Unsecured Bad Credit Loans – Apply In Minutes

Unsecured bad credit loans through Monzi’s lender-finder. Apply in minutes. No paperwork and easy loan applications. Lenders in our network may offer bad credit loans. Get started now.

What are unsecured bad credit loans?

An unsecured bad credit loan generally refers to loans valued $2,000 or less, often available from alternative lending options. Moreover, these loans are available to consumers with poor credit listings on their report.

Unsecured loans are not guaranteed by one of your assets. In addition, lenders often charge higher fees and rates to compensate for the added level of risk.

How do unsecured bad credit loans work?

If you apply for an unsecured bad credit loan, you may be able to expect the following:

  • You apply for an unsecured amount, usually $2,000 and under.
  • Consumers do not need an asset to use as security.
  • Lenders assess your application. While they may conduct a credit check, they will also focus on other aspects of your situation, including:
    • income
    • expenses
    • spending habits
    • repayment history.
  • Lenders assess your application and, if approved, send through a loan contract.
  • The loan details will be recorded on your credit file.
  • Repayments are made through direct debit.

Keep in mind, no credit check loans are not guaranteed.

What is bad credit and how did I get it?

Bad credit is simply the result of multiple bad credit listings on your credit report. Moreover, lenders take your credit history into account when you apply for a loan. If they can see your credit score is looking a little worse for wear, they may, as a result, be hesitant to lend to you.

A poor credit history implies that you aren’t reliable in repaying your loan back according to your contract. Therefore, you may not be able to access credit from traditional lenders. Luckily, there are still options available to you.

There are alternative lending options that are able to consider applicants with bad credit. These loans, however, often come with higher rates and fees to compensate for the additional risk.

What is a credit report?

In simple terms, your credit report is a summary of your history as a borrower. Moreover, your report contains various pieces of important information relating to your credit history.

More specifically, your report contains information on the following:

  • Credit products. Details the kinds of credit products you’ve held in the last 24 months. More specifically, this section details:
    • what kind of credit (credit card, loan etc.)
    • the credit provider
    • credit limit
    • opening and closing dates
  • Repayment history. The repayment amount, as well as whether you paid on time or missed payments.
  • Defaults. Any defaults you incurred. Defaults can stay on your report for five years or seven years.
  • Applications. If you have ever applied for a credit product in the past. This includes the number of applications you have lodged, as well as the total amount taken out.
  • Debt agreements. Includes things like debt agreements, court writs or bankruptcies.
  • Credit card requests. Lenders often request a copy of your credit report when you apply for credit. Each request is included in your report.

It is important you check your report regularly to confirm that all the listings are correct. You are, in addition, entitled to a free copy of your report each year. Moreover, if you find something you feel to be incorrect, you are able to get it changed.

How do I fix mistakes on my report?

You are able to fix any incorrect listings on your report for free. Moreover, if you find a listing that is wrong or out of date, you can get in contact with the credit reporting agency and request for it to be fixed.

When you get a copy of your report, make sure you confirm:

  • all loans and debts are yours; and
  • personal details are all correct.

Credit repair companies are able to fix incorrect listings on your report for a fee. While they may be an option in certain situations, these agencies can only fix incorrect listings, which you can do yourself and for free.

What is a credit score?

Your credit score is simply the numerical representation of the information in your credit report. Moreover, depending on the reporting agency, your score will be between zero and 1,000 or zero and 1,200.

In short, the higher your score the better your credit history is. It is also important to note that your score fits somewhere on a five-point scale. For example, if you get your score through Equifax, you will fit into one of the five bands:

  • Below average (0 – 509). It’s more likely you will record a bad credit listing on your report in the next 12 months.
  • Average (510 – 621). It is likely that you will incur a bad credit listing on your report in the next year.
  • Good (622 – 725). This score indicates that you are less likely to incur a bad listing.
  • Very good (726 – 832). It is unlikely your report will record an adverse event in the next year.
  • Excellent (833 – 1,200). It is highly unlikely you will incur a bad credit event over the coming 12 months.

Finally, note that an adverse event refers to things like missed payments, defaults or debt agreements. If you apply for an unsecured bad credit loan, the lender may credit check your application.

How do credit reporting agencies calculate my score?

As we mentioned earlier, your score is simply the numerical representation of the information on your credit report.

  • Types of lenders. Different types of lenders are seen to be riskier than others. For example, a payday lender will be seen to have a different level of risk compared to a traditional loan from a bank.
  • Credit enquiries. Every time you apply for credit, the application is listed on your report. Applying for multiple credit products in a short space of time can, put simply, flag you as being a risk.
  • Age. The age of your credit file is taken into account. After all, a newer file may carry a different level of risk to an older file.
  • Personal information. Considers your age, employment history and address history.
  • Defaults. Includes overdue debts, credit infringements or clearouts.
  • Court judgements. Court writs or default judgements carry an increased level of risk.

Is there any way to improve my credit score?

If your credit score has taken a knock in recent years, the good news is that you are not without hope. In short, you can improve your score by keeping your credit report looking good.

Here are a few things that, if done consistently, can improve your credit score over time:

  1. Make repayments on time. Aim to pay all your bills and loan repayments on time.
  2. Avoid unnecessary applications. You should consider your options before applying for new credit products. After all, multiple applications for new credit in a short period of time can lower your credit score.
  3. Check your credit report. You should regularly access a copy of your credit report to check for any incorrect listings.
  4. Lower your credit card limits. Lowering your credit card limit reduces the level of risk you can accrue. In addition, reporting agencies see this as a positive credit action.
  5. Keep credit card active. If you have a credit card that you easily manage to pay off each month, it may be a good idea to keep a hold of this card. Demonstrating the ability to have a card and manage it well may improve your score.

Can I get an unsecured loan with bad credit?

It is definitely possible to be approved for small loans with bad credit. Moreover, bad credit lenders will try and focus on your current relationship with money, not just your bad credit history.

Keep in mind, however, Monzi does not actually offer loans. Instead, we try to match lenders with consumers. Therefore, approval is at the discretion of the lenders – not Monzi.

As such, we cannot tell you exactly if you’re eligible for a small loan with bad credit. Despite this, you only need to meet four easy criteria to qualify for Monzi’s service.

  1. Over the age of 18
  2. Hold an Australian Citizenship or Permanent Residency
  3. Have a contactable mobile number and email address
  4. Earn a regular income into a personal account for the past 90 days

Approval speeds will vary between lenders. In other words, some lenders may offer loans with very fast approval, while others may take longer.

What kind of unsecured bad credit loans can Monzi find?

We understand our customers are all different. Not only do they come from all walks of life, but they all have different loan needs. As a result, we’ve aimed to pair up with lenders able to offer a wide variety of quick cash loans; both secured and unsecured.

Generally, consumers can apply for the following:

Small personal loans:

  • $300 to $2,000
  • Unsecured
  • 12 month repayment term

Medium personal loans:

  • $2,100 to $4,600
  • Secured
  • 13 to 24 month repayment term

Large personal loans:

  • $5,000 to $10,000*
  • Secured
  • 13 to 24 month repayment term

Keep in mind, the repayment term you are offered on a short term loan may be different from what is presented above. After all, repayment terms are determined by the lender and may vary between credit providers.

*Finally, you may be eligible for a large personal loan from $10,000 to $30,000.

How do I compare unsecured bad credit loans?

You should do your own research before you apply for a loan. Moreover, compare the options available to you before you make a decision.

Don’t stress if you aren’t sure how to compare your options; we’ll explain it all below.

  • Amount. Check whether the lender is able to offer you the amount you’re looking for. Unsecured loans are generally valued at $2,000 or under, but certain lenders may be able to offer up to $5,000 depending on your situation.
  • Terms. Your repayment term is the length of time you are given to repay your loan. A longer repayment term results in lower regular repayments but more paid in overall fees and interest.
  • Rate. Your interest rate has a major impact on the total cost of your loan.
  • Fees. Lenders charge upfront and ongoing fees. In addition, make sure you understand what happens if you miss a repayment.

What is the minimum credit score for a personal loan?

Unfortunately, this question is a bit like asking how long is a piece of string? In other words, each application is assessed on a case-by-case basis and there is no minimum credit score required.

This makes a lot more sense if put into a working example.

To begin, consider Pete. Put simply, Pete has a pretty poor credit score, due to bankruptcy from a few years ago. However, when he applies for an unsecured personal loan, he is approved despite his credit record. Specifically, Pete is approved because of:

  • regular and consistent income and expenses;
  • great history with other lenders; and
  • few financial commitments.

Now, let’s consider Ryan. In short, Ryan has a score of 550, which is much better than Pete. However, when Ryan applies for an unsecured loan, he is denied for the following reasons:

  • inconsistent income;
  • poor history of paying other lenders back on time; and
  • over-committed financially.

So, as you can see, there is no minimum credit score for a personal loan. In other words, your credit score is simply one criterion out of many that lenders assess.

Which companies give unsecured bad credit loans?

There are plenty of alternative lender options able to offer bad credit loans. Moreover, compared to traditional lenders like banks, online lenders are generally more accepting of poor credit.

If you apply with Monzi, you may be matched with one of these lenders.

Monzi’s panel of lenders may be able to offer the following:

Small bad credit loansUnsecured bad credit loans
Same day bad credit loansQuick cash loans online
Bad credit loans onlinePersonal loans with bad credit rating

Keep in mind, same day access to loans is not guaranteed.

Unsecured bad credit loans on laptop woman drinking coffee

How to apply for unsecured bad credit loans

Applying with Monzi is easy and may only take a few minutes out of your day. After all, our website is super easy to use and may be able to digitally access a lot of the information we need.

Want to hear about our 3 step applying process?


  • Select your ideal loan amount and repayment terms with the loan slider.
  • Click Apply Now if you’re happy with your selection.


  • Fill your details into the submission form.
  • Login to your online banking account so we can access your bank statements.
  • Wait while we try and match you with a lender.


  • We let you know if you’re matched with a credit provider.
  • Lenders assess your application and offer a loan contract if you’re approved.

Is it possible to get unsecured bad credit loans no credit check?

No credit check loans may seem like an option when you’re seeking loans for people with bad credit. In fact, certain consumers may have such poor credit history, they feel an instant approval no credit check loan is their only option.

While you might be offered a loan without a credit check, it is not guaranteed. Put simply, a credit check may or may not be part of a lender’s assessment policy.

Keep in mind, Monzi works with a panel of lenders that live in the real world. In other words, these lenders know that not everybody can maintain a perfect credit score. As such, even if they do a credit check on your application, they will focus generally on your:

  • Income
  • Expenses
  • Spending habits
  • Repayment history.

To conclude, consumers are not guaranteed a loan without a credit check. There is a guarantee, however, that lenders will also consider other aspects of your application.

What happens if I can’t repay my unsecured loan?

If you are struggling to afford your repayments, get in contact with your lender ASAP. You may, as a result, be able to apply for a hardship variation. If, however, you do not get in contact with them, you may be passed on to a debt collector.

In short, debt collectors take over your account from the lender and aim to recover the losses. Debt collectors may get in contact with you to:

  • Give information on your account
  • Ask for you to make payments
  • Explain the consequences of non-payment
  • Offer an alternative payment plan.

It is important you be cooperative when dealing with debt collectors. Moreover, debt collectors are required by law to be respectful and professional. Keep the following in mind when dealing with debt collectors.

  • Be honest about your entire financial situation, including other current debts
  • Try and reply to all correspondence from the debt collector as promptly as possible
  • If a repayment plan is offered, agree to what you can realistically afford
  • Let the debt collector know your details have changed.

Finally, seek free legal advice immediately if you receive a court notice.

Where can I find unsecured bad credit loans with guaranteed approval?

Technically, nowhere.

While we all love a bit of certainty in our lives, offering guaranteed approval is illegal. Any lender offering approval no matter what is going against their responsible lending obligations.

Australian Law requires all lenders to be responsible. What do we mean by this? Lenders need to make sure they aren’t offering a loan you cannot afford. To do this, lenders need to take three steps.

  • Make inquiries into your money situation, needs and objectives.
  • Take steps to confirm the above.
  • Assess whether the credit contract is suitable, based on the above two steps.

As you can clearly see, any lender promising approval is not lending responsibly. Specifically, they aren’t making a judgement on whether the contract is suitable for you.

Online unsecured bad credit loans Australia wide

We love that our business is 100% online, and we think you will too.

Our online loans model lets us try to help consumers from every corner of Australia. Whether you’re looking for cash loans in Canberra, Victoria or anywhere in between, we can try to help.

Moreover, our smart system is able to digitally access your bank statements. Wondering what this is all about? Let us explain.

In short, lenders use the last 90 days of your bank statements to assess your application. Moreover, they use your bank statements to see whether the contract is suitable for your situation. A loan product is considered suitable if:

  • it meets your financial goals and objectives; and
  • your repayments do not cause you hardship.

Can I apply for a $5,000 with bad credit?

Absolutely! Monzi welcomes you to apply at any time, regardless of your credit history. While we can’t guarantee approval, we’ll always try our best to pair you with a lender who might offer cash loans for bad credit borrowers.

Keep in mind, a $5,000 loan will require security. Generally, lenders can accept a vehicle as collateral. You must, however, be the registered owner of said vehicle. Lenders may be able to consider the following as security:

  • car
  • caravan
  • motorbike
  • boat.

What happens if I can’t pay my secured loan back?

Get in contact with your lender ASAP if you’re struggling with repayments. Repayments should not cause you financial hardship. If, however, your circumstances change during the life of your loan, you may be eligible for an adjustment.

If you fail to get in contact with your lender, they may begin the repossession process. In repossession, lenders will sell your asset to try and cover their losses.

Lenders will get in contact with you within 14 days after repossession. Specifically, they will send you a written notice outlining:

  • The estimated sale value of your vehicle
  • Any costs incurred during the repossession
  • Your rights and obligations.

You are given a 21 day period after this notice where lenders cannot sell your asset. Therefore, if you pay the overdue amount during this period, your asset will be returned to you.

If you fail to settle your debt, your asset will be sold. Lenders will send you a notice post-sale, outlining:

  • The proceeds from the sale
  • Any costs resulted from the sale
  • The outstanding balance, if applicable.

When will I have access to unsecured bad credit loans?

A number of variables determine your access to cash. We will list them below, to give you a better idea.

  • Inter-bank transfer times. Transfer times between certain banks may be quicker than others. This may affect when you see your cash.
  • Banking rounds. Lenders will usually have points throughout the day where they transfer funds. Approve your contract after the final round and you may not see your cash until the next business day.
  • Weekends. Most banks are unable to transfer money over the weekend. Approve your contract over the weekend and you might not see your money until the following business day. This also holds true for public holidays.

While we cannot guarantee you getting your cash the same day, it is possible. Unfortunately, once your application leaves our system, it is out of our hands. In other words, access to cash is at the mercy of individual lenders.

How can I get help applying?

Monzi’s business is 100% online. This lets us help people from all over the country potentially access lenders. Moreover, while we cannot call you in regards to your application, we can answer any questions you have over email.

So, despite our love of technology, we haven’t lost sight of the importance of customer service. Therefore, you can email hello@monzi.com.au to talk to a living, breathing member of our customer service team.

I’m struggling with repayments

If you are struggling with your contractual repayments due to an unforeseen change in your circumstances, you may be eligible for a hardship adjustment.

To apply for hardship, simply get in contact with your lender directly. You can do this by calling or emailing in. You will, however, need to provide evidence of hardship. This can include things like:

  • medical certificate
  • separation certificate from your employer
  • bank statements showing a reduction in income
  • payslips.

Your lender’s hardship department will assess your claim before providing an outcome. If they approve your application, lenders may offer a hardship adjustment, a holiday from your repayments, or both.

Can I complain about a lender?

Yes, if you are ever unhappy with the service you receive from a lender, you are able to voice your complaint.

The first step is to get in contact with the lender themselves. Simply call or email in with your complaint and how you would like the issue to be resolved. If, however, you are unhappy with their response, you should email or write in with a formal complaint.

If you are still unhappy with the lender’s outcome, you can escalate your complaint to an External Dispute Resolution (EDR) scheme. More specifically, the EDR for financial products and services is the Australian Financial Complaints Authority (AFCA).

AFCA can help if:

  • The lender did not reply to your complaint within a reasonable period of time.
  • You’re unsatisfied with how the credit provider dealt with your complaint.
  • You are unhappy with an offer made by the credit provider.

You can get in contact with AFCA by visiting their website or by calling 1800 931 678.

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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.