If you are struggling with debt in Australia, you are not alone. Within the past 18 years, consumer debt has risen from 11 percent to 27 percent according to the Australian Bureau of Statistics. With increasing debt levels common among local residents, it is understandable that some consumers today also have a lower credit rating and may not qualify for traditional financing.
Loans, however, may be needed for debt consolidation, home improvements or even just to make ends meet. When you do not qualify for a traditional unsecured personal loan, you may wonder what your options are. The good news is that you may be able to obtain the funds that you need by applying for an unsecured personal loan bad credit program.
How to Use Your Loan Funds
There are many reasons why you may be searching for an unsecured personal loan today. For example, you may have a stack of unpaid bills that require your attention. When you fail to pay your bills on time, you may incur late fees. Your credit card accounts may be impacted by an interest rate hike, and you may even have to pay reconnection fees if your utilities or phone service are disconnected due to non-payment.
While an unsecured personal loan bad credit program can be used to help you pay your bills, the loan funds may also be used to make improvements or repairs to your home, repairs to your car and more. These are things that you may not be able to delay paying for, but you may not have money available to pay for the expenses.
The Right Financial Solution For You
An unsecured personal loan is typically applied for when collateral is not available to use with a secured loan or when the borrower does not want to pledge collateral. These loans, however, may have strict underwriting guidelines and credit score requirements, and many borrowers unfortunately may not qualify based on those requirements. With an unsecured personal loan bad credit program, there is a more lenient credit score requirement. Typically, these loans are easier to qualify for.
They may have a slightly higher interest rate and a shorter loan term in some cases, but they are an effective financial solution for individuals who need access to money and who do not want to apply for a traditional personal loan.
It can be downright stressful to deal with financial issues and to have bills or expenses pending that you cannot pay for. You may be waiting for your next paycheck to arrive, or you may not be able to pay off all of the expenses for several pay periods. There are many unsecured personal loan programs available that can provide you with the cash that you need, but an unsecured personal loan bad credit program may be ideal if your credit rating is lower than average. You can learn more about this financing option today, and you may even be able to apply online for some loan programs.