Payday Loans Online? Consider A Personal Loan Instead

Payday loans online may be an option for Aussies looking for a quick and easy solution to a cash emergency. Moreover, if you have poor credit or receive Centrelink, you may feel that payday lenders are your only choice. Luckily, Monzi is here to explain all things payday lending, as well as how our lender-finder service may be able to help offer alternative options.

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.

What are payday loans online?

Typically, a payday loan refers to a small short term loan of $2,000 and under. However, certain lenders may be able to offer up to $5,000. Depending on the lender, the repayment terms may range anywhere from a few weeks to months.

In addition, borrowers usually make repayments in line with their paycheque (weekly, fortnightly, monthly), hence the name.

Payday lenders may offer cash advances for all sorts of reasons. To give you more of an idea, we have included examples of these small loans in the table below.

Online payday loans AustraliaPayday loans online Australia
Online payday loans for bad creditPayday loans for Centrelink customers online
Fast online payday loansPayday loans online same day no credit check
Bad credit payday loans onlineOnline payday loans instant approval online

The above table is solely for illustrative purposes. The terms presented do not reflect the lender you may eventually be paired with through Monzi. In short, Monzi will aim to match you with a lender offering personal loans.

Do they check your credit for payday loans online?

Generally, payday lenders are more understanding of poor credit than traditional lenders like banks or credit unions. In fact, certain lenders may be able to offer online payday loans no credit check.

When you apply for a no credit check payday loan, you can expect the following:

  • The credit provider will not access your report from a credit agency.
  • The lender will still inform the credit bureau that you applied.
  • If the borrower is approved, the loan will also be listed on their credit file.
  • Lenders will consider the last 90 days of your banking history.
  • Finally, applicants will need to prove they are earning some sort of consistent income.

It is important to note, as Monzi is a lender-finder service, we cannot speak on behalf of any separate credit provider. Therefore, you may need to get in contact with a lender directly to find out more.

Can you go to jail for failing to repay a payday loan?

In Australia, you will never be sent to jail for failing to repay your loan. Despite this, creditors do have legal avenues to recover some of their losses.

For example, lenders start legal action to recoup their losses – in other words, lenders may sue you over the debt. However, this will be a civil matter, not criminal, meaning you will have nothing to do with the police or jail.

Alternatively, payday lenders may employ the services of debt collectors to help recover their losses. We will explain the debt collection process as well as your rights as consumer below.

How do debt collectors work?

If you are unable to repay your loan, you may be contacted by a debt collector. Debt collectors will either work for the original lender or provide a service where they collect debt on a lender’s behalf.

Regardless of who is collecting, your rights are protected by the law. In other words, there are rules around how and when a debt collector can get in contact with you. For example, debt collectors can only contact you over the phone between 7.30 am and 9 pm during weekdays.

There are laws around how debt collectors must act. In short, all debt collectors are required to be professional. For example, debt collectors must never:

  • Threaten the use of physical force
  • Threaten to damage any of your property
  • Remain on your property after you have asked them to leave. However, if debt collectors have a court order, they can legally stay.

Are there legitimate payday loans online with no credit check?

Absolutely; payday loans no credit check are offered by legitimate, fully-licensed lenders.

Despite this, you should always be cautious when accessing credit online. After all, scammers realise people searching for instant payday loans online may be panicking.

Therefore, always confirm the lender you are dealing with is licensed by ASIC. Furthermore, if you are concerned you are dealing with a dodgy lender, check ASIC’s list of companies you should not deal with.

Ultimately, there are many lenders offering legitimate payday loans no credit check.

How do I compare different payday cash loans online?

You should shop around online to find a loan. If, however, you aren’t sure what to look for when comparing lenders, we’ll give you some examples:

  • Amount offered. Generally, payday lenders offer up to $2,000; however, select lenders may be able to offer up to $5,000.
  • Repayment terms. Do the terms allow you enough time to repay your loan in full? Be aware that not paying your loan in time may result in extra fees.
  • Fees. There are certain industry-standard fees for small amount credit contracts.
  • Turnaround times. Depending on the payday lender you’re dealing with, you may have your cash in an hour. On the other hand, it may take up to a business day to access cash loans online.

Can Monzi find me payday loans?

In general, Monzi will always aim to pair you with a lender offering personal loans. We work with a trusted group of credit providers that can potentially offer loans from $300 to $10,000.

Moreover, unlike certain payday lenders, your repayment terms may be more flexible. Moreover, they may range anywhere from several months to years.

Keep in mind, the personal loans Monzi’s network of lenders may offer fit into the following:

Small unsecured personal loans range from $300 to $2,000 and are often repaid over 12 months.

Medium secured personal loans typically range from $2,100 to $4,600. These loans may have terms between 13 and 24 months.

Large personal loans may be offered from $5,000 and $10,000. Consistent with medium personal loans, these loans are secured and have terms of 13 to 24 months.

Finally, if you meet certain criteria, you may be eligible for a large secured loan between $10,000 to $30,000 with terms between 12 and 36 months.

Repayment terms, ultimately, will be determined by the individual credit provider. As a result, the terms offered to you may vary between lenders.

What about fast payday loans online?

As we mentioned above, we may not match you with a payday lender. Instead, we might be able to offer you an alternative lender option: personal loan lenders.

Moreover, if it is processing times you are concerned about, personal loans may still fit the bill. In other words, the lenders Monzi works with are potentially able to process your small loans fast.

Depending on the lender you’re paired with, as well as your own personal circumstances, you could potentially access your loan sooner than you think. More specifically, you may even be able to spend your cash the same day you apply.

Are there any personal loans for Centrelink customers?

While we can never guarantee approval, there are lenders within our network potentially able to consider Centrelink applicants. In short, these credit providers might be able to see consistent government benefits as income.

Obviously, however, your normal Centrelink income must be able to reasonably cover:

  • your regular expenses; and
  • the loan repayments.

In addition, lenders may have their own rules around which kind of benefits they can consider, as well as how much of the borrower’s total income they can make up.

Payday loans online showing close up of Australian banknote

I need cash quick – can you find me instant payday loans online?

Aussies dealing with a emergency cash needs often have to make things happen quickly. In other words, if you have a deadline breathing down your neck, you will likely need a lender that offers speedy cash!

While we might not be able to hook you up with a payday lender, you could potentially be matched with a personal loan lender. Moreover, these lenders may be able to assess your application in no time.

It is important to note, however, that nothing happens truly instantly. Therefore, if you’re expecting to click apply, and have your application assessed and funds deposited into your account within seconds, we may have some bad news.

Generally, lenders will need to manually assess your application, meaning a real person will look over your bank statements and other information. While this may mean you won’t receive a truly instant loan, you will likely be offered a loan that is more suitable for your personal situation.

Can you guarantee me approval?

No loan is ever guaranteed; approval is always granted at the discretion of the lender, in-line with their assessment policies.

Australian law requires lenders to lend money responsibly. These responsible lending obligations are designed to protect consumers against loan products unsuitable for their situation.

An example of an unsuitable loan product would include any loan that:

  • does not meet the borrower’s financial needs and objectives; and
  • the borrower is unable to reasonably afford their repayments .

Therefore, to ensure they are lending responsibly, lenders need to take the following three steps:

  1. Make adequate inquiries into the consumer’s financial situation, as well as objectives.
  2. Take sufficient steps to confirm the borrower’s financial situation.
  3. Finally, make a critical assessment as to whether or not the loan product is suitable for the consumer.

Furthermore, lenders must be able to provide the consumer with a written copy of the preliminary or final assessment, upon request.

If you wish to learn more about the responsible lending obligations, you can access a full copy of the regulatory guide on ASIC’s website.

Will bad credit stand in my way for payday loans online?

Admittedly, a credit file scattered with bad credit listings may make it difficult to secure approval from a traditional lender. Specifically, banks and credit unions may be more stringent when it comes to credit scores and loans for people with bad credit.

As a result, bad credit consumers may feel a no credit check loan is their only path to approval. Ultimately, however, this is not completely true; you may be eligible for a bad credit payday loan or personal loan.

When you apply on our site, we ask for your internet banking details. Before you start panicking – this isn’t anything dodgy! In fact, our system may improve your chances of approval when you need cash today.

In short, our system is able to digitally access read-only copies of your bank statements. From here, lenders are quickly able to get an idea of your:

  • Regular income
  • Regular expenses
  • How you handle other financial commitments.

What can I expect in costs?

Keep in mind, the cost of your loan will vary between lenders and loan products. In addition, Monzi cannot speak on behalf of individual lenders, as they are completely separate companies.

However, depending on the loan product and lender, your regular repayments may include:

  • Principal amount
  • Interest
  • Establishment fees
  • Ongoing fees

In addition, if you miss a repayment, you may be charged additional penalty fees.

It is very important consumers read through their loan contract carefully before approving anything. Your contract will include all the terms, fees and rates associated with your loan.

Finally, if you are unsure of anything, get in contact with your lender before you approve your contract.

I need help! Who do I contact?

If you need a hand completing your application on our site, or have any questions about Monzi in general, feel free to get in contact with us at Our team of customer service representatives are happy to walk you through any and all questions you may have.

Keep in mind, however, we are quite limited in how much we can speak on the policies of individual lenders. After all, they are separate companies, and Monzi cannot speak on their behalf.

Therefore, consumers need to get in contact with lenders directly for more information.

Ready to apply?

Looking for quick online payday loans Australia? Monzi may be able to point you in the right direction.

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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


12 months (minimum)

12 months (maximum)


20% upfront establishment fee

+ 4% monthly fee


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%. The minimum and maximum loan term is 12 months. 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.

Loan amount

$2,001 - $4,600


13 months (minimum)

24 months (maximum)


48% Annual Percentage Rate (APR)

67.41% Comparison Rate p.a.


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

The Annual Percentage Rate (APR) for Secured Medium Loans is 48%. The Typical Comparison Rate is 67.41% p.a. The minimum loan term is 13 months and the maximum loan term is 24 months. 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


13 months (minimum)

24 months (maximum)


21.24% Annual Percentage Rate (APR)

48% Comparison Rate p.a.


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

The Annual Percentage Rate (APR) for Secured Large Amount Loans is 48%. Maximum Comparison Rate is 48% p.a. The minimum loan term is 13 months and the maximum loan term is 24 months. 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.