10

Application / establishment fee$195

GO TO St.George Bank

Other Fees & Information

Monthly fee$12

Quarterly fee$0

Annual fee$0

Other fees$0

Redraw facilityYes

Repayment scheduleWeekly, Fortnightly, Monthly

Early repayments allowedYes

Early repayments fee$150

Missed payment fee$9

For debt consolidation?No

Sponsored No

Telephone13 33 30

Data accurate as of14/12/2018

GO TO St.George Bank

Hide info -

Wisr provide personalised low rates for applicants with good credit. Borrow between $5,000 and $50,000 with transparent terms and easy online application.

Overview

Minimum loan amount$5,000

Maximum loan amount$50,000

Minimum term (years)3 Year

Maximum term (years)5 Years

Personal loan interest rates (base)11.40%

Personal loan comparison rate12.27%

Monthly repayments (approx)$348

Total repayments (approx)$12,559

Total interest repayments (approx)$2,559

Rate typeFixed

Secured or unsecuredUnsecured

Encumberance/REVVS check fee$0

Application / establishment fee$595

GO TO Wisr

Other Fees & Information

Monthly fee$0

Quarterly fee$0

Annual fee$0

Other fees$0

Redraw facilityNo

Repayment scheduleMonthly

Early repayments allowedYes

Early repayments fee$0

Missed payment fee$25

For debt consolidation?Yes

Sponsored Yes

Telephone1300 992 007

Data accurate as of21/09/2020

GO TO Wisr

Hide info -

As a member owned organisation, our first priority is to help you. We continually focus on providing high levels of personalised service and value for money products – such as our Personal Loans– there to help you make those life-changing purchases.

Overview

Minimum loan amount$2,000

Maximum loan amount$100,000

Minimum term (years)1 Year

Maximum term (years)7 Years

Personal loan interest rates (base)13.99%

Personal loan comparison rate15.78%

Monthly repayments (approx)$350

Total repayments (approx)$12,609

Total interest repayments (approx)$2,609

Rate typeFixed

Secured or unsecuredUnsecured

Encumberance/REVVS check fee$0

Application / establishment fee$250

GO TO People's Choice Credit Union

Other Fees & Information

Monthly fee$0

Quarterly fee$0

Annual fee$0

Other fees$0

Redraw facilityYes

Repayment scheduleWeekly, Fortnightly, Monthly

Early repayments allowedYes

Early repayments fee$0

Missed payment fee$0

For debt consolidation?Yes

Sponsored No

Telephone13 11 82

Data accurate as of21/09/2020

GO TO People's Choice Credit Union

Hide info -

Whether you're dreaming of far away destinations or of revolutionising the world with your next big invention, our Unsecured Personal Loans are a flexible and simple solution from an ethical and trusted team.

Overview

Minimum loan amount$1,000

Maximum loan amount$100,000

Minimum term (years)1 Year

Maximum term (years)7 Years

Personal loan interest rates (base)15.99%

Personal loan comparison rate16.29%

Monthly repayments (approx)$356

Total repayments (approx)$12,844

Total interest repayments (approx)$2,844

Rate typeVariable

Secured or unsecuredUnsecured

Encumberance/REVVS check fee$0

Application / establishment fee$150

GO TO The Mac

Other Fees & Information

Monthly fee$0

Quarterly fee$0

Annual fee$0

Other fees$0

Redraw facilityYes

Repayment scheduleWeekly, Fortnightly, Monthly

Early repayments allowedYes

Early repayments fee$0

Missed payment fee$0

For debt consolidation?No

Sponsored No

Telephone1300 622 278

Data accurate as of21/09/2020

GO TO The Mac

Hide info -

You can use your personal loan for things like purchasing a new car, consolidating your debts, renovating your home, paying for university studies or to go on your dream holiday!

Overview

Minimum loan amount$5,000

Maximum loan amount$50,000

Minimum term (years)1 Year

Maximum term (years)5 Years

Personal loan interest rates (base)15.60%

Personal loan comparison rate16.47%

Monthly repayments (approx)$356

Total repayments (approx)$12,847

Total interest repayments (approx)$2,847

Rate typeVariable

Secured or unsecuredUnsecured

Encumberance/REVVS check fee$0

Application / establishment fee$200

GO TO Arab Bank

Other Fees & Information

Monthly fee$8

Quarterly fee$0

Annual fee$0

Other fees$0

Redraw facilityNo

Repayment scheduleWeekly, Fortnightly, Monthly

Early repayments allowedYes

Early repayments fee$0

Missed payment fee$0

For debt consolidation?Yes

Sponsored No

Telephone1800 64 64 84

Data accurate as of6/11/2018

GO TO Arab Bank

Hide info -

Whether you're looking to buy a new car, take a holiday, renovate your home or you want to consolidate debt, ANZ could help you with a Variable Rate Personal Loan.

Overview

Minimum loan amount$5,000

Maximum loan amount$50,000

Minimum term (years)1 Year

Maximum term (years)7 Years

Personal loan interest rates (base)15.99%

Personal loan comparison rate16.84%

Monthly repayments (approx)$357

Total repayments (approx)$12,857

Total interest repayments (approx)$2,857

Rate typeVariable

Secured or unsecuredUnsecured

Encumberance/REVVS check fee$0

Application / establishment fee$150

GO TO ANZ

Other Fees & Information

Monthly fee$0

Quarterly fee$30

Annual fee$0

Other fees$0

Redraw facilityYes

Repayment scheduleWeekly, Fortnightly, Monthly

Early repayments allowedYes

Early repayments fee$0

Missed payment fee$20

For debt consolidation?Yes

Sponsored No

Telephone1800 801 485

Data accurate as of6/11/2018

GO TO ANZ

Hide info -

All-purpose Personal Loan for quick and easy funds when you need them.

Overview

Minimum loan amount$500

Maximum loan amount$100,000

Minimum term (years)1 Year

Maximum term (years)7 Years

Personal loan interest rates (base)15.99%

Personal loan comparison rate16.91%

Monthly repayments (approx)$358

Total repayments (approx)$12,901

Total interest repayments (approx)$2,901

Rate typeVariable

Secured or unsecuredUnsecured

Encumberance/REVVS check fee$0

Application / establishment fee$195

GO TO Regional Australia Bank

Other Fees & Information

Monthly fee$0

Quarterly fee$0

Annual fee$0

Other fees$0

Redraw facilityYes

Repayment scheduleWeekly, Fortnightly, Monthly

Early repayments allowedYes

Early repayments fee$0

Missed payment fee$0

For debt consolidation?No

Sponsored No

Telephone1300 768 710

Data accurate as of21/09/2020

GO TO Regional Australia Bank

Hide info -

Wisr provide personalised low rates for applicants with good credit. Borrow between $5,000 and $50,000 with transparent terms and easy online application.

Overview

Minimum loan amount$5,000

Maximum loan amount$50,000

Minimum term (years)3 Year

Maximum term (years)5 Years

Personal loan interest rates (base)13.40%

Personal loan comparison rate14.28%

Monthly repayments (approx)$359

Total repayments (approx)$12,925

Total interest repayments (approx)$2,925

Rate typeFixed

Secured or unsecuredUnsecured

Encumberance/REVVS check fee$0

Application / establishment fee$595

GO TO Wisr

Other Fees & Information

Monthly fee$0

Quarterly fee$0

Annual fee$0

Other fees$0

Redraw facilityNo

Repayment scheduleMonthly

Early repayments allowedYes

Early repayments fee$0

Missed payment fee$25

For debt consolidation?Yes

Sponsored Yes

Telephone1300 992 007

Data accurate as of21/09/2020

GO TO Wisr

Hide info -

Wisr provide personalised low rates for applicants with good credit. Borrow between $5,000 and $50,000 with transparent terms and easy online application.

Overview

Minimum loan amount$5,000

Maximum loan amount$50,000

Minimum term (years)3 Year

Maximum term (years)5 Years

Personal loan interest rates (base)16.40%

Personal loan comparison rate17.31%

Monthly repayments (approx)$374

Total repayments (approx)$13,484

Total interest repayments (approx)$3,484

Rate typeFixed

Secured or unsecuredUnsecured

Encumberance/REVVS check fee$0

Application / establishment fee$595

GO TO Wisr

Other Fees & Information

Monthly fee$0

Quarterly fee$0

Annual fee$0

Other fees$0

Redraw facilityNo

Repayment scheduleMonthly

Early repayments allowedYes

Early repayments fee$0

Missed payment fee$25

For debt consolidation?Yes

Sponsored Yes

Telephone1300 992 007

Data accurate as of21/09/2020

GO TO Wisr

Hide info -

Wisr provide personalised low rates for applicants with good credit. Borrow between $5,000 and $50,000 with transparent terms and easy online application.

Overview

Minimum loan amount$5,000

Maximum loan amount$50,000

Minimum term (years)3 Year

Maximum term (years)5 Years

Personal loan interest rates (base)19.45%

Personal loan comparison rate20.34%

Monthly repayments (approx)$390

Total repayments (approx)$14,068

Total interest repayments (approx)$4,068

Rate typeFixed

Secured or unsecuredUnsecured

Encumberance/REVVS check fee$0

Application / establishment fee$595

GO TO Wisr

Other Fees & Information

Monthly fee$0

Quarterly fee$0

Annual fee$0

Other fees$0

Redraw facilityNo

Repayment scheduleMonthly

Early repayments allowedYes

Early repayments fee$0

Missed payment fee$25

For debt consolidation?Yes

Sponsored Yes

Telephone1300 992 007

Data accurate as of21/09/2020

GO TO Wisr

Hide info -

results per page

BestFind.com.au provides factual information in relation to financial products. While BestFind.com.au attempts to make a wide range of products and providers available, it may not cover all the options available to you. Moreover, we cannot be responsible for changes made to this information by product providers and/or inaccurate information obtained from a product provider. All product information comes from the product provider or publicly available information and to the best of our knowledge is correct at time of publishing. The information published on BestFind.com.au is general in nature only and does not consider your personal 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. BestFind.com.au recommends that you read the relevant PDS or offer documentation before taking up any financial product offer. For more information please see BestFind.com.au's Terms of Use and Services Guide.

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.

Need help choosing the right loan?

Get a multi award-winning personal loans broker, to help select the right loan for you.

Australia-wide personal loans completed online or via the telephone (no need for any face-to-face meetings).

Monday to Friday, 9am – 6pm AESTs

An account manager will contact you within 3 hours of your enquiry.

Call 1300 884 355
What type of loan are you looking for?

Debt consolidation loans in Australia

When your budget links to several credit accounts, trying to cover everything can be stressful. Not to mention the borrowing costs that dry up your cash flow even further. Use our handy guide on debt consolidation loans and find the best exit plan for your multiple-debt situation.

What’s a debt consolidation loan?

Debt consolidation loans allow you to wrap all your debts into one personal loan bundle. Borrowing money to cover your debts might seem like a bad idea. But, when done right, you can expect the following pluses:

  • Reduced costs. When you roll your credit card debt, car loans, personal loans, or other types of debt into a single account, you only have to pay fees and interest for that one loan. Most loans come with ongoing fees and upfront costs. By doing away with these, you can realise big gains on your savings.
  • Manageable repayments. Since you now only have to deal with a single repayment, keeping track of your credit responsibilities becomes seamless. On top of that, having manageable repayments means you’re less likely to default.
  • Better loan features. Your debt consolidation personal loan may come with certain upgrades. For instance, some lenders offer personal loans with “extras” like redraw facilities and the ability to make zero-cost or low-cost early repayments.

How does a personal loan work when consolidating debt?

Here’s what you need to do if you want to stay on top of debt that’s getting out of hand:

  • Do your calculations. What’s the total count on your existing debt? That’s how much you need to borrow, for starters. Next, find out how much in fees you’ll need for the early pay-offs and add that to your required amount.
  • Compare debt consolidation loans. Use BestFind’s product table to run through your list of available options and find out which offer or lender pairs up with your needs. During your personal loan comparison, your checklist may include factors like the interest rate, fees, amounts, terms, and repayment flexibility.
  • Carry out more calculations to estimate your repayments. Our debt consolidation loan calculator displays your repayments once you tell it how much you want to borrow and for how long. Keep in mind that smaller instalments leave more room in your budget. However, if you choose larger payments, you can pay off your debt faster to maximise on interest savings.
  • Apply and receive the funds. Once you find a loan with features that fit the bill, you can get going with your application. Simply click the right “Go to Site” button and submit a completed personal loan application on the lender’s website.
  • Pay off your debt and keep up with the repayments. Use the cash flow boost to clear out your accumulated debt. This leaves you with that one personal loan which you have to pay back in regular instalments.

Do you need to consolidate only your credit card debt? Check out our guide on the best way to get a handle on this type of credit.

When is the best time to consolidate debt?

Debt consolidation may not be the solution to every niggling credit problem you come across. But in specific instances, doing so constitutes a great move:

  • High interest rates on multiple loans. In worst-case scenarios, a steep rate might increase the total cost of your debt by thousands of dollars. Fortunately, you don’t always have to see a bad deal through to the end. Instead, you can replace all your expensive loans with a single low-interest loan.
  • Too many loan fees. Likewise, numerous loan charges can drain your finances and potentially trap you in a debt cycle. A cheap personal loan ensures that you pay off your debt as quickly as possible to reduce finance costs.
  • Mixed due dates. If the due dates for your debts are all over the place, it’s easy to overlook one or two repayments. Missed repayments tend to appear as a blemish on your credit profile. Additionally, you risk losing your asset or racking up penalty fees that will stress you more financially. However, with a debt consolidation loan, you’ll only need to circle one date on your calendar.
  • Problems with budget allocation. Sometimes, it’s challenging trying to figure out which debts need to be taken care of first. Once you only have a single repayment demanding your attention, things become more straightforward.
  • Valid proof of outstanding benefits. It’s crucial to weigh the drawbacks and benefits of taking out a consolidation loan before attempting to do so, especially in terms of cost. Overall, rolling your debts into one should have more positives than downsides for it to be worth it.

What are the available types of debt consolidation loans?

You can attach a variety of features to your debt consolidation loan. When settling on a choice, it’s best to consider your options in light of your circumstances. Remember, the right loan can bring sizeable financial rewards, but a misguided choice can equally cost you. Let’s take a look at the main types of personal loans:

  • Secured. If you opt for this type of debt, you’ll have to put up collateral that backs or guarantees the loan. Collateral can be an asset like a car, house, property, or even a savings account. In this agreement, the asset will belong to the lender if you fail to repay. Because the lender has this assurance, secured personal loans tend to have lower interest rates and fees.
  • Unsecured. With an unsecured personal loan, you don’t sign up your asset for collateral use. However, since the finance provider has nothing to hold fast to when you default, the financial risk pushes them to drive rates and fees up.
  • Fixed interest rate. You can go for a fixed rate that won’t budge during the repayment period. That means your budget and payments stay consistent throughout without any dips or jumps. But, it also follows that you won’t see much in the way of interest savings when market rates fall.
  • Variable interest rate. On the opposite side, a variable rate may go up or down out of the blue. If it moves up, you can expect higher repayment amounts. Although it can make budgeting tricky, you do get to keep more money in your pocket if the rate falls.

Debt consolidation must-knows

  • Tally the costs thoroughly. At first glance, it’s easy to assume that a new loan might be cheaper. But, even if the rate looks great, you also have to consider other costs such as application and establishment fees. Also, keep in mind that switching to a lengthier term translates to more fees and interest charges. As an extra tip, eliminating your unsecured debt and replacing it with a single secured loan works if low rates and fees are your top priority.
  • Negotiate. Some lenders set nothing in stone, which means you can approach them to work out a more flexible solution for your finance needs. Whether it’s to restructure your repayments or to extend due dates, try and communicate with them for best results.
  • Get familiar with the terms and conditions. The essential details of your loan will give you a clearer picture of how the loan works, the requirements, and any hidden fees. To top it off, you can estimate how flexible the loan is in terms of extra repayments and due dates.
  • Pay off your debt quickly. When you speed up the frequency of your repayments, you get the best of both worlds. On the one hand, you get a lump sum that frees you from unmanageable debt. On the other, this freedom comes at the lowest possible cost.
  • Minimise the chances of missed repayments. Most debt consolidation loans have a common theme that involves simplifying the way you manage your debt. With direct debits, for instance, you never have to worry about payment slip-ups. In the long run, you’re more likely to avoid late fees, legal action from the lender, a dropped credit score, and other losses.

Top mistakes and risks to avoid when choosing a debt consolidation loan

Here are few debt consolidation don’ts you can follow to avoid the pitfalls of costly debt cycles and other traps:

  • Not verifying your lender’s reputation. Some lenders are in the business solely to make a profit, and this is usually synonymous with predatory practices. Stay on guard and always deal with licensed credit providers that offer realistic products. Keep an eye out for scammy lenders who pressure you to sign documents while failing to reveal all loan costs during the application process.
  • Using a home loan for debt consolidation. When you roll your debts into your mortgage or home loan, you may end up paying more in the long run. While home loans typically have competitive rates because of their secured nature, they also have longer terms. For this reason, you might have to shell out more from your pocket over the life of the loan, just to cover finance costs.
  • Using credit cards. If you utilise this line of credit to cover your debts, or to sustain your spending habitats, it’s good to remember that credit cards generally don’t hold back in terms of interest rates and charges. They’re more likely to lead you further into the deep hole of crippling debt.
  • Taking out more debt. Once you take home your easy-to-manage debt consolidation loan, you may be tempted to take out another loan. However, any long term money problems will generally not be solved with borrowed money. The best approach is to get out of debt in record time and to avoid using loans as a financial crutch, after that.

3 resources that will help you overcome your debt struggle

  • Credit counselling. Professional advice from a financial counsellor can help you pinpoint the right personal loan for you. You may also get valuable guidance if your finances are in a critical state that requires a debt management plan (DPM).
  • National Debt helpline. This not-for-profit organisation has helped thousands of Aussies with their debt problems. They offer free and independent financial counselling that can help repair any financial fix you may find yourself in.
  • Legal Aid offices. Debt problems sometimes give birth to legal action that’s taken against you by finance providers. Community Legal Centres are your free, go-to option if you need legal backup during this process.

Pros of debt consolidation loans

So, is debt consolidation worth it or not? We wrap up the pros in a nutshell:

  • A single repayment with one due date
  • Easier budgeting
  • Potential interest and fee savings
  • You’re less likely to default if your repayments are manageable

Cons of debt consolidation loans

Let’s round up some debt consolidation downsides, as well:

  • It’s not always the cheaper alternative
  • You may end up owing more if you borrow extra on top when consolidating your debt
  • The market is susceptible to lenders who attract clients with unrealistic promises

More answer to your questions about debt consolidation loans

Where can I find a debt consolidation loan in Australia?

Australian financial services providers include banks, peer-to-peer lending platforms, and credit unions. That means you have a variety of products to choose from. To start with the selection and comparison process, simply go through our comparison table above until you find the best fit.

How much can I get to cover my existing debts?

Generally, for loan amounts, the range extends between $1,000 and $100, 000. However, the amount you get approved for depends on the lender’s limits, your income, your credit history and other factors.

Can I get a debt consolidation loan if I have bad credit?

If you have missed repayments showing up on your credit history, this can make it difficult to qualify for a personal loan. Furthermore, continuing to submit applications with other lenders after a rejection will further damage your score. The best action to take if your debt is overwhelming you is to talk to your lender or to seek help from financial experts.

Which personal finance tips can I use to reduce and manage my debts?

You’re never completely helpless when it comes to managing your debt on your own. Here are a few tips that will keep you afloat and out of debt:

  • Build an emergency fund
  • Search for extra money-making gigs
  • Create a reasonable monthly budget and honour it as much as possible

Do I have to switch banks to get a debt consolidation loan?

This depends on the kind of products you have access to with your current lender. While you may be motivated by loyalty and the need for convenience, it’s best to compare loan options. You may end up going with a different lender once you realise the competition offers more benefits.

Learn more about debt consolidation in this short video

Popular personal loans searches