Home > Wondering What A Loan Calculator is? Jacaranda Can Help You Out!
When you’re looking to take out a small personal loan, knowing what your payments might be is going to be an important aspect of the loan finding process. Understandably, you want to know what you’re getting yourself into before you go and apply. And that’s ok! There are definite benefits to being well prepared and planning ahead. Knowing what your repayments might look like beforehand will allow you to budget, plan and be financially responsible. Many people will have a look at a loan calculator to get a good idea of what their repayments may look like for different loan amounts over different loan terms.
And here at Jacaranda, we think that’s a great idea! We’re big fans of being well prepared and responsible with your money. Did you also know that when you take out a loan, there are certain fees that you can and cannot be charged, depending on the type of loan you apply for? There are so many things to be aware of when applying for finance that it can be a bit overwhelming. Don’t stress though! Jacaranda is here to help clear everything up for you.
First off, let us introduce ourselves. Say hello to Jacaranda, your local personal loans experts located right here in Australia. We’re specialists when it comes to small personal loans of all different kinds and are here to help any and all Australians when they need a bit of spare cash, fast. We’ve been around for a few years now and we pride ourselves on taking a fresh approach to online lending. Put simply, we’re here to give every Aussies the fair go they deserve when applying for personal finance.
Not only do we provide amazing loan products to the everyday Aussie, but we’re also out here pumping out some great informational content to get everyone up to speed with all the finance lingo and best practices. Here’s to a well-informed, well-researched audience who knows what they want and what’s best for them. Ready to dive into the nitty-gritty of what a loan calculator is and how you can utilise it? Read on!
A loan calculator is a handy little online tool that allows you to get a general calculation of what a loan may cost you and what your repayments may be, before you submit an application. You can see the benefits of this tool. For those of us who are perhaps just a little bit pedantic when it comes to organising our finances, a loan calculator is an invaluable tool. It’s also a great time saver. By inputting how much you’re looking to borrow and for how long, you can get a good idea of whether or not you’ll be able to afford your repayments before you submit your application. If the repayments aren’t feasible for your current budget, then you’ve saved yourself time, disappointment and effort.
Every lender is most likely going to differ in terms of fees and rates. However, in saying that, for some loan products there are set maximum fees that a lender is allowed to charge. These will differ, however. Always be sure you know what you are applying for and the types of fees that are applicable to your loan product. Below are the different types of loans jacaranda can offer. To find out more about different fees, charges and rates for these loans, you can head to our costs page.
|Loan Type||Amount||Loan Term|
|Small unsecured loan||$300 to $2,000||12 months|
|Medium secured loan||$2,001 to $4,600||13 to 24 months|
|Large secured loan||$5,000||13 to 24 months|
If you know what kind of loan you want to apply for and have a general idea of how long you would like to pay it off, a loan calculator will give you a good general idea of what your repayments might look like. Just remember though, that each lender will have a different repayment structure and will be able to give you more specific details on what their repayments may look like.
Never assume that all lenders will have the same repayment terms for the same borrowing amount. Each lender will have different repayment rules and these should be discussed with your lender before you sign your contract.
Now, you’re probably wondering what other fees you could possibly be charged that a loan calculator won’t be able to take into account. If you’ve been approved for a loan and you’re going through your contract and noticing that your lender is listing fee after possible fee, we advise proceeding with caution. There are a few reasonable extra fees on top of your establishment and monthly fees, but there shouldn’t be bucket loads of them! So, what to expect?
Monthly fees and interest charges are calculated differently and applied to a loan account in a different way. While a loan calculator is a great way to help you decide which fee is better suited to your financial situation, read on to get an in-depth breakdown on what they are and how they differ.
Monthly fees: Monthly fees are a set monthly fee that is a small percentage of your loan amount, i.e. 4%. This monthly fee remains the same throughout your loan term, regardless of how much of your loan you have left to pay. A monthly fee will only be applicable to small personal loans of up to $2,000.
Interest charges: Interest charges work a little bit differently than a monthly fee does. Interest charges usually start off at a higher percentage than a monthly fee, but they’re calculated on the balance owing at a particular date every month. This means that the more you pay off your loan, the less interest you will be charged. This is a great motivator to get that loan paid off early as you will incur less interest.
Just remember that even if you do utilise a loan calculator to help you get an idea of what a loan may cost you overall, every lender will have different interest rates and monthly fees, so it always pays to check with the lender you are applying with.
The lending industry is heavily regulated by the Australian Government to ensure that the borrower is not being charged unfair fees and being taken advantage of. As such, fee amounts are also regulated and there are a number of fees that you can and cannot be charged, according to the law.
If you have encountered a lender that is trying to charge you fees that you’re not too sure about, we recommend looking elsewhere for a loan. Lenders should always be upfront and honest about their fees and charges and should always comply with responsible lending practices. And remember, if in doubt, have a quick look at a loan calculator to see if everything’s adding up.
Here at Jacaranda, we believe in transparency and trust. We don’t believe in charging someone unnecessary fees or charging more than we absolutely should. We’re also firm believers that any and all fees that we do charge will not only be stated in your loan contracts but will be clarified with you before you sign your contract. We would rather you be aware of all fees before you sign than scare you with them after the fact. That’s not how we roll.
Have you been shopping around for the right lender, utilising loan calculator after loan calculator and you’ve realised that Jacaranda might just be the lender you’ve been looking for? Do you love the fact that we’re so open about our charges and our promise to never hit you with unexpected fees? If you’ve been looking for the perfect lender, you’ve found us. We specialise in all different types of loans from small to large and are here to give you the helping hand you need. If one of our products has caught your eye, why not submit an application with us today? You can trust that Jacaranda stands by their promise and will always be open and honest about any fees associated with your loan.
Want to know more about Jacaranda, loans or how to utilise a loan calculator to ensure you’re getting the best deal? No worries at all! Feel free to get in touch and have a friendly chat with our team.
Or, perhaps you’ve had a read through all our informative content and decided that we’re the lender for you. We’re big fans of doing your research and being responsible with your money. Congrats on taking the first step to a more knowledgeable you, ready to make those well-informed financial decisions. Scroll up to our loan calculator, select the amount you’d like to borrow and repayment period and hit ‘Apply Now.’
Jacaranda is 100% online. So, we do not accept applications over-the-phone. However, our friendly team is more than happy to answer any questions you may have.