In today’s uncertain economic climate, many people in New Zealand may find themselves looking for “unsecured personal loans nz”, meaning they are in need of additional financial support.
Whether it be for unexpected vehicle repairs, home renovations, or debt consolidation, unsecured personal loans can provide a solution for those seeking a quick and convenient way to access funds without putting up collateral.
In this article, we will explore the benefits of unsecured personal loans in New Zealand and how they can help individuals in need of financial assistance.
What is an unsecured personal loan?
An unsecured loan is a type of loan that does not require any collateral to secure the funds. This means that you don’t have to put up any assets, such as your home or car, as security for the loan. Instead, the lender will assess your ability to repay the loan based on your income and financial history.
How much can I borrow with an unsecured personal loan?
At Loan Direct, our focus is on giving you access to affordable loans with lower interest rates and fair conditions.
We offer unsecured personal loans of up to $50,000, with interest rates from as low as 9.95%*. Depending on your financial situation, we can offer secured loans up to $150,000.
We strive to set you up for repayment success, not failure, so we’ll structure your loan to make sure it’s affordable for you.
By spreading your repayments over a term from 6 months to 84 months, you can rest assured you will have some breathing room and won’t be placed under financial pressure.
What Personal Loan Interest Rate Can I Get?
If you’re looking for a personal loan, you want the lowest-cost loan, and that in part means the lowest interest rate. But what’s the best way to get a low-interest personal loan?
There are so many options and lots of different loan providers out there, so it can be hard to know the best route to take.
When you apply for a loan through Loan Direct, we scout different lenders to find you the best deal.
One of the biggest advantages of this is you only have to make one loan application, but it gets put in front of multiple lenders. Making too many loan applications can hurt your credit score, so make as few as you can. The rate you’re offered will depend on your financial situation. Our personalised interest rates start at 9.95%*.
Is Taking Out A Personal Loan From A Bank Cheaper?
Many people assume taking out a personal loan from a bank is cheaper than going to an online lender, but that’s not always the case.
Borrowing through a bank can actually be a more expensive option. At the time of writing (March 24), BNZ, ANZ, ASB and Westpac all offer personal loans starting at 12.90%-13.95%. Kiwibank is 19.95%. In contrast, Loansmart’s starting rate is 3-4%* lower than this.
Bear in mind that interest rates aren’t the only thing to consider when looking at low-cost loans. Loan costs include repayment fees, establishment fees, and monthly service fees, so make sure to look at them too.
How Quickly Can I Get An Unsecured Personal Loan?
Loan Direct’s process is handled completely online so there is no drawn-out bank process or cumbersome paperwork. We offer fast unsecured loans approved the same day subject to responsible lending checks.
We do need to assess your ability to repay your debt, and for this, we send you a secure link to access your bank statements online. This is done pretty quickly.
Find out how much you could borrow with our personal loan calculator
*Subject to responsible lending criteria.
Benefits of low rate unsecured personal loans
1. Quick approval process
Unsecured personal loans in New Zealand typically have a quick and easy application process, allowing borrowers to access funds when they need them most. This can be especially helpful for those facing unexpected expenses or emergencies that require immediate financial support.
2. Flexible use of funds
Unlike some other types of loans that may have restrictions on how the funds can be used, unsecured personal loans in New Zealand offer flexibility in how the funds can be used.
Whether it be for debt consolidation, home renovations, emergency loans, holiday loans, or any other personal need, borrowers have the freedom to use the funds as they see fit – so long as it’s legal!
3. No risk of losing assets
One of the main advantages of unsecured personal loans is that there is no risk of losing your assets if you are unable to repay the loan. Since there is no collateral involved, you do not have to worry about losing your home or car if you fall behind on payments. This can provide peace of mind for borrowers who may be hesitant to put their assets at risk.
Can I get an unsecured personal loan with bad credit?
If you have a bad credit history, we may need security in order to give you the loan. However, it depends on your financial history and your circumstances. Bad credit loans are our specialty, and the best thing is they are low-cost loans too. So, if you’re wondering if you can get a personal loan with bad credit, get in touch with our friendly team today. There isn’t a lending situation we haven’t seen before, and we have solutions for most of them. A poor credit score can be caused by a wide range of reasons. Our goal is to understand why our clients have bad credit and give them a second chance.
It is quite common for us to help people with poor credit lower their monthly repayments with debt consolidation loans. By combining all their debts, including overdue bills, into a single loan that is spread over a longer period of time, we are able to ease some of the pressure. As a result, they’re more likely to make their payments on time and rebuild their credit score.
Why Choose Loan Direct
Loan Direct is a lender with a difference. Our simple, direct lending process takes all the hassle out of getting a loan.
As a finance broker, Loan Direct’s goal is to find the best loan terms for you based on your circumstances. We do the legwork so you don’t have to, and liaise directly with our lending partners.
Loan Direct (through our parent company Loansmart) holds a Financial Advice Provider Licence from the Financial Markets Authority and is an associate member of the Financial Services Federation. This means you can trust us to provide you with reliable, impartial advice that is in your best interests.
