Debt Consolidation Loans

Debt consolidation loans can combine your multiple debts into one, easy-to-manage loan. Not only can you simplify your life, but you may also save money! Apply with Monzi and we may be able to match you with a lender offering consolidation loans from $300 to $10,000.

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.

Debt consolidation loans Australia

Do you have multiple outstanding debts? Whether it’s a credit card, personal loans or a mortgage, managing a number of debts at one time is stressful.

Keeping track of all the associated rates, fees, charges and repayments can quickly become difficult. At times, it may feel like there’s no light at the end of the tunnel.

That’s where consolidation loans can help. These loans bring all your existing debts together into one single loan. As a result, you only have to worry about making one regular repayment.

Best of all, these loans may come with a fixed term, meaning you’ll know exactly when your debt will be repaid.

This, however, is just a brief overview. There’s so much more to consider with debt consolidation loans. So, let’s go.

Best debt consolidation loans Australia: Monzi’s lender-finder service

Hi, we’re Monzi, one of Australia’s lender-finder services. What we do is simple; we aim to match those looking to borrow with a potential lender.

When it comes to debt consolidation, however, we are unable to say which one is right for you. Ultimately, it will come down to your own unique financial situation.

What we can do, however, is potentially matching you with one of the many great lenders in our network. They may then be able to offer you the consolidation loans you need from $300 to $10,000.

Possible loans offered by Monzi’s lenders can be seen below:

Consolidation loansAmount (AUD)Approved
Consolidation loans for bad credit unsecured$900
Debt consolidation bad credit$1,500
Large debt consolidation loans$3,000

The loan you might be offered through our network may not neccessarily reflect what is shown above.

Personal loans for debt consolidation

With a personal loan, you get the cash you need to consolidate your debt. From there, you’re then required to make one regular repayment over a fixed term.

At Monzi, we work with lenders who can potentially offer personal loans that range from $300 to $10,000. Depending on the amount of money you need to borrow, you will be applying for one of three loans.

Each loan differs slightly so it’s important to understand which one is right for you. See below for details:

Small loan

  • $300 to $2,000
  • Unsecured
  • Repaid over 12 months

Medium loan

  • Loans from $2,100 to $4,600
  • Secured
  • Repayments periods from 13 to 24 months

Large loan

  • Loan amounts from $5,000 to $10,000
  • Secured
  • Repaid over 13 to 24 months

Bad credit debt consolidation loans

Poor credit history doesn’t have to stand in the way of accessing finance online. These days there are a ton of lenders out there who may be understanding of your personal situation.

While we’d all love to have perfect credit, that’s just not a reality. Monzi works with lenders that understand this.

While they may investigate your credit history, it likely won’t be the only thing that’s considered. In other words, your current financial situation can be just as important too.

So, if you think consolidation loans for bad credit are right for your financial situation, check out Monzi. Our lender-finder service can make it easy to find understanding lenders online.

Interest free loans

The lenders that Monzi associate with may be able to offer a range of different loan products. That means whether you’re looking for small loans or something a little larger, Monzi might be able to help.

However, an interest rate will always be applied to your loan. This rate will be outlined to you in your loan contract and will determine how much you are required to repay on top of the principal amount that you borrowed.

If you are looking for inerest free loans, Monzi cannot help you. You will need to do your own research and look elsewhere.

Debt consolidation loans calculator

If you are keen to know how much you could save by consolidating your debt then you’re in luck. There are a host of online loans tools that can help.

These free calculators allow you to enter how much you currently owe to give you an estimate on what your repayments would be on loans Australia.

In short, they’re a great place to start. They may be able to help you determine if debt consolidation is right for your financial situation.

Unsecured consolidation loans bad credit

Unsecured loans are typically offered for amounts of under $2,000. As they’re unsecured, there’s no need to attach an asset as security. Simply, make your required repayments until the loan is paid off.

On the other hand, if you’ve got a little bit more debt to consolidate then you will need to secure your loan with an asset. This asset could be your car, boat or caravan to name a few.

In short, this asset acts as a guarantee that you will make your repayments. Lenders are taking a risk by lending you money. In the event that you default on your repayments they may take steps to repossess the asset in order to recover their losses.

Consolidation loans for bad credit online decision

Monzi’s lender-finder service is 100% online.

From start to finish, there’s no paperwork or face-to-face meetings; all you have to do is apply.

From there, our system will aim to pair you with an available lender ready to assess your claim in just 60 minutes. However, this is contingent upon you applying during business hours.

At the end of the day, Monzi’s lender-finder service is the convenient way to access online loans bad credit.

Debt consolidation loans bad credit lenders

If some lenders are willing to look past your bad credit then you’re probably wondering what they will consider.

In short, they’ll look at your financial situation as a whole. While your credit history is one part of this, your current budget (i.e. income less expenses) can be just as important too.

Given that you’re looking to consolidate your debt, they will also need to know how much debt you have outstanding.

By looking at the full picture, the lender can then determine if you should be offered bad credit debt consolidation unsecured.

While approval is never guaranteed, a dodgy credit history may not be the be-all and end-all when it comes to your application.

Debt consolidation with bad credit rating: how to improve your credit score

If you’ve been dealing with debt for a while then there’s a good chance your credit score has taken a hit.

Luckily, it is possible to recover. Improving your credit score requires time and discipline but it can be done.

Just implement effective borrowing habits and maintain them over time. Slowly but surely you’ll start to see improvements.

Tips to improve your credit include:

  • Don’t rely on credit unless you need it
  • Pay off your debts ASAP
  • Pay your bills on time
  • Find the best deal when you borrow money (e.g. lowest interest rate)
  • Monitor your credit report

Debt consolidation loans orange life buoy

Am I eligible to apply with Monzi?

Before you begin your application, ensure you check these four boxes:

  • An Australian citizen or permanent resident
  • At least 18 years of age
  • Have a current mobile phone number and email address
  • Earned a regular income for three months prior to your application

How do I apply?

It’s really simple!

Just follow these three steps:

Step one: apply

First things first you need to tell us how much you wish to borrow as well as your ideal repayments. Then, enter the required personal details and hit submit.

Step two: wait

After you submit your application, we take over. Our automated system scans our lender network to try and pair you with an available lender to assess your application. Apply during business hours and this may take just 60 minutes.

Step three: outcome

Whether we find a match for you or not, we’ll be in touch to inform you of the outcome. If you’re successfully paired with a lender then they will be in touch to assess your application.

Finally, lenders send you a digital loan contract if you’re approved.

Guaranteed debt consolidation for bad credit

We’ll make it simple: no loan applications come with guaranteed approval.

This is due to the fact that in order to comply with their responsible lending obligations, lenders must assess all applications they receive. That means, they’ll take steps to investigate your financial situation in order to determine if the loan you’ve applied for is suitable for your circumstances.

It’s about protecting you as a borrower. You will not be offered loans with bad credit if they are found to be unsuitable for your needs or financial situation.

If you do come across lenders promising guaranteed approval, avoid them at all costs. They are failing to comply with Australia’s lending laws which can potentially put you at risk.

Debt consolidation for Centrelink customers

Receiving Government benefit payments? You won’t automatically be ruled ineligible for a loan.

When it comes to debt consolidation bad credit loans for Centrelink customers, however, it’s important to understand that lenders will differ in their approaches.

While some lenders will view benefit payments as income, others will not. Moreover, lenders may view certain payment types differently too (e.g. youth allowance).

Ultimately, if you are receiving Centrelink payments, approval of your loan is at the mercy of the individual lender and their assessment policies.

If you are struggling with debt, call the National Debt Helpline on 1800 007 007.

Consolidation loans for bad credit and unemployed

When you’ve got bad credit and you’re unemployed, finding a lender may feel like an uphill battle. However, there may be some lenders willing to help.

First of all, if you are unemployed and apply for a loan you will have to prove that you are earning income in some form. This could include rent from an asset or benefit payments.

Ultimately, taking out new credit may not solve your financial problems. If you are struggling with debt, consider the Government’s MoneySmart website.

How does a debt consolidation loan work?

In order to consolidate your debt with a personal loan you will need to take the following steps:

  1. Calculate how much you need to borrow to consolidate your debt. Make sure you include any exit fees or charges applied for paying off your existing debts early.
  2. Do your research: find the right loan at the best possible interest rate.
  3. Apply for the loan.
  4. Use the amount you borrowed to pay off your current outstanding debts.
  5. Make your scheduled repayments on the single personal loan until your debt is repaid.

Why should I consolidate my debt: the benefits

As with most things in life, debt consolidation comes with both positives and negatives.

In short, before you decide to consolidate your debt it’s important to understand exactly how it could affect your financial situation.

In any case, the benefits typically associated with debt consolidation loans Australia bad credit include:

Reduce your long-term costs

When done correctly, the major benefit of consolidating your debt is that it can save you money. If you’re paying fees and interest on a number of debts, costs can soon add up. Consolidating your debts means you only have to pay fees and interest on one loan which can potentially save you a ton.

Manage your repayments easily

When you consolidate your debts that means you’re only dealing with one lender, one repayment and one set of fees. In short, it’s a lot easier than having a number of different debts on the go at once.

Get your debt under control

Is your debt spiralling out of control? Are you struggling to keep track of what you need to repay? Easy debt consolidation can help get you back on track by providing a clear path to repaying your debts.

The downsides of Aussie debt consolidation

While debt consolidation can make managing your debts much simpler, they are not always the perfect solution. Moreover, there are a number of downsides and drawbacks that mean debt consolidation may not be right for your financial situation.

Depending on your circumstances and the loan you are offered, potential issues may include:

  • There may be cheaper debt management options.
  • Longer repayment periods can result in you paying more interest.
  • If you’ve already defaulted on some repayments, loan approval may be difficult.

Compare consolidation loans: what to look for

If you opt to search for your own low interest debt consolidation loans, then it’s important to know what you are looking for.

Finding the right loan can potentially save you a ton of money while making your life easier too. So, consider these factors when searching for the best personal loans:

  • The interest rate: typically, the lower the better.
  • Fees and charges: lenders may apply late, account, early-exit or administrative fees. Read your loan contract carefully.
  • Repayment periods: how long will you be making repayments for?
  • The lender: check their reviews online. Make sure they have a history of providing excellent service for their customers.

Why you should apply with Monzi

Sure, Monzi makes finding a lender simple and convenient, but that’s not it.

When you apply with Monzi, you’ll encounter so many of these great additional benefits. Check them out:

There’s no paperwork

That’s right! Applying for loans Australia through Monzi is 100% online. That means there’s no complicated forms or paperwork required. Just enter the details we need and your application is ready to go.

Rapid Outcomes

Apply during business hours and you might be paired with a high-quality lender in just 60 minutes. Moreover, your lender will assess your application ASAP. If it all goes to plan you might get your cash on the same day you apply. Although this isn’t guaranteed.

Manageable repayments

Our lenders offer loans with repayment periods that can range from 12 to 24 months. You’ll also get to choose between weekly, fortnightly or monthly repayments. That means you can tailor your repayments to suit your budget.

Apply from anywhere

Whether you’re seeking debt consolidation loans Perth or you inhabit the East Coast, Monzi can help. We aim to help Aussies everywhere find great lenders. If you have an internet connection and meet our eligibility criteria then you can apply with Monzi.

Great Lenders

Over time, we’ve developed a network of A+ lenders. They have your best interests at heart and will do things by the book. Nothing’s ever hidden meaning all the rates, fees and charges applied to your loan will be included in your contract.

Contact Monzi

If you have questions about Monzi or what our lender-finder process involves then get in touch. Email us at hello@monzi.com.au and we’ll do our best to get back to you soon.

On the other hand, if you are looking for financial advice or to know if debt consolidation is right for your circumstances we will be unable to help. Monzi is simply a lender-finder service meaning you should instead seek qualified financial advice.

Apply today

Ready to begin? We’re ready and waiting to accept your application today. So, scroll up and apply now!

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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.