Want Something Small and Quick? Unsecured Loans Are For You!

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unsecured loans

“Jacaranda Finance NZ is a lender-finding service. We do not offer financial advice. Consider seeking independent legal, financial, taxation or other advice to check how the information and ideas presented on this website about loans relate to your unique circumstances.”

Unsecured loans are loans that lenders can approve without the need for collateral. Applicants qualify based on their income and, to a lesser extent, credit score and history. They are not asked to provide assets as security.

Starting At $300: Apply For Unsecured Loans Now

Unsecured loans are a type of personal loan available from traditional or online lenders that can be used for a variety of purposes. If the loan is above $2,000, then you must attach equity to secure the loan, for example, a car, boat, motorbike or caravan.

Eligibility: Income and Credit

What do lenders look at when asessing your application? Your income is the most important consideration. When you apply with us, we’ll ask you to upload bank statements verifying regular income over the past three months. To our partners, this will probably serve as sufficient proof. The lender we potentially pair you with will conduct an income and expenditure assessment. In other words, they’ll compare the loan instalment relative to your income, living expenses and other commitments.

Some of our lenders perform credit checks to confirm an applications credit history. Although a good credit score can help, it isn’t the only thing our partners look at when assessing an application. For example, a big part of the decision comes down to the result of the income and expenditure assessment – if you are meeting your commitments comfortably and you have money left over, this will certainly look favourable.

Unsecured Personal Loans: Instant Decision Online

Why Jacaranda Finance NZ? We understand the challenges our clients can face and how important it is to have access to fast cash when one is in need. We have extensive industry experience and work very hard to find suitable lenders.

You could expect an outcome of your application on the same business day. Some applicants have had their applications matched with a lender within an hour.

What is more, the application process is fast and easy. It takes a few minutes to fill out our online form. To continue, you will need to meet the following requirements; you need to be an NZ citizen or permanent resident, be of 18 years or older, have an active mobile and email address and have an internet banking account that has been open for at least 90 days. If you are eligible, then, simply enter the desired amount and instalment frequency – weekly, fortnightly, or monthly and continue with the application. Our partners’ loans are repaid over 12 months max.

What is the best-unsecured loan?

The best-unsecured loan is one you can reasonably afford to pay back. Our panel of lenders’ loans can be a feasible alternative to credit cards, which are also unsecured.
Borrowers need a solid repayment plan even if they take out a very small loan to avoid issues in the future. Lenders will ensure each and every borrower is able to repay the arranged loan.

Advantages of Getting Loans Through a Lender-Finder

A lender-finder looks for lenders on a potential borrowers’ behalf. People who need a loan are relieved of the arduous task of looking for lenders themselves, calling, and going to loan interviews. Borrowers who need unsecured emergency loans simply don’t have this time. What is more, banks and credit unions generally take longer to make a decision compared to online lenders, which might ultimately be one to reject your application.

How to Apply with Jacaranda Finance NZ

When you apply with us, you can forget about the stress of past applications. We’re here to make your loan process as simple as possible. So, you submit your application and we find the lender. Say goodbye to multiple applications with a bunch of lenders and say hello to the easiest application you’ll ever do.

Just follow these three steps to apply:

Step 1: You Apply Online

The first step is to complete an application. We’re a 100% online, so you submit an application from the comfort of your home. It’s that easy! So, brew a cozy cuppa and get started with our loan calculator located at the top of each page. Select how much you wish to borrow and for how long, then click the Apply Now button and you’ll be taken to our application. Fill in a few more details, then click submit and that’s it!

Step 2: We Do The Legwork

After you submit your application, we get to work finding you a lender that can help, when you need it most. If you apply during business hours, we could find you a lender in minutes! So, keep an eye on your SMS or email.

Step 3: Meet Your Lender

If we find you a lender, we’ll let you know straight away. We don’t like to mess around. Next, your lender should get in touch shortly to go over the finer details of your application.

Price of Unsecured Loans

It is free to submit an application with us! If we find you a lender and they make you an offer you are happy with, you will be offered to sign a contract with them. After that, a customised direct debit schedule is set up. The instalment payment is deducted from your bank account automatically once a week, once every two weeks, or once a month – you choose the frequency. We believe this is very convenient, and not only – there’s no temptation to skip payments.

Online Unsecured Loans for Bad Credit

It’s not easy to qualify for unsecured loans for bad credit. However, it’s not impossible either. The lenders we find realise things will still come up for you despite poor credit. It is consumers like that who can be most prone to incurring emergency costs. You might need money to pay for home improvement, consolidate debts, pay taxes or medical bills. If you have no assets to serve as security, is there a better option to borrow money?

Do I Need a Co-Signer?

If you are looking for unsecured loans for bad credit, an instant decision is what you need. To increase the chances of its being positive, some lenders may offer the option of adding a guarantor of your contract. With his or her signature, this person pledges to repay the loan if you are unable to. They may need adequate income and good credit to co-sign.

Predatory Lending

This form of lending is common when borrowers have bad credit. These consumers are desperate to get a loan, but many lenders have rejected their applications. When working with an illegitimate lender, you’re never in a position of power! They will always have more to gain from their dealings with you than vice versa. Approach only reputable lenders and lender-finders and watch out for terms that seem too good to be true, because they probably are.

Credit can always be improved. One way to make sure is finding out if the major credit reporting companies will learn of your loan. If they don’t, your credit score won’t change, and you’ll be back to square one.

Small Loans, Unsecured: Compare Rates

Regardless of your credit score, it always pays off to compare rates. Contact reputable lender-finders, and try your luck with local banks and credit unions. They don’t typically offer unsecured loans, but they are legitimate lenders.

It’s very important to compare rates when looking for an unsecured loan, particularly an instalment loan you’ll be repaying over the next year. Consumers with poor credit have the best chances of using online lending networks. They can compare and contrast loans from the comfort of their own home. Finding a good loan deal can be a numbers game. Online lender-finders like Jacaranda Finance NZ connect borrowers with lenders across NZ.

How Much Can You Afford To Repay?

Before applying for a loan, especially an unsecured one, you should make an accurate assessment of how much you can afford to pay back, and how long the repayment term will be. Our online loan calculator can help do the math for you. Just enter the loan amount and payment frequency, and click Apply Now when you’re happy with your proposed loan terms.

Depending on your lender, it may be possible to extend the loan term. This is done when someone’s having a tough time keeping up with repayment instalments. You’re paying off the loan in smaller amounts but over a longer period of time. You need to check how this would affect the interest. Sometimes interest fees are directly proportional to repayment terms. In other words, the longer the term, the higher the fees.

Borrowers find it best not to extend loan terms unless absolutely unavoidable. Unnecessary extension maximizes the overall cost. We can’t stress the importance of estimating how much you can afford to repay.

Difference between Instalment and Cash Advance Loans

Unlike the former, the latter are usually repaid in a single lump sum that includes finance charges and any other fees apart from the principal. Cash advance loan terms are also shorter than instalment loan terms, generally lasting up to a few months. The interest tends to be higher due to the limited duration of these loans. On the plus side, cash advance loans are usually obtained fast and the credit requirements are minimal. All that can be required to get a cash advance is a valid checking account.

Words of Warning

Unsecured loans can be a welcome resource to help tide you over in a financial fix, but they are never meant to cover daily expenses like rent and food. As a responsible lender, we always the reason for your loan. However, you can apply for a lender for a variety of reasons, including car repairs, home renovation, holidays, white goods, moving costs and list goes on! If you’re struggling, contact your new lender straight away and they might be able to restructure your repayments. The key is communication.

Anyone who becomes dependent on short-term loans to cover day-to-day costs should work on saving and/or earning more money to make ends meet. This will keep them safe from collectors, a plummeting credit score, and possibly even bankruptcy. If you’re struggling with debt, we recommend getting in touch with a not-for-profit debt counsellor. This is a free service provided by charities and other non-profit organisations across the country.

Examples of what loans might cost.

Personal Loans

Loan Amount

Minimum
$300


Maximum
$10,000

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Terms

Minimum
12 Months


Maximum
24 Months

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Example

Interest Rate between 1.5% and 20% per month.

$2,500 repaid over 13 months would have 56 weekly repayments of $75.05. Total interest $1702.80. Total amount repayable $4,202.80. This example is based on a monthly interest rate of 9% and an AIR of 108%. WARNING: This is a repayment estimate only. Your lender will determine the exact fees, terms and loan amounts available for you, which may alter your repayments. Annualised Interest Rates (AIR) could be as high as 620.5% depending on your personal situation.

Note, your lender may offer you different terms, fees or loan amounts based on your individual circumstances, needs and their own lending criteria. Please check your contract before signing.

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