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How to Find Loans With Bad Credit Online

Jacaranda Team

Jacaranda Team

April 22, 20208 minute read
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Loans with bad credit made easy

Have you got bad credit? Are you stressing because you think you won’t be able to get a loan with bad credit? We’re here to tell you that loans with bad credit aren’t as impossible or stressful as you think. There are many options out there for people with bad credit, including lenders. Firstly, this page will explain what bad credit is exactly and how to find out your credit score. Then, we’ll get into the nitty-gritty of bad credit loans and how to apply for them. If you want to find out, keep reading! 

On this page:

    Let’s start with the basics: what’s a credit score? 

    Everyone has a credit score. Your credit score is a number between 0 and 1,200 that is calculated from the information in your credit report. In turn, your credit report is a report that reflects your financial habits. Things that will appear on your credit report and thus affect your credit score may include:

    • How reliably you pay back your loans;
    • The amount of money that you’ve previously borrowed from banks or other lenders;
    • How long you credit history is (i.e. how many years); and
    • Your current debt.

    Essentially, it reflects how well you can manage your debt. If the number is higher, your credit score, therefore, is better. The higher the number of your credit score, the better your score is. This means it will be easier to take out loans, as your score is something a lender will check. 

    A better credit score may mean that you are a more reliable borrower. This is because it reveals that you have a good financial history and will most likely make all your repayments. If a lender sees that you have a low number, they may be unlikely to lend money to you. This is because they will see that you have a history of bad finance. Your only lending option may be to search for lenders that offer loans with bad credit.

    Compare your score 

    To compare your credit score, use this easy table below. This is based on the credit scores provided by Equifax, an Australian credit reporting body. 


    833 – 1200

    It is highly unlikely that something could harm your credit report in the next twelve months.

    726 – 832

    It is unlikely that something could harm your credit report in the next twelve months.

    622 – 725

    It is less likely that something could harm your credit report in the next twelve months.

    510 – 621

    It is likely that something could harm your credit report in the next twelve months.

    0 – 509

    It is more likely that something could harm your credit report in the next twelve months.

    How do I check my credit score?

    Checking your credit score is super simple. Just hop onto the Australian Government website here, and choose between the three Australian credit bureaus that offer credit reporting services. All three are reliable credit reporting services approved by the government. Due to this, they are obliged to give you a free report every 12 months. The application process is safe and secure.

    As we noted above, Equifax gives you a credit score between 0 and 1,200. On the other hand, Experian and Illion provide a number only up to 1,000. In the case of the latter two, follow this guide to check if your score is good or not:

    • Excellent scores are between 800 – 1,000;
    • Very good scores are between 700 – 799;
    • Good scores are between 625 – 699;
    • Fair scores are between 550 – 624; and
    • Bad scores are between 0 – 549.

    So, what do I do if I have bad credit but need a loan?

    If you have a credit score of approximately less than 500, then, unfortunately, you have bad credit. But as we’ve said, this is no reason to stress! It’s true that it may be much harder to get a loan, but it’s not impossible. There are some lenders out there that are willing to give you a second chance and will offer you loans with bad credit.

    Some lenders offer small personal loans that are targeted for people with bad credit. These loans are still subject to approval, but the lenders will look at more than just your credit score. Instead of judging you on one number, they will ask some of the following questions when reviewing your application: 

    • Have you been upfront and honest about your financial situation? 
    • Do you have stable employment?
    • In this case, what is your income like?
    • What is your current relationship with money?
    • How much of your income do you save?
    • Likewise, what are your spending habits like? 
    • Have any personal circumstances outside of your control affected your financial situation?

    Lenders who offer loans with bad credit look at the whole picture, in contrast to just some of it. Everyone’s financial situation is different. With this in mind, a good lender won’t turn you away. 

    Interest loans 

    However, be aware that loans directed towards those with bad credit may have higher interest rates. This is because the lender is offsetting the risk they take in lending money to you. The higher the risk you appear to be, the higher the interest rates. 

    This doesn’t have to be an issue. Speak with your lender about the interest rates and the repayment terms on offer. Many lenders will work with you to find a solution that works for both you and them.


    Many lenders will require security for loans with bad credit. This means that an asset is attached to the loan to secure it. In the case that you don’t make repayments, the lender can repossess the asset in order to make up the repayments. For example, a common asset used for security is a car. If you don’t make your repayments, the lender could repossess your vehicle. 

    However, there may be some lenders out there that offer bad credit loans that are unsecured. These will typically be for small amounts of money with short repayment options. It’s wise to research your options before you apply with different lenders.

    Rehabilitate your credit score 

    Getting a loan with bad credit can be a great way to rehabilitate your credit score. If you make all your repayments and make them on time, then this will show up in your credit report. Doing this for many loans can slowly increase your credit score. Future lenders will see this in your credit report. They may be able to understand that though you may have a bad credit history, you are now a responsible borrower. See, loans with bad credit aren’t always a scary thing! 

    Responsible lending practices

    It’s wise to search for lenders that believe in responsible lending practices. This means that the lender won’t lend money to you if they don’t think you can afford to repay it. Look for lenders that offer you transparent advice as well as being honest about their fees and costs. Also, search for lenders that are flexible in their repayment terms and amounts. Good lenders will work with you to find the best option. After all, you don’t want to get stuck with a loan you can’t reasonably afford!

    Can I get a bad credit loan with Jacaranda Finance?

    We’re glad you asked. You can apply for a loan with bad credit here. Jacaranda Finance is one of few lenders out there that believe in giving all Aussies a fair go. If you have bad credit, we won’t discriminate. Apply now to see if we can help you.

    Jacaranda Finance is your local, reliable lender. Jacaranda Finance may be able to offer you loans with bad credit up to $15,000. We believe in responsible lending practices, so, if approved, we offer bad credit loans at affordable rates. If your situation changes and you can’t afford a loan, we will work with you to reach a solution. Currently, the following are the types of personal loans we can offer to people with bad credit: 

    • Small unsecured personal loans between $1,000 and $2,000 that can be repaid over a 12-month period;
    • Medium personal loans between $2,000 and $4,600 that can be repaid over a period of 9 to 36 months (these can either secured or unsecured);
    • Large personal loans between $5,000 and $15,000 that can be repaid over a 13 to 24-month period (these can either secured or unsecured); 

    If this sounds like it suits you, you can apply right away. Our application process is super simple, being 100% online. It’s so easy to fill out that you can do it on the go! If you apply during business hours, our team can approve your application in as little as 60-minutes. There’s no time to waste! Check out our bad credit personal loans page for more information, and apply today.

    Like what you’re reading? The Jacaranda blog has plenty of more interesting and informative articles.

    Copyright © www.jacarandafinance.com.au Jacaranda Finance Pty Ltd ABN 53 162 078 195 Australian Credit Licence 456 404, Pawnbroking License Number 4221738. The information on this web-page is general information and does not take into account your objectives, financial situation or needs. Information provided on this website is general in nature and does not constitute financial advice.

    Jacaranda Team
    Jacaranda Team

    Written by Jacaranda Team

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