Break Free Home Loans are a leading Melbourne mortgage broker, with over 20 years of industry experience. We provide lending solutions and advice tailored to your needs. We work closely with clients as trusted advisors and are accessible to clients when needed.
Our brokers work hard at understanding our client’s unique circumstances and helping them overcome common home loan challenges. Whether you’re a first home buyer or an experienced investor, we’ll help you find the best home loan for your situation. Whether you’re self-employed and have trouble proving your income or you’re a contractor or casual worker, we offer solutions for all types of clients’ income sources.
If you have bad credit, it can be difficult to get approved for a loan. Bad credit loans are designed for people with less-than-perfect credit who may not be able to get approved for a traditional loan. Our brokers at Break Free Home Loans help connect borrowers with reputable lenders who offer affordable loans for bad credit applicants. If a credit issue has been preventing you from getting the loan you need, we can help you get back on track financially. Work with our brokers today to begin your loan application.
What Is A Bad Credit Loan
What Are Personal Loans For Bad Credit
Personal loans for bad credit are designed to help people with a poor credit history. Bad credit loans can be used for a variety of purposes, including consolidating debt, financing a large purchase, or making home improvements. There are many different types of bad credit loans available, including secured and unsecured loans, fixed-rate and variable-rate loans, and personal loans.
How Much Can You Borrow
Requirements For Bad Credit Loans In Melbourne
- Be over 18 years of age
- Be a permanent Australian resident or citizen
- Be currently employed for 6 months or have been self-employed for a minimum of 12 months
- Earn a gross income over $45,000
Minimum Credit Score
Bad Credit Loan Details To Consider
“I need a loan urgently but have bad credit. Can I still be approved for finance?” This is something we hear often from our clients. And while there are fast loans bad credit applicants can qualify for, it’s important to carefully compare the following considerations before committing to anything:
Terms will vary depending on the lender, but in general, bad credit loans will have shorter repayment terms and higher interest rates than loans for people with good credit. This means your monthly repayments will be higher and you will have to make more repayments to pay off your loan sooner. It’s important to consider the ideal loan term for you to comfortably fit your repayments into your budget.
While you can quickly find easy loans bad credit finance options, you should always pay attention to the fees and charges. This includes any ongoing monthly or annual fees, as well as any upfront establishment fees. Some bad credit lenders will advertise “no fees” loans, but this doesn’t mean there are absolutely no fees associated with the loan. In most cases, these loans will have higher interest rates to make up for the lack of fees. So, while you may not be paying any upfront costs, you could end up paying more in the long run.
You should also negotiate for a flexible repayment schedule, in case you experience any financial difficulties down the line. You can have a monthly, weekly, or fortnightly repayment schedule, depending on your preference. You can match your payments with your salary dates or income cycle if you’re self-employed. You should also check if you can make any early or extra repayments on your loan without being penalised. This can help you pay off your debt sooner.
Applying For A Loan
You can also apply physically at the lender’s office. If you’re considering taking out a bad credit loan, there are a few things you should keep in mind. First, make sure you understand the terms of the loan and what your repayment schedule will be. Second, be aware that you may have to pay higher interest rates and fees than people with good credit. Bad credit loans can be a great way to get the money you need when you have poor credit. However, it’s important to compare different offers and make sure you understand the terms of the loan before you apply.
How Can I Use Fast Loans With Bad Credit Score?
Can you use bad credit loans responsibly? The answer is yes. Bad credit loans are designed for people with less-than-perfect credit. They typically have higher interest rates and may have stricter terms than loans for people with good credit. But if you make all of your payments on time, you can rebuild your credit score and eventually qualify for better loans.
However, you should also be aware of the risks of taking out a bad credit loan. The biggest risk of taking out a bad credit loan is that you could end up with even more debt if you can’t make your payments on time. That’s why it’s important to only borrow what you can afford to repay, and to make sure you have a plan in place for how you’ll repay your loan. Once you’ve appraised these potential benefits and drawbacks, you can decide whether a bad credit loan is the best decision for your needs. It’s important to consider whether this type of financing will provide you the most value and flexibility based on your financial circumstance.
How To Improve Bad Credit Score In Melbourne
Ensure Your Credit File Is Accurate
Use A Credit Card
Do Not Apply For Too Many Loans
Pay On Time
Don’t Change Jobs Frequently
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Frequently Asked Questions
What Is A Bad Credit Loan?
I Need A Loan Urgently But Have Bad Credit. Can I Still Get Finance?
To qualify for a bad credit loan, you’ll need to prove that you have a regular income and a bank account. If you’re struggling to get approved for a bad credit loan, the following are some tips we recommend to improve your chances of qualifying with a lender:
- Applying for a smaller loan amount, which will make it easier to get approved.
- Offering collateral, such as a car or home, to secure the loan.
- Getting a cosigner to help you with the loan application.
- Paying your bills on time, keeping balances low on credit and using credit responsibly.
- Putting a larger down payment when applicable.