Anyone who has ever borrowed money knows it can be hard to pay back at times. However, borrowing is a bridge most of us need in order to quickly get ahead in life. Personal loans are the fastest means of acquiring funds for a range of purposes, but the first criterion is your ability to make the loan repayments on time.

If your earnings or income are high and you have a clean credit history, a personal loan will usually be approved. People on lower incomes need to tailor their approach to repayments that are make-able. You will need to provide evidence of current and ongoing expenses, revealing enough disposable income to furnish the loan and thrive . There are other stipulations, including Australian residency requirements, that will affect the application. ... (read more)

In 2014, changes were introduced into credit score reports. History regarding personal loans is now scrutinised more thoroughly by lenders, meaning that if you have successfully paid off a personal loan on time and on schedule it will positively affect your credit score. On the other hand, defaults or recurring late payments will reflect badly on your credit score.

The changes to the system provide a more comprehensive overview of an individuals capacity for sound money management. Rather than only negative ‘black marks’ showing up on the credit report, positive information is also taken into account. Lenders and service providers will take previous financial management into consideration. ... (read more)