2020 Financial Services Winner of Australian Small Business Champion Awards

Secured and Unsecured Loans

What is a secured loan?  

A secured loan is money you borrow that’s backed by a personal asset you own, like your car. If you fall behind on payments and can’t repay the loan, the lender may repossess your asset and sell it to pay off the loan.  

The upside to it all is interest rates tend to be lower when you take out a secured loan. So, it’s important to understand what you’re up against if you won’t be able to make the repayments. 

Learn more about secured loans

What is an unsecured loan? 

An unsecured loan is where you borrow money from a lender and agree to make regular payments until the loan is repaid in full, along with any interest owed. 

Unlike secured loans, unsecured loans aren’t backed by an asset you own. Because you don’t have to provide any security for your loan, interest rates tend to be higher to compensate for this. If you’re late with a payment or miss a repayment, you will generally incur extra charges, and if you don’t rectify the situation, this can progress to further damage your credit score. 

Learn more about unsecured loans 

Which is better, an unsecured or secured loan?   

Secured and unsecured loans are 2 different ways you can borrow money. Secured loans are backed by an asset you own, such as your car, while unsecured loans are offered based on your personal creditworthiness. Which type of loan is right for you depends on your personal circumstances – there is no right or wrong. 

Let’s take a look at the pros and cons of each. 

Secured loans – pros 

  • Lower interest rates 
  • Higher borrowing limits 
  • If you have a poor credit score, this is another way you can get a loan approved 

Secured loans – cons 

  • If you fail to make your repayments, the lender can seize your security asset/s to pay off the loan 
  • Defaulting on your loan is likely to damage your credit rating 

Unsecured loans – pros 

  • If you qualify, getting an unsecured loan is quick and easy 

Unsecured loans – cons 

  • Higher interest rates and credit score requirements 
  • Loan amounts are generally smaller 

Read more about secured and unsecured loans.

What will my repayments be?  

Our loan repayments vary depending on the loan amount, the loan term and the interest rate. You can use our loan calculator as a guide, however, because we tailor our rates to your unique credit profile, we will not be able to confirm any repayments until your assessment is complete. 

What are the interest rates? 

We understand you’d like to know the expected costs before you go forward, which is why we’ve put everything you need to know about the interest rates, terms, fees and more below.  

  SMALL
Amount Loans 
MEDIUM
Amount Loans 
LARGE
Amount Loans 
Loan Amounts  $300-$2,000  $2,050-$5,000  $5,050-$10,000 
Average Term  1 – 12 months  6 – 24 months  9 – 36 months 
Typical Establishment Fee  $18 – $400  $375– $771  $536 – $795 
Monthly Fee  $6 – $80  $8 – $9  $10 – $11 
Interest Rate Per Annum (APR) *  N/A  9.90% – 29.90%  15.92% – 25.90% 
Comparison Rate **  30.23% – 73.06%  30.63% – 64.52%  21.65% – 33.80% 

*For our loans of $300 to $2,000 an APR (Annual Percentage Rate) does not apply. For loans above $2,000 maximum APR is 48%.
**All prices are indicative for an unsecured personal loan and fees and charges are payable. WARNING: The comparison rate is true only for the example loan amount and term selected and may not include all fees and charges. Different terms, fees or other loan amounts might result in a different comparison rate. 

When will I get an outcome?  

We strive to give our customers an outcome within 1-2 business days from their application. However, if you opt to not submit bank statements during your initial application, we won’t begin assessment until they are provided. 

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Are you eligible to apply?

  • I am 18 years or older
  • I have not entered into bankruptcy or part 9 agreement within the last 6 months
  • I am willing to provide my Bank Statements online
  • My income is not solely from Centrelink
Please note: Bank statements can only be submitted via our secure online service.