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Navigating Australia's Cost of Living Crisis: How Fair Go Finance Offers Tailored Lending Solutions for Everyday Australians.

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Cost of Living Crisis in Australia

We’ve all heard terms like ‘cost of living crisis’ and ‘inflation’ being used in the media but what does it actually mean for everyday Australians? You would have noticed the cost of filling up your car has increased a lot since the pandemic, or that your grocery bill is stretching your budget to the absolute limit, or that your rent or mortgage keeps going up. Then add in the rising electricity costs and health insurance, all of these are the direct result of the cost of living crisis in Australia.

Between March 2022 and March 2023, the Consumer Price Index (CPI) in Australia rose 7%. Although early analysis of data from 2023-2024 shows this slowing, CPI is still not at a rate that gives some relief to everyday Australians whose budgets are being stretched to the brink.

What is CPI?

Consumer Price Index or (CPI) is a measurement calculated by the Australian Bureau of Statistics (ABS) that measures the average change of goods and services over time. CPI can be used to measure inflation but because it is based on a fixed number of categories, it is not a complete measure of inflation.

What Does The Increase In The Cost Of Living In Australia Mean For Everyday Australians?

When your grocery bill has gone up by an average of 10%, rent over 20% , it’s harder for Aussies to save for a rainy day or to put away any extra cash for a financial emergency. Which then means, when you get that unexpected bill or the car breaks down, it’s harder to get yourself out of that financial rut.

How Fair Go Finance Are Supporting Australians Through This Cost-Of-Living Crisis.

When your food shopping, rent and utility bills are already sky-high, the last thing you need to break the bank is your loan repayments. And let’s face it, no one wants to take a loan out if they can help it. But when it’s harder and harder to put money into an emergency fund for those pesky unexpected bills, car repairs or vet bills, sometimes taking out a personal loan to cover the expense is necessary and that’s when you need a lender who won’t make things harder.

So how does Fair Go Finance support Australians through this cost-of-living crisis? As a responsible lender, we thoroughly assess your loan application to make sure you won’t end up in a worse-off financial position if you’re approved for a loan.

Customised Pricing

At Fair Go Finance, we want to give our customers a, well, fair go. While Australia is in the middle of a cost-of-living crisis comparable to the months leading up to the 2008 GFC, it doesn’t make sense to us to make it harder for our customers to make their loan repayments.

All lenders are bound by a legislative cap on the fees they can charge for their loans. Many Australian lenders will charge a maximum of 48% p.a. in interest and monthly fees for their personal loans. But not us, at Fair go Finance we believe in a fairer way to lend.

Fair Go Finance takes your unique situation into account to offer a tailored loan rate. Have a look at the table below to see what a new customer could be eligible for if approved for a personal loan, based on their illion credit score.

Good CreditOkay CreditPoor Credit
Indicative credit bureau Score 600 + Indicative credit bureau Score 400 – 600Indicative credit bureau Score 0 – 400
Interest Rate From 21.90% p.a.Interest Rate From 23.90% p.a.Interest Rate From 39.90% p.a.
Comparison Rate 23.55% Comparison Rate 30.05% Comparison Rate 50.28%
Typical Personal Loan Amount Up to $10,000 Typical Personal Loan Amount Up to $7,000 Typical Personal Loan Amount Up to $5,000

* This comparison rate is based on a $10,000 loan over 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. 

** This comparison rate is based on a $2,500 loan over 2 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. 

But we know credit score isn’t everything. Everyone has a past and sometimes that past has a credit rating that is less than ideal. 
Related article: What is the difference between a credit history, credit file and credit report and credit score? 

Which is why we also use our proprietary FGF score to determine what rate we can offer you. 

How Does The FGF Score Work? 

We look at your credit score from the credit bureau and then we look at your recent banking history (which you need to submit with your personal loan application) to see what we can do for you. Everyone has a past, but if your recent banking shows us you are living within your means and meeting your financial obligations, then your FGF score is higher and we can offer you a tailored rate on your loan. 

This means more affordable personal loans, whether that be a bond loan, car repairs loan or medical bill loan for more Australians when the cost-of-living crisis is already hitting the budget hard. 

Support and Resources 

Not only do we support our new customers with custom pricing to make loan repayments easier on the budget, we also have a range of support and resources available to our loyal existing customers. 

Fair Go Finance Mates’ Rates for Returning Customers  

We look after our customers wherever we can so if you’re a returning customer, we’ll look at your history with us to offer you extra benefits when we tailor your loan. This can look like better loan rates, priority loan application processing or higher loan amounts available.  

Flexible Repayments 

A cost-of-living crisis is hard enough when there’s so much uncertainty in your daily budget. That’s why our loans have flexible repayment options. Changed from weekly to fortnightly pay? Or get paid on a different day? No stress, you can give us a call on 1300 746 324 and adjust your payment schedule. Received a juicy tax return or a bonus at work and want to make an extra repayment on your loan? Easy – just log in to the Portal and make your payment. There are no early repayment fees when you make extra payments on your personal loan with us. 

Genuine Customer Service 

There doesn’t need to be a cost-of-living crisis for our customers to receive our genuine customer service, but it sure does help when money’s tight and you need that little bit of extra help. Rather than bury your head in the sand with budget woes, give our local, friendly team a call to chat about what we can do to help if your financial situation has changed, and you need a helping hand. 

The Fair Go Finance Credit Boost Program 

Who doesn’t love a little bump of cash in their household budget? Like we said before, we love rewarding customers who make positive improvements to their financial well-being. Just like your credit history can result in lower loan rates, we also reward one customer every month who has the highest increase to their credit score with our credit boost program. We give a cash award equivalent to the increase in your credit score to the customer with the highest increase. 

We look at your credit bureau score when you first get approved for a personal loan with us and each month, we report to the credit bureaus whether you have made your contractual loan repayments or not under our Comprehensive Credit Reporting program. 

Case Study: Credit Score Boost Winner 

Tahlia from QLD first came to Fair Go Finance in August 2023 with a score of 132 when she applied for a holiday loan. By January 2024, Tahlia had increased her credit score by 210 points so we gave her $210 as a reward for being the person with the highest increase in their credit score for January. 

So, while we can’t do anything about groceries going up, rent and mortgages costing an arm and a leg and electricity bills stretching the household budget thin, Fair Go Finance can help everyday Aussies out with how we lend to you. Through customised pricing, credit boost programs and flexible repayment options, we’re doing our best to help your budget when you need it most.