Debt Consolidation Loans – Reduce Your Debt

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Save on interest & fees while climbing out of debt for good

Debt consolidation is ideal for anyone with a range of unsecured debts such a personal loans and store and credit cards.

Secure a fixed monthly repayment towards all your debt and free up income while ensuring you pay off your debt for good.

Frequently Asked Questions

What is debt consolidation? Do I need a debt consolidation loan? How does debt consolidation help me? Do I qualify for Debt consolidation?

What is Debt consolidation?

Debt consolidation is the process of merging all your current debt into one easy-to-manage account so that you don’t need to juggle paying multiple creditors.

If you get behind on your account payments you will be charged late fees and penalties on each account. If you apply for a debt consolidation loan, we will contact your creditors on your behalf and negotiate a settlement fee for each one and will pay all of your current debt so that you will only need to pay back the personal loan you have with us. This will save you money as you won’t need to worry about late fees or extra charges.

To make paying back your debt consolidation loan easy we will assist you in setting up a payment plan that is easy to manage. There are two types of debt consolidation loans these are good credit debt consolidation loans that will require you to provide some sort of collateral to secure your loan. You will be at risk of losing your collateral if you default or fail to make payments.

A bad credit loan for debt consolidation requires you to sign a debt agreement which will appear on your credit record as you are applying for bankruptcy.

Do I need a Debt consolidation loan?

You should consider applying or a debt consolidation loan if you are having trouble making the minimum payments on your account each month and your credit card has reached its limit. If you need to take control of your finances, but have a large amount of debt that you are struggling to manage.

What debt can I use this loan for?

A debt consolidation loan can be used to combine personal loans that you still need to pay, credit cards that have an outstanding balance, store charge cards and accounts.

Use your home to secure your Consolidation loan

There are a lot of benefits to consolidating your debt into one easy repayment. As security to make sure that you pay back the loan you will need to list an item of value to secure your loan. Your home can be used as collateral. This option can be very risky as if you do not pay back the loan you will be at risk of losing your home.

How does Debt Consolidation help me?

If you use your debt consolidation loan correctly you can decrease your monthly payments and save money on your interest. To make sure that you use this opportunity correctly make sure that you work out a debt management plan. This will make it a lot more simple for you to budget as you will only need to make one easy payment.

Compare your loan options

Make sure that you consider all the options that are available to you. Compare the interest and initiation fee that each lender charges to find the best option to suit your needs. Look for lenders and online loans that allow you to pay back your loan early and that won’t charge you penalties. Try to cut down on spending money on unnecessary items and use these savings to help pay back your loan as quickly as possible.

The difference between Debt consolidation & Debt Agreement

The difference between debt consolidation and a debt agreement is that debt consolidation is seen in the same light as a personal loan that allows you to pay off all your debt at once and only has one monthly instalment to repay.

Debt agreement like debt counselling put you under a form of bankruptcy and should only be considered as a final option as it will adversely affect your credit score and history.

Do I qualify for Debt consolidation?

To apply for a debt consolidation loan you will need to meet certain requirements, you will need to be at least 18 years old and be a resident of Australia, you will need to supply identification, proof of residence and employment details as well as proof of your income in the form of your bank statement.

Secured debt consolidation loans

To secure your debt consolidation loan you can list an asset as collateral in order to get a lower interest rate on your loan agreement because you are seen as lower risk than if your loan is unsecured. Unfortunately, by listing collateral if you default on a payment you are at risk of losing your asset.

Unsecured debt consolidation loans

An unsecured quick loan to consolidate your debt might be a better option for you if you do not have an item of value to list as collateral or you are afraid of losing your house or car and do not want to risk them by taking out a loan.

Unsecured loans will come with a higher interest rate charge than a secured loan.

Fixed or variable interest rate

Another variable to consider is whether your loan will be charged at a fixed or variable interest rate. A fixed interest rate will make sure that the amount of interest that you are charged is fixed for the duration of the loan agreement. By using this option, it will be easy to budget your monthly payment.

A variable interest rate will change as the markets change and are very flexible this could save you money or cost you money depending on how the markets perform.

Although it is possible to apply for a short-term loan to consolidate debt – choosing a loan over a longer term will reduce your repayments and allow you to have extra money over at the end of each month.

List of direct lenders offering Debt consolidation loans

ANZ
- Loans up to $50,000
- Term up to 7 years
- Interest from 12.45%
Bankwest
- Loans up to $50,000
- Term up to 7 years
- Interest from 11.99%
Commonwealth Ba...
- Loans up to $50,000
- Term up to 5 years
- Interest from 12.99%
Community First...
- Unsecured loans
- Term up to 5 years
- Interest from 5.99%
Mozo
- Loans up to $75,000
- Term up to 7 years
- Interest from 5.48%
Australian Lend...
- Debt solutions
- Fast loan response
- Expert lending options
CUA
- Loans up to $50,000
- Term up to 7 years
- Interest from 9.89%
Debt Mediators
- Loans up to $50,000
- Simple debt help
- Lower> interest rates
Fox Symes
- Bad credit loans
- Become debt-free
- Free debt analysis
National Austra...
- Loans up to $55,000
- Term up to 7 years
- Interest from 12.69%
P&N Bank
- Loans up to $100,000
- Term up to 5 years
- Interest from 6.81%
RAC Finance
- Loans up to $100,000
- Term up to 7 years
- Interest from 6.20%
RACV Finance
- Simple debt solutions
- Term up to 7 years
- Lower rates
Westpac
- Loans up to $50,000
- Term up to 7 years
- Interest from 12.99%
Debt Relief
- One affordable payment
- Lower rates
- Get rid of debt
Info Choice
- Loans up to $30,000
- Compare loans online
- Interest from 4.85%
Credit Repair
- Apply online
- Debt solutions
- Free consultation
Debt Negotiator...
- Loans up to $1,000,000
- Term up to 25 years
- One repayment plan
Debt Fix
- Expert debt solutions
- One affordable payment
- Lower interest rates
Bank SA
- Loans up to $4,000
- Term up to 7 years
- Interest from 7.89%
Now Finance
- Loans up to $50,000
- Term up to 7 years
- Interest from 8.95%
Hume Bank
- Loans up to $100,000
- Term up to 4 years
- Interest from 6.95%
Beyond Debt
- Protect your assets
- Get better rates
- Simple debt solutions
Harmoney
- Loans up to $70,000
- Term up to 5 years
- Interest from 6.99%
HSBC
- Loans up to $100,000
- Term up to 5 years
- Interest from 8.50%
Aussie
- Compare rates online
- Get the best deals
- Interest from 2.44%
Sort My Debt
- Free debt assessment
- Fast debt solutions
- Apply online TODAY
Debt Free Austr...
- Lower interest rates
- Credit score repair
- Financial freedom
My State
- Loans up to $75,000
- Term up to 10 years
- Interest from 7.99%
Police Credit U...
- Starting from $5,000
- Term up to 5 years
- Interest from 6.90%
Life After Debt
- Loans up to $100,000
- Term up to 10 years
- Interest from 18%
Safe Financial
- Loans up to $5,000
- Term up to 33 weeks
- Interest from 8.7%
Queenslander’s ...
- Loans up to $20,000
- Term up to 5 years
- Interest from 12.95%
Auswide Bank
- Loans up to $100,000
- Term up to 6 years
- Interest from 9.90%
Australian Debt...
Mortgage World
- Loans up to $40,000
- Term up to 60 months
- Interest from 5.95%