bad credit

Bad Credit Debt Consolidation

Take control of your finances and consolidate your debt, even if you have bad credit.

Debt consolidation is one way to manage repayments and reduce debt if you have more than one account you're paying interest on. By moving all your separate balances into the one account you can start reducing your debt by paying one monthly repayment instead of several. While many lenders require you to have a good credit history to take out one of these loans, there are lenders out there who will approve debt consolidation loans for those with bad credit.

Updated August 22nd, 2019
Name Product
Fox Symes offers a range of debt consolidation options to help you if you're struggling with multiple debts.

Compare up to 4 providers

What is a bad credit debt consolidation loan?

Debt consolidation involves bringing separate debt balances together into the one loan. You can generally consolidate personal loan, car loan or credit card debt. The lender may repay the debt on your behalf or you may be required to use your debt consolidation loan funds to pay out your existing loans and close the accounts.

Updated August 22nd, 2019
Name Product Maximum Loan Amount Term of Loan Turnaround time Costs Fortnightly Repayment (for $5000 Loan)
9-12 weeks
30 minutes - conditions apply
20% of loan amount + 4% of loan amount each month
A small loan up to $2,000 that you repay over 9-12 weeks. Loans approved and funded in as little as 30 minutes. Centrelink must not be your primary income
Up to 2 years
3 hours - conditions apply
Apply for up to $2,000 and be able to access your approved loan as a convenient line of credit.
62 days to 1 year
1 hour - conditions apply
20% of loan amount + 4% of loan amount each month
A loan up to $2,000 with terms up to 62 days to 1 year. Centrelink cannot be your primary source of income.
6-12 months
Same day - conditions apply
20% of loan amount establishment fee + 4% of loan amount monthly.
Credit24 offers this loan up to $2,000 and gives you 12 months to repay.
up to 6 months
Same day - conditions apply
20% of borrowed amount + 4% of borrowed amount each month
Borrow what you need with loans starting from $500 and approval in minutes.

Compare up to 4 providers

How can I get a debt consolidation loan with bad credit?

Those with bad credit have a few options to consolidate their debt:

  • Apply for an unsecured personal loan with a specialist lender. Some lenders offer large, unsecured personal loans to people with bad credit. Interest rates are higher than with standard personal loans but you may still be able to reduce what you're currently paying.
  • Consider a Part 9 Debt Agreement. Debt agreements, which are a form of bankruptcy, are an option for people with large debts they are unable to repay. The financier will negotiate with lenders on your behalf and your debts won't accrue any more interest. Keep in mind this will be listed on your credit file for five years from the date you enter into the agreement.

What are the benefits of consolidating your debt?

There are various advantages to consolidating your debt, including:

  • Easy to manage repayments. By consolidating your debts you can better manage your repayments, as you will only have to worry about one repayment as opposed to several.
  • Reduce interest. By consolidating your debt you might be able to reduce the interest you’re paying, because the debt consolidation loan may have a lower rate than some of your existing accounts.
  • Save money. Most loans and credit cards come with fees, and so by consolidating your debts into one loan you may save money from not paying separate fees.
  • Get in a better financial position. By consolidating your debts and having more control over your repayments you can help get yourself into a better financial position.

How to make bad credit debt consolidation loans work for you

Not everyone who takes out one of these loans improves their financial situation. It's important to go about these loans the right way and make sure you don't make your debt even worse. Here are some ways to make these loans work for you:

  • Lower your interest. One of the main points of these loans is to take advantage of an overall lower rate of interest across your loans. Make sure you do your calculations and work out if you're actually saving money on your new loan's interest rate.
  • Sorting out your budget. Before you take on a new loan it's important to budget for the repayments. You'll notice a significant change in your finances as you'll be paying for one loan rather than several, so it will take some adjusting.
  • Comparing your loan options. To make sure you're getting the best deal, compare your loan options before you apply. This will help ensure you get the lowest rate and fees available to you.
  • Seeking advice. If you're struggling to consolidate your debts or are wondering how best to manage your repayments, you can seek financial advice to help improve your financial situation. This will help ensure you repay your debts and improve your credit situation.

How to compare bad credit debt consolidation loans

Like any debt or loan solution, it’s important to compare your options to find the best option for you. Here are some things to keep in mind when comparing bad credit debt consolidation loans:

  • The lender needs to be reputable. Unfortunately, there are disreputable lenders who prey on those with bad credit, and may promise loans but then charge high rates and fees. Before you apply for a loan with a lender you should take a look at their website and see how easy it is to locate information, see if they are easily contactable, and even read some third-party customer reviews online.
  • Fees are expected, but they shouldn’t be excessive. One way to find out how fair the fee structure is to compare your options online and see what other lenders are charging. Some fees you might expect to pay include loan establishment fees, monthly account-keeping fees, additional repayment fees, and so on. Make sure you check fees you might have to pay for using certain features, as well, such as being charged for making additional repayments.
  • Rates also need to be reasonable. The point of a debt consolidation loan is to save you money from reduced interest across your credit accounts, so if the rate charged is too high then you may not be saving much money. Again, compare your options to see what a reasonable interest rate is.
  • Loan terms that are offered by the lender should meet your debt consolidating-needs. The terms will also affect how much your repayments will be and also how much interest you’re paying over the course of the loan.
  • What you’re able to consolidate may also differ between lenders, so you might want to check this before you apply. Some lenders may allow you to consolidate any debts from your open accounts, but they may have limits. Other lenders may only allow you to consolidate credit card debt or only personal loan debt. Make sure you’ll be able to consolidate what you need to when you compare your options.

What to know about applying

While a debt consolidation loan is often a viable option to consider if you are looking to better manage your debt, the same solution will not work for everyone. Before you take out one of these loans you should work out how much money you’ll save on interest and fees, and don’t forget to add any break costs or early repayment fees for your existing loans. If you’re thinking about applying for a bad credit debt consolidation loan then you can first compare your options to find the right loan. Once you’ve found a loan to apply for you can click ‘Go to Site’ and be directed through to the lender’s website and fill out an online application form. After that, the debt consolidation process will depend on the lender.

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22 Responses

  1. Default Gravatar
    BenDecember 8, 2018

    Hi there how is your credit score calculated? If you don’t have any default or judgment but have missed date to pay but paid soon after is that recorded?

    • Avatarfinder Customer Care
      JoshuaDecember 13, 2018Staff

      Hi Ben,

      Thanks for getting in touch with finder. I hope all is well with you. :)

      Your credit score is calculated based on the information listed on your credit report. Thus, whatever is in your credit report will also affect your credit score. Typically, late payments are reported to the credit bureau and added to your credit report at least 30 days after the payment due date. Some creditors or lenders may not report late payments until they’re 60 days past due. Of course, this is a case by case basis. One lender might report it earlier than 30 days or as late as 90 days. For this reason, it is always advisable that you make repayments on time.

      I hope this helps. Should you have further questions, please don’t hesitate to reach us out again.

      Have a wonderful day!


  2. Default Gravatar
    CarleyMay 31, 2017

    If your commonwealth bank everyday smart access account is overdrawn,will it affect the process of my personal loan getting approved for consolidation?

    • Default Gravatar
      JonathanMay 31, 2017

      Hi Carley!

      Thanks for the comment.

      Defaults and overdue accounts, which may include overdrawn accounts, are part of your credit file. So it is very important to be on top.

      You may want to read more how personal loan for debt consolidate works, and to see banks that don’t charge overdrawn fees, you may visit it here.

      Hope this helps.


  3. Default Gravatar
    StevenMarch 26, 2017

    I have 2 personal loans to plus credit card debt total 9000. Both loans considered slow accounts can not get car loan because of that. Would a consolidation loan be the right way to get me back on track?

    • Default Gravatar
      brettMay 23, 2017

      I am looking to consolidate 30000 how can you help please.

    • Avatarfinder Customer Care
      DeeMay 24, 2017Staff

      Hi Brett,

      Thanks for your question.

      If you have a low credit score and would like to consolidate your loan, you can check your option above. Since we don’t have a direct link for Fox Symes Debt Solutions, you may directly visit their website to submit your application. Kindly check the eligibility criteria for this loan product before doing so.

      Moreover, you may also visit this page to compare other debt consolidation loans.


    • Avatarfinder Customer Care
      MayMarch 27, 2017Staff

      Hi Steven,

      Thank you for your inquiry.

      If your goal is to pay off your debts at a lower rate, then you may want to consolidate all your debts into one loan. On this page, you would find a guide on how you can take back control of your debts. Please review the criteria, details of the loan product and contact the lender directly to discuss your loan options and eligibility.


  4. Default Gravatar
    GorgeFebruary 27, 2017

    Hi I have 30 k debt unpaid defaults
    I have a car loan and shocking credit can I still get a consolidation loan I have a good work history and weekly income

    • Avatarfinder Customer Care
      DeeFebruary 27, 2017Staff

      Hi Gorge,

      Thanks for your question.

      Even if you are currently on bad credit, there are lenders who may consider you for debt consolidation. Please check what your options are through our guide above.

      Please make sure that you’ve read the relevant T&Cs or PDS of the loan products before making a decision and consider whether the product is right for you.


    • Default Gravatar
      GorgeFebruary 27, 2017

      Even being discharged from my part nine and all my unpaid defaults there is still options ??

    • Avatarfinder Customer Care
      DeeFebruary 27, 2017Staff

      Hi Gorge,

      Thanks for your follow up question.

      If you have just been discharged from Part 9 Debt Agreement, the lenders on this page may still consider you for a loan.


    • Default Gravatar
      GorgeFebruary 27, 2017

      I just spoke to a fellow from positive lending he said cod I backed out of a part nine agreement it will be almost impossible to get a consolidation loan is this true ?
      Kind regards

    • Avatarfinder Customer Care
      DeeFebruary 27, 2017Staff

      Hi Gorge,

      If you have been on a Part 9 Debt Agreement, you will be more limited in terms of the lenders you have to choose from, and the fees and rates may also be considerably higher. Also, if you find a suitable lender, they may require you to provide other documents to support your ability to pay.


  5. Default Gravatar
    VikkiJanuary 16, 2017

    Hi i want to consolidate my debts into one easy payment, i need to find a lender who will offer this to me with a low income?

    • Avatarfinder Customer Care
      DeeJanuary 16, 2017Staff

      Hi Vikki,

      Thanks for your question.

      There are a number of options for you if you are looking to consolidate your loan. Please check this page to compare. Most of this loan products require a regular income. I’ve seen a few that require at least $15,000 per annum.


  6. Default Gravatar
    MickFebruary 24, 2016

    Hello I’m just inquiring to see how to apply for like a low in come like $200 loan that i could apply now

    • Avatarfinder Customer Care
      ElizabethFebruary 25, 2016Staff

      Hi Mick,

      You can compare and apply for small amount loans on this page.

      I hope this helps,


  7. Default Gravatar
    GinaFebruary 16, 2016

    How many bad credit applications get approved.

    • Avatarfinder Customer Care
      ElizabethFebruary 17, 2016Staff


      There is no specific number of approved as each application is handled on a case-by-case basis. If you’re interested in applying with Fox Symes, the review page may give you more information.

      Hope this will help.


  8. Default Gravatar
    Ian.January 19, 2016

    I would like to consolidate my debt. I would like to borrow 30,000 and pay off in 5 or 6 year term?

    • Avatarfinder Customer Care
      ElizabethJanuary 19, 2016Staff

      Hi Ian,

      As a financial comparison service we don’t actually offer the loan products ourselves. Currently, we only have one bad credit debt consolidation provider which you can find out more information on by following the link above. If you’re interested in more general information you can have a read of our guide, also above. Other debt consolidation options can also be found on this page. You also have the option of getting some personal advice by calling the free financial counselling service a call, the number is 1800 007 007.

      I hope this has helped.



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