Munibox Short Term Loan
Munibox is a secured loan provider that will lend up to 70% of an asset’s value without performing credit checks.
Munibox is an online pawnbroker that provides short-term loans using non-real estate assets such as vehicles, boats, aircraft, trucks and farm machinery as security. Customers can borrow up to 70% of that asset’s value.
While Munibox is a secured lender, it doesn’t lend against property. No credit checks are performed, and defaulting on repayments won’t be reflected in a person's credit report.
Loan amounts start at a minimum of $5,000 with no maximum amount, and loans are available to business owners, pensioners and unemployed applicants, as long as they have storable assets against which they can borrow.
Maximum loan amount
3 - 12 months
Term of loan
|Product Name||Munibox Fast Loans|
|Minimum loan amount||$5,000|
|Maximum loan amount||$2,000,000|
|Loan term||3 - 12 months|
|Turnaround time||24 hours|
|Costs||Varies upon the loan amount|
|Requirements||Your must have a tangible and storable asset as security for the loan.|
|Available to Centrelink Borrowers?||Yes|
Are you struggling financially?
If you're struggling financially and would like to speak to someone for free financial advice, information and assistance you can call the Financial Counsellors hotline on 1800 007 007 (open from 9:30am to 4pm, Monday to Friday). If you are suffering financial problems related to the coronavirus pandemic you may be eligible for additional support. Find out more here: https://www.finder.com.au/coronavirus-financial-help
⚠️ Warning about Borrowing
Do you really need a loan today?*
It can be expensive to borrow small amounts of money and borrowing may not solve your money problems.
Check your options before you borrow:
- For information about other options for managing bills and debts, ring 1800 007 007 from anywhere in Australia to talk to a free and independent financial counsellor
- Talk to your electricity, gas, phone or water provider to see if you can work out a payment plan
- If you are on government benefits, ask if you can receive an advance from Centrelink: Phone: 13 17 94
The Government's MoneySmart website shows you how small amount loans work and suggests other options that may help you.
* This statement is an Australian Government requirement under the National Consumer Credit Protection Act 2009.
How do Munibox loans work?
Munibox is a short term lender for secured loans. It allows their customers to borrow cash without the need for credit checks. In exchange, they have to store their valuable assets at a Munibox storage location until the funds (and any accumulated interest) from the loan have been repaid.
It should take 24 hours for a loan application with Munibox to be processed. Loan customers can then repay the loan any time after seven days, with interest rates varying depending on the loan amount and how quickly they settle it. If someone is still paying off the loan used to purchase a security asset, Munibox will reimburse the lender, giving the borrower clear ownership of the asset.
The maximum term is 365 days, during which borrowers can make staggered payments (which must be, at the least, equivalent to one month’s interest) or settle the balance in single payment.
During the loan period, an asset will be stored in Munibox’s storage facility until the borrower repays the loan in full. Munibox charges no fees, but if someone defaults on their payments, the asset will be sold at a public auction.
Features of a Munibox loan
Here are some of the features of Munibox’s short-term loans.
- Accessible. Munibox doesn’t do credit checks. As long as someone meets the criteria and owns valuable assets, they can apply for a loan.
- Flexibility. The maximum loan term is 365 days. Borrowers can either settle the whole amount plus interest in a single payment or make voluntary payments at no extra charge. The whole amount plus the accrued interest must be settled by the end of the 365 days.
- Possibility to extend loan term. People can apply to extend their loan term for an additional three months, but the asset will be re-evaluated.
- No fees. Munibox charges no fees. Customers repay the loan and the accrued interest.
- Turnaround time. Once Munibox has evaluated the asset and it has been delivered to their storage space, funds can be deposited within 24 hours of an application.
- Assets are insured. The assets are fully insured when in Munibox’s possession. There are storage facilities located in every territory and state in Australia.
What are the risks of short term loans?
- Unaffordable repayments. Short term loans are an expensive way to borrow money and should only be used as a last resort. Check the size of each repayment and ensure you will be able to pay it on time. Unaffordable repayments can lead to late fees that will only make things worse.
- High rates and fees. Rates and fees on short term loans are high but there are rules in place so be sure to check your lender is not charging you more than ASIC allows. Also, look at what you would be charged if you are late on a payment or if you default on the loan altogether.
- Unreputable lenders. All Australian lenders should be accredited by ASIC. Check for a credit licence on the ASIC Register and ensure that the lender is easily contactable.
- Impact on credit score. Every loan application shows up on credit reports. While lenders might not consider credit history, applying for lots of loans within a short period can have a negative impact on your credit score in the future.
How much does the loan cost?
Munibox charges no fees. If the borrower defaults on payments, their asset will be sold at a public auction.
Munibox loan eligibility
Prospective borrowers can apply for a Munibox loan as long as their asset is registered with Australia’s Personal Property Securities Register (PPSR) and has an identifiable serial number. Munibox doesn’t run credit checks on applicants, nor does an application reflect on their credit report.
Applicants must meet the following criteria:
- Must be 18 years of age or older
- Must be an Australian citizen or a permanent resident
- Cannot be bankrupt or insolvent
How to apply
If you want to apply for a Munibox loan online, click “Go to Site” to get the process started. You’ll be asked to submit personal information and information about your asset. Your application and asset will be reviewed and, if approved, funds will be deposited within 24 hours.
Munibox will evaluate your asset and offer a loan of up to 70% of the total assessed value. You will be asked to provide photos of your asset, as well as a detailed description. The more detailed information you provide, the better and more accurate the evaluation.