Safrock is a lender-finder. We do not offer financial advice when it comes to personal loans. Consider seeking independent legal, financial, taxation or other advice to check how the information and ideas presented on this website relate to your unique circumstances.
This example is for illustrative purposes only. We use ‘Sally’ as an example to demonstrate how Safrock could help you.
Sally is stressed, strung-out, and now she’s sad too. She’s been working such long hours just to make ends meet that she hasn’t been able to spend any time with her pet dog, Sooty. Sally hasn’t had time to notice that Sooty is unwell and won’t eat properly. Sooty doesn’t even want to go for a walk. Sally calls in sick to work and rushes Sooty to the vet, only to find out that the bill is going to be in the thousands. Sally panics, wondering how she’s going to pay these medical expenses and make up for the day’s work she’s just lost. Sitting in the waiting room, Sally promises both Sooty and the vet that she will find a way. The vet takes Sooty off for treatment and Sally leaves, alone and still sad.
What does Sally do next? Does she beg her boss for yet more hours at work? Get a second job that she doesn’t even have time for? Make herself sick with worry? Or, does she stumble across Safrock and apply for a reputable online loan so that she can help save Sooty’s life?
Australia’s Financial Anxiety Doesn’t Have to be Your Anxiety
Sally is not alone. A growing number of Australians are reporting being in a state of financial anxiety or hardship. Late in 2018, the National Australia Bank (NAB) conducted their Consumer Anxiety Survey and found that the Anxiety Index spiked to 62 points. The higher the reading, the higher the anxiety levels. This is the highest level the index has reached in over three years. The survey found that around four in 10 of us have experienced some kind of hardship within the last quarter of 2018.
Like any form of anxiety, financial anxiety can have profound effects on our wellbeing. Personal finance worries are among the most common causes of stress and concern in Australia. Some effects of financial anxiety can include difficulty sleeping, relationship breakdown, feeling fearful or withdrawing from those close to you. If you are struggling with any of these issues, it’s important that you seek professional advice so that you are able to take charge of your own future.
While Sally’s situation is upsetting and could be a little more tense than your own, there are ways that you can overcome your financial barriers.
What Things Should You Consider?
In a stressful emergency, it can be easy to make rash decisions without careful consideration. These decisions could quickly make your situation even more stressful. If you find yourself in need of a fast online loan, ensure you are as prepared and informed as you can be by considering the following:
- Calculate carefully: At any point, it is smart to be prepared and be aware of exactly where you stand with your finances. Have a weekly budget or keep track of your spending and expenses. This will help you understand how much or how little disposable income you have in case of an emergency like Sooty’s.
- Explore all your options: Do as much of your own reading and research about online personal loans as your time allows. Talk to friends, family, and finance professionals. The number of easy and fuss-free options that are available at your fingertips makes it even more important that you are well informed so you can make your own decisions.
- Read the fine print: Cliché or not, this is incredibly important whether you are in the early stages of your research or you’ve just been approved for an online loan. Study the loan period, terms, fees, charges, rates and payment schedule. Each of these factors will vary greatly between lenders and understanding them could save you hundreds or even thousands over the period of your loan.
What Are Online Loans?
An online loan is money that is borrowed from an online lender, rather than from a bank. Typically online personal loans can range from $2,500 to $25,000.
Online personal loans are not the entire solution, but with the right advice and comparison service, they can help people like Sally make informed decisions to cover unexpected costs. Over the last 10 years, the demand for short term loans in an online format has increased 20-fold. A few years ago, 1.1-million Australians were taking out three to five personal loans per year. Imagine how much that number has risen to in 2019.
One search on Google for ‘online loans’ and you will see just how many loan places online are out there. It’s hard to know which ones are legit and which ones you should steer clear of. Online loans are not necessarily ‘easy cash,’ and nor should they be treated that way. Any online loan marketing itself as a quick, instant ‘payday loan’ will probably make Sally’s situation worse. These kinds of loans generally have very short repayment periods with very high comparison rates.
How Can Online Personal Loans Help You?
- Renovations: Selling, remodelling or upgrading your worn-out appliances will often require significant funding. If your budget allows for it, a small personal loan could be more beneficial than refinancing your existing loan.
- Business: You might just need some new point of sale technology and don’t want to take out a hefty business loan to get it. A small online loan could be a good way to get things sorted quickly.
- Education: In this digital age, upskilling yourself is becoming more important. This is particularly so for business owners or long-time employees who were educated some time ago. A personal loan could help you pay your education fees or cover some of your living expenses while returning to study.
- Wedding: The Australian average for the grand total cost of your big day is $90,000, so for most of us, it’s time to get saving or seek a helping hand. An online loan, particularly with repayments shared between two people, could help you pay for a day to remember.
- Emergencies: Research has found that more than one in five Australians do not have access to an emergency fund of even $500. Vet and medical bills, car troubles, toothaches, broken appliances and plumber callouts are financial disasters. The most sensible way to use an online loan is for unexpected expenses that you have no way of covering yourself.
Six Steps to Get Fast Approval for Your Online Personal Loan
-
- Make sure you meet the basic criteria. Most lenders will require a minimum of; 100 points of ID to prove you are over 18, Australian citizenship or permanent residency, proof of a regular income for the last three months, and your contact details. Have your paperwork in order.
- Only apply for what you need. Applying for a little extra may be tempting in the short term, but it’s a sure-fire way to cop interest charges that you really don’t need to be paying. Stick to your calculations. In Sally’s case, she really only needs to apply for the exact amount of Sooty’s vet bill.
- Maintain a good credit rating. Though this may not always be possible and many of the lenders we find understand this. At the very least, be aware of what your rating is and research ways that you can improve it for the future.
- Manage your finances. It’s scary but important. Know where you stand.
- Be honest. Lying about your income, assets or ability to manage a loan could be tempting if you are stressed and in quick need of cash. In no way will this help, particularly when applying with reputable online lenders like the ones affiliated with Safrock. As in all areas of life, honesty is by far the best policy.
- Have the details of your asset ready. All loans found through our comparison service are secured loans. Whether it is your car, motorbike, caravan or boat, you will need to provide your lender with as many details as possible.
How We Can Help You Get a Loan Online
At Safrock we understand that money causes stress, and that navigating this online financial world can be confronting. We work hard to match people like Sally with lenders that are going to meet their needs.
We aim to remove the confusion with our 100% online, free, easy, no obligation application. Our premium security means you can rest easy knowing your details and data is safe.
All personal loans that are offered through Safrock’s lender-find service are secured loans. This allows us to provide you with more lending options, often with lower rates.
Upon receiving your application, we will put together a secured personal loan comparison of our lenders that are most suited to your circumstances. We base this circumstantial information on the details you provide in your application. So, be as thorough as possible and we will do our best to give you the best personal loan comparison Australia has to offer.
What if Sally Falls Behind?
The worst case for Sally in her situation is that she gets an instant approval for her online loan, but within a few weeks, she’s struggling to make her repayments and keep up with Sooty’s increased needs. While no one ever plans for these situations, with a combination of conflicting factors it can be easy to find yourself here.
If this does happen, Sally will need to speak directly to her lender as soon as she can. Lenders are often able to work with you if you give them notice of a change in your situation at least 48 hours before your next payment is due. Being honest and speaking up about financial difficulties is a better option than letting your credit rating suffer through missed or late payments.
How to Apply
Step 1: Apply Online
Our application form could take you just minutes to fill out if you have all necessary documentation handy. Then, just choose your amount and loan duration and the magic begins.
Step 2: Meet Your Match
After you’ve submitted your application to us, our team gets to work on finding you a premium lender. We will then present you with a comparison of online personal loans straight away, working hard to match you with the right lenders. Once you have selected your lender, we will send them your application.
Step 3: Find a Premium Loan
Your lender will then assess your application. From there, processing times depend on each individual lender. If you’re approved, you should receive the funds straight into your nominated bank account. As we are 100% online, you can apply any time of day or night. However, applying during business hours will ensure your needs are met the same day.
It’s that easy! If Sally gets started now with her online personal loan application, Sooty’s vet bill could be taken care of by the end of the day so they can get back to what’s important.
Looking for a secured car loan or an urgent loan? Let Safrock do the hard work for you and find a lender for the job!
Keep up to date with all things finance on the Safrock blog! Read up on calculating interest, loan rates and how much you can borrow!
