Debt Consolidation Bad Credit Up To $10,000

Debt consolidation bad credit; looking to consolidate your debts into one, easy-to-manage loan? That’s where Monzi’s lender-finder service can help. We might be able to match you with a lender ASAP. Apply today.

Monzi is a lender-finding service. We do not offer financial advice. 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.

Bad credit debt consolidation loans

There’s no doubt that being in debt can be extremely stressful. If you’re dealing with multiple debts at the same time, however, it may feel almost overwhelming.

With different interest rates, fees and repayment periods, it can be easy to lose track of what you owe on loans. That’s where debt consolidation bad credit comes in.

Rather than dealing with multiple loans and the different repayment terms associated with this, debt consolidation brings it all together into one, easy-to-manage loan.

There’s one loan, one regular repayment and one interest rate. It may save you money, time and stress.

If you’re looking to consolidate up to $10,000 worth of debt, consider applying with Monzi. Our lender-finder service may be able to match you with a lender who can help.

Debt consolidation loans for bad credit: Monzi might be able to help

Hi, we’re Monzi, one of Australia’s leading lender-finder services.

In short, we match those looking to borrow with a lender that may be able to help.

Applying with Monzi is so easy and our automated system will aim to find an available lender willing to assess your claim. Apply during business hours and you might have an outcome in just 60 minutes.

Monzi is here to make finding a quick cash lender simple and convenient.

So, for debt consolidation bad credit up to $10,000, apply with Monzi today.

Debt consolidation loans for bad credit online decision

In the past, if you were applying for a loan then you had no choice but to go to the bank. These days, things are a little different.

Now, It’s possible to be approved for a debt consolidation loan online from the comfort of your own home. There’s no meetings or paperwork required.

If you apply online with Monzi we can potentially match you with lenders offering loans of up to $10,000. They’ll assess your application fast so you can have an outcome before you know it.

Depending on the amount you need, you’ll be applying for one of three cash loan types. Each loan varies slightly so it’s important to understand which type of loan you will be applying for. See below:

Small loans

  • $300 to $2,000
  • Unsecured
  • 12 month repayment period.

Medium loans

  • Loan amounts from $2,001 to $4,600
  • 13 to 24 month repayment period
  • Secured loans.

Large loans

  • Secured loans from $5,000 to $10,000
  • Repayment periods range from 13 to 24 months.

Finally, the repayment terms you’re potentially offered may not reflect what is presented above.

The below table shows examples of the loans past Monzi customers have been approved for.

Debt consolidation loans with bad credit
Debt consolidation loans for bad credit and unemployed
Personal loans for debt consolidation bad credit

Secured and unsecured debt consolidation bad credit

Personal loans come in two forms: secured and unsecured.

With unsecured debt consolidation loans, the borrower is not required to attach an asset as security. Instead, the lender is relying on the borrower making their required repayments.

On the other hand, with a secured loan, the borrower must sign over an asset (e.g. car or boat) as security. This asset acts as a guarantee that the borrower will make their repayments; in the event of default, the lender may take steps to repossess the asset in order to recover their losses.

In most cases, secured loans are larger in size meaning the lender’s potential loss is greater. As such, security is required.

Debt consolidation loans Australia bad credit

Banks may be to be hesitant to lend you money if you have bad credit history, but why?

In short, bad credit makes you a risk. Your bad credit reflects your history as a borrower. If you’ve defaulted on repayments in the past, lenders may interpret this as you being unreliable in the present.

Luckily, if you’ve got bad credit, there are options for you.

These days, more and more online lenders are willing to take a chance on individuals with bad credit and Monzi may be able to help you find them.

While we cannot provide any guarantees, if you apply with Monzi, we can potentially match you with a lender who can offer debt consolidation loans with bad credit rating.

Bad credit debt consolidation loans Australia: assessment

So, if you’ve got bad credit but are looking to consolidate your debt, what will lenders assess?

Obviously, simply examining your credit history won’t be enough. As a result, lenders will look at your complete financial situation.

They’ll put your income and expenses under the microscope to determine what is affordable for you. If the repayments would work for your current budget then your bad credit won’t necessarily stand in the way of approval.

However, it’s worth noting that a debt consolidation loan bad credit may come with a higher interest rate or additional fees in order to account for the lender’s additional risk. Just ensure you check the terms before agreeing to any loan.

Improving your credit score: the quick guide

While you can potentially be offered debt consolidation with bad credit, improving your credit score should be everyone’s goal.

However, there is no quick fix. If you’ve made some mistakes in your past then it will take time for these listings to be forgotten about.

In short, improving your credit score score is about time and discipline. Implement good borrowing habits and stick to them. Slowly but surely, you can get that credit score turned around.

Handy tips include:

  • Reduce new applications for credit and only apply if absolutely necessary
  • Find the best deals (e.g. lowest interest rates)
  • Make repayments on time
  • Pay your bills on time
  • Check your credit report regularly

Online debt consolidation loans bad credit

These days online lenders are a dime a dozen. Do a quick Google search and you’ll find yourself inundated with credit providers willing to offer you the cash you need.

Monzi may make it easy to find lenders offering bad credit debt consolidation loans. Submit one simple application and our automated system works to try and pair you with an available lender to assess your application.

You can apply during business hours and you may be matched with a lender in just one hour. It’s a simple and convenient way to find potential lenders online.

In addition, consumers can quickly use our online service from any part of Australia. In short, all you need is a device and an internet signal.

Guaranteed debt consolidation loans for bad credit

Unfortunately, no loans come with guaranteed approval.

In Australia, lenders must assess all loan applications (including debt consolidation loans) they receive to ensure the loan is suitable and affordable for the borrower.

To do this, lenders must make inquiries into the borrower’s financial situation and take steps to verify this information. From there, they must make a final determination as to whether the loan is suitable for the borrower.

Should you encounter a lender offering guaranteed approval, avoid them. The process exists to protect you as a borrower.

For more details regarding responsible lending practices, visit the ASIC website. It should contain all the information that you need to know.

debt consolidation bad credit hand raised above wheat field

Monzi’s eligibility

Are you looking to apply for debt consolidation loans with bad credit through Monzi?

Before you get started, ensure you meet our four eligibility criteria. Don’t worry, they’re really simple.

  • At least 18 years of age
  • Australian citizen or permanent resident
  • Have an active email address and mobile phone number
  • Earned a regular income, deposited into an online bank account, for the three months prior to your application.

Applying with Monzi

We’ve made applying simple. We’ve honed our process down into three easy steps. It will take you minutes, meaning you can get back to doing the things you enjoy sooner.

  1. Apply: decide how much you wish to borrow and your preferred repayment terms. Following this, supply the required personal details and information. Hit submit.
  2. Wait: After receiving your application, our automated system sets about trying to find an available lender willing to assess your claim. In an ideal world, we’ll find a match for you in just 60 minutes.
  3. Outcome: if we find a match for you, we’ll be in touch to let you know the good news. From there, the lender will contact you to assess your bad credit debt consolidation loan application.

Finally, all applications are subject to assessment. Matching with a lender does not guarantee approval, as the lender will first assess you and gets in contact with a loan contract if you’re approved.

Debt consolidation loans for bad credit and unemployed

Debt and unemployment can raise your stress levels quickly. Without a regular income, affording your scheduled repayments may feel impossible.

If you are unemployed and in debt, you may be eligible for a hardship variation. Get in contact with your lender directly and go from there. Otherwise, call the National Debt Helpline on 1800 007 007 or visit MoneySmart’s page on dealing with debt.

If you are unemployed and seeking a debt consolidation loan, there may be some lenders willing to help. However, you will need to prove that you are earning income in some form.

While it may not be a wage, it could be rent earned from an owned asset or share dividend payments.

Advantages of debt consolidation bad credit

Consolidation may be the right choice for you if you find yourself struggling to repay your existing instant cash loans Australia debts. Typically, the main advantages cited for debt consolidation are as following:

It makes things simple

If you’ve got multiple debts, it can be tough to keep track of all the repayments, fees and charges. Debt consolidation makes it simple. You will only have to worry about one, regular repayment making it easier to manage and monitor your progress.

You can save yourself money

Bad credit debt consolidation loans can save you money by minimising the amount you are required to pay in fees, charges or interest.

As a word of warning though, before agreeing to any debt consolidation loan, make absolutely certain that you will be saving yourself money. Otherwise, consolidating your debt will be for nothing.

You have an end date

With multiple debts with different terms, it can be easy to feel like there’s no light at the end of the tunnel. On the other hand, personal loans for debt consolidation bad credit will come with a fixed repayment term. That means you’ll have a clear end date to work towards that will leave you free of debt.

Debt consolidation bad credit loans: the checklist

Debt consolidation loans for bad credit come in a range of forms. As such, it’s important to understand exactly what you are applying for beforehand.

Before agreeing to any debt consolidation loan, ensure you have considered and explored the following factors:

  • Compare the fees, charges and interest rates on offer: these features will differ between lenders offering debt consolidation loans. Moreover, make sure that before you take out a debt consolidation loan you will be paying less than you would with your original debts.
  • Review the loan terms: be wary of long-term loans. While paying off a short-term loan over a long period may reduce the interest rate, the total interest paid may be greater. Short repayment terms, however, will come with higher repayments.
  • Ensure the lender is licenced and well-regarded: check their reviews to get an idea of past user experiences.

What’s the best debt consolidation loan for bad credit?

Unfortunately, Monzi cannot say which loan or lender is right for you. We do not compare lenders and simply aim to pair you with a potential lender who may be able to offer you the loan you need.

The lender will assess your application to determine if the loan is suitable and affordable for you.

However, if you apply with Monzi, you can be sure that you will only be paired with a high-quality, licenced lender. Monzi has worked to develop an extensive network of lenders who all comply with their responsible lending obligations.

How to get a debt consolidation loan with bad credit?

Monzi may be able to help!

We work with a host of lenders who can potentially offer debt consolidation loans bad credit Australia.

Submit an application and you can be matched with an available lender in no time. From there, they’ll assess your claim to determine if the loan is right for you.

While approval is never guaranteed, you can apply for an amount up to $10,000.

At the end of the day, Monzi makes it simple to access a network of potential lenders. You may be able to consolidate your debts today.

What do debt consolidation loans bad credit lenders assess?

In assessing your application, lenders are looking to determine if you will be able to repay the loan you have applied for. As such, they’re interested in investigating your financial situation as a whole.

Typically, they’ll look into the following:

  • Creditworthiness: a measure of your reliability as a borrower.
  • Income
  • Day-to-day expenses (e.g. rent, food, bills)
  • Existing debts: how much debt do you have to consolidate?
  • Loan features: how much are you looking to borrow and what are the repayment terms? From there, lenders can calculate how the repayments would fit in with your current budget.

Lenders are likely to conduct a credit check to gauge your creditworthiness.

Contact Monzi

At Monzi, we’re open, honest and here to help. As a result, we’re happy to answer any questions you may have about Monzi or our lender-finder process. Email us at hello@monzi.com.au and we’ll do our best to get back to you ASAP.

Do note, however, that if you are looking for answers regarding your financial situation and if debt consolidation is right for you then Monzi will be unable to help. You will instead need to seek qualified financial advice.

Apply today

A debt consolidation loan can be a big step to regaining control of your finances. However, before applying, ensure that it is right for you.

When you’re ready to apply, Monzi will be here to find you a great lender offering the debt consolidation loans you need.

Want more Monzi Loans? Keep in touch on Facebook, Instagram, Twitter and Pinterest.

Factor In

Costs

Two credit cards
Two credit cards

You won't use a penny to apply for our lender-finding service, but here's some costs you could expect from a lender

Loan amount

$300 - $2,000

Terms

12 months

Costs

20% upfront establishment fee

+ 4% monthly fee

Example

Loan Amount of $1,000 over 6 months repayable weekly (25 weekly repayments). $1,000 (Principal Amount) + $200 (20% Establishment Fee) + $240 (fees based on 4% per month over 25 weeks) = $1,440 total repayable in 25 weekly installments of $57.60.

Under the current legislation, most small personal loan providers don’t charge an annual interest rate (you’ll know this as an APR) %. The maximum you will be charged is a flat 20% Establishment Fee and a flat 4% Monthly Fee. The maximum comparison rate on loans between $300 and $2000 is 199.43%. 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

Loan amount

$2,001 - $4,600

Terms

13 months

24 months

Costs

48% annual percantage rate

67.41% comparison rate p.a.

Example

Loan Amount of $3,000 over 18 months repayable weekly (78 weekly repayments). $3,000 (Principle Amount) + $400 (Establishment Fee) + $1,379.06 (reducing interest) = $4,779.06 total repayable over 18 months with weekly installments of $61.27.

The Interest Rate for Secured Medium Loans is 48%. The Typical Comparison Rate is 67.41% p.a. 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 with the lender that finances your loan. Click here to see a worked example.

Loan amount

$5,000 - $10,000

Terms

13 months

24 months

Costs

21.24% annual percantage rate

48% comparison rate p.a.

Example

Loan Amount of $10,000 over 24 months repayable weekly (104 weekly repayments). $10,000 (Principle Amount) + $5,577.12 (Interest) = $15,577.12 total repayable over 24 months with weekly installments of $149.78.

The Interest Rate for Secured Large Amount Loans is 48%. Maximum Comparison Rate is 48% p.a. 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 with the lender that finances your loan. Click here to see a worked example.