Need some money to see you through? Find out how you can be approved for a $1,200 loan.
Trying to find a way to cover emergency cash shortfalls can be stressful. You might start looking for a loan only to see that you don’t meet the criteria because of your credit history, your income or how you are employed. No matter what your financial circumstance there are financial options available to you, whether it be a lender that has less stringent criteria or a no or low interest loan.
What $1,200 loan options are available?
If you have bad credit
- Bad credit applicants considered
- Fast approval service
- Borrow up to $2,000
100% confidential application
Sunshine Short Term Offer
A short term loan with a fast and easy application available to those with good or bad credit. You can apply today and get approved for up to $2,000.
- Loan amount: $2,000
- Loan term: 9-12 weeks
- Turnaround time: 30 minutes (conditions apply)
- Fees: 20% of borrowed amount + 4% of borrowed amount each month
- Income requirement: 50%+ of income cannot be from Centrelink
- Bad credit borrowers OK
- Quick and easy Approval
- No Credit Checks
Loan options are more limited when you have bad credit. When it comes to $1,200 loans, many payday lenders will consider you even if you have negative marks on your credit file. What you will need to show is your ability to manage the loan repayments, whether this be through income from Centrelink payments or from regular employment.
Bad Credit Loan Options
If you have good credit
There are more options available to you if you have good credit. If you need the money urgently, you can check if your bank offers same day personal loans to existing customers. If it doesn’t, overdrafts can usually be set up with your transaction account within a day, giving you access to a line of credit. While you have the option of applying for a conventional personal loan, this will usually be available for an amount in upwards of $5,000.
If you’re eligible for a low or no interest loan
Low and no interest loans are essentially community financial assistance programs aimed at those receiving Centrelink payments or on lower incomes. To be eligible you need to:
- Have a health care card or pension card
- Have resided in your current premises for more than three months
- Show a willingness and capacity to repay
- Not be using the loan to pay rent, bills or for a holiday
The loan is designed to finance essentials. This includes household items like furniture, washing machines and fridges, some medical and dental services and also educational purchases including computers and textbooks.
How you can compare and find the right loan for you
- Know what you’re eligible for. You may be eligible with some lenders and ineligible with others, so check the minimum eligibility before you apply. Requirements need to be met for income, age and residency, and there may also be restrictions if you receive Centrelink benefits.
- Check what the fees will be. Lenders are capped as to how much they can charge you for a $1,200 short-term loan, so you’re likely to see similar fees across the board. A breakdown of these fees is outlined in the section below.
- What are your repayments? While your repayment terms, such as how long you have to repay the loan, may vary, your repayments will usually be structured according to the frequency of your pay.
The costs of borrowing $1,200
Lenders are restricted as to how much they can charge you for a $1,200 loan. Restrictions apply when the lender is non-Authorised Deposit-taking Institution (ADI) which excludes banks, credit unions and building societies. The loan has to be under $2,000 and needs to be repaid within terms of 16 days to one year.
If the loan meets these requirements, the lender cannot charge you more than 20% of the principal loan amount as an establishment fee and 4% of the principal loan amount as a monthly fee.
For a loan of $1,200 borrowed for a one-month term, you will pay $1488 in total with two fortnightly repayments of $744.
Questions you might have about $1,200 loans
Can I apply for a loan if I receive Centrelink payments?
Yes. Many lenders offer Centrelink loans to applicants who show they will be able to manage the repayments. Review the eligibility criteria outlined in the review pages before you apply to see what requirements you will need to meet.
When will I receive my loan?
This differs between lenders. Usually, if you submit your application and accept your loan contract before 2:30pm on a business day, you can receive your loan amount on that same day. Some bad credit lenders can have the loan to you within the hour.
How do I make repayments?
Your lender will outline this in your loan contract. However, you loan amount will normally be direct debited from the bank account your loan was deposited into on the agreed upon dates.
I won’t have enough money to cover my repayment. What do I do?
The first step is to get in touch with your lender – this may save you a late fee or a direct debit dishonour fee. Your lender may be able to set up a payment plan or delay your repayment for you.
When can I apply for another loan?
It is important to note that payday loans aren’t designed to be a long-term financial solution. If you do need to apply for another loan you will need to have repaid your first loan in full before applying. You can apply with your original lender or find a different lender.