Starter guide: Personal Loans for Pensioners
If you’re a pensioner you may be having the time of your life living out your twilight years. Nevertheless, it doesn’t mean that you won’t run into the same unexpected expenses that ‘youngsters’ do. Fear not – we can find lenders that can offer loans for pensioners!
This could mean that a personal loan could come in really handy in such situations. If you are curious about what getting personal loans for pensioners involves – then this article should be a good starting point.
Here we will tell you the basic things you need to know about getting cash loans for pensioners. This way, you will have a bit of background info behind you, when you start out on your quest to find pensioners’ loans.
Who are pensioners and what are pensions?
Pensioners are defined as people who receive a pension as their form of income. A pension is a fixed amount of money that pensioners receive on a regular basis that help fund a person’s living costs.
Currently, in Australia, to be eligible to receive a pension you must be at least 65 years of age. You also have to be an Australian resident and be residing in Australia. That means you can’t be living outside of Australia and receive a pension.
Finally, you must meet an income and assets requirement. This means that the income you earn or the value of the assets you own, will determine how much you will receive, or whether you can receive it at all.
To find out more about age pension eligibility visit: Human Services
Are there loans for pensioners?
Indeed, pensioners can get loans! To apply for personal loans for pensioners if you’re a pensioner you just need to meet the basic requirements. These include being a resident in Australia, and receiving regular income over the last 90 days.
How do you apply for one?
To apply you will just need access to the internet. These days most personal loan lenders are 100%. This is what makes them so quick and easy. To support your application, you will just need to include some supporting documents as evidence the above requirements. These include:
- 100 points of ID
- Bank statements, Centrelink statements to show regular income
- Contact number and email address
If you want to know more about what you need for the 100 points of ID visit: Border.gov.au
How much do loans for pensioners cost?
Personal loans for pensioners are calculated as follows. Lenders take the total amount that you want to borrow and add an establishment fee of 20% as well as an additional monthly fee of 4% per month. The percentages are of the total loan amount. These costs are merely an example and are subjected to individual lenders.
To find out more about calculating personal loan costs visit: MoneySmart
Can pensioners with bad credit get loans?
Perhaps you are a pensioner and may be concerned about your credit rating. Well, that’s okay too. If your credit rating isn’t the best, you don’t have to worry. Even though we cannot guarantee that the lenders we find won’t conduct credit checks, they can look at the big picture and your current relationship with money. Whether or not a lender conducts a credit check, you can still apply for our lender-finding service and we’ll do our best to find you loans for pensioners.
If you’re not sure whether you qualify, just scroll up and apply now!
What can loans for pensioners be used for?
Personal loans for pensioners can be used for anything. Although we are required to note the reason for your loan as part of our assessment, the list of uses is long. If there are any unexpected expenses that occur, personal loans for pensioners could come in handy.
Some examples of unanticipated costs could be:
- A car repair, car registration, or even to help pay for a new car.
- Perhaps you have a sudden medical expense to fund.
- It could even be to pay for household appliances that need to be replaced or repaired. It could include a fridge or a washing machine.
Ultimately, they can be used to pay for anything you need.
What to look out for – 5 tips for choosing the right personal loan
Whilst applying for cash loans for pensioners is quick and easy, there are still some things to watch out for. Here is a list of tips that will help you make the most of your personal loans for pensioners experience:
- Check the payments terms before entering the contract – responsible lenders will be transparent with their fees. However, it is still important that you clearly understand the terms of the personal loans for pensioners contract before signing. This is to avoid any misunderstandings that could end up costing you financially.
- It’s important not to miss payments – It’s very important to factor your repayment amounts into your budget. This is to help avoid missing any repayments which could cost you expensive penalty fees. Nevertheless, responsibly lenders will do security checks, and will not lend you more than they think you are able to afford.
- Do some research before choosing a lender – It’s advisable to do a bit of research first before deciding what lender to go with. One of the best ways to do this is to look at what reviews are out there. Facebook is a good place to look, as is Google. Seeing what other customers say about lenders is a good indicator of whether you should choose to go with them or not.
- Check if they are certified – checking whether a lender is certified is good practice. Checking if they have an Australian Business Number (ABN) is a good starting point. Another thing to do if you are unsure of their credentials is to look them up on the Australian Securities and Investments Commission website. Visit: ASIC
- Watch out for loan scams – Unfortunately, there are some loans scams and it’s important to be aware of them. Knowing what to watch out for will help you to avoid getting tricked by one. If they don’t seem legitimate because their contact details look unprofessional, or they ask you to make a payment before you receive a loan – it could be a scam. So, watch out for this.
Of course if you like you can skip all the boring research and apply for our lender-finding service! We do the searching so you don’t have to!
To find out more about loan scams visit: ASIC
Things to remember about loans for pensioners
In conclusion, if you’re officially out of the workforce, you can apply for a lender that can offer personal loans for pensioners if you need them. You just need to know where to start. Personal loans for pensioners these days are 100% online so you’ll need access to the computer and the internet.
Loans for pensioners can be used for anything. They are incredibly useful in times when expected payments need to be made urgently.
Before applying for a personal loan online, it’s worth doing a bit of research on what are the best lenders out there. It’s important to be wary of lenders that aren’t certified as they could be scams. It’s worth checking that out first too.
Finally, always check the terms and conditions before signing the loan contract. If a lender offers you a contract, you are under no obligation to accept. So, get started today by applying for pensioner loans online is very easy.