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Personal loan comparison May 2024

Get the funds you need without getting stung by high interest rates and fees. Compare personal loans from banks and online lenders today.

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Name Interest Rate (p.a.) Comp. Rate (p.a.) Application Fee Monthly Fee Monthly Repayment
NOW Finance No Fee Unsecured Personal Loan
Finder award winnerFixed18 Months - 7 Years $5,000 - $50,000
Interest Rate (p.a.)
6.75%
to 26.95%
Comp. Rate (p.a.)
6.75%
to 26.95%
Application Fee
$0
Monthly Fee
$0
Monthly Repayment
$615.26
Go to siteMore Info
OurMoneyMarket Personal Loan
Finder award winnerFixed1 - 7 Years $2,001 - $75,000
Interest Rate (p.a.)
6.57%
to 18.99%
Comp. Rate (p.a.)
7.19%
to 21.78%
Application Fee
1.50% - 6%
min. $250
Monthly Fee
$0
Monthly Repayment
$627.42
Go to siteMore Info
Harmoney Unsecured Personal Loan
Finder award winnerFixed3 - 7 Years $2,000 - $70,000
Interest Rate (p.a.)
5.76%
to 24.03%
Comp. Rate (p.a.)
6.55%
to 24.98%
Application Fee
$275 - $575
Monthly Fee
$0
Monthly Repayment
$623.70
Go to siteMore Info
Latitude Variable Rate Personal Loan
Variable2 - 7 Years $5,000 - $70,000
Interest Rate (p.a.)
9.49%
to 29.99%
Comp. Rate (p.a.)
10.37%
to 30.69%
Application Fee
$0
Monthly Fee
$13
Monthly Repayment
$653.57
Go to siteMore Info
Special Finder offer: $395 establishment fee waived for approved personal loan applications submitted through Finder. Latitude may withdraw offer at any time. T&Cs apply.
OurMoneyMarket Secured Personal Loan
Fixed1 - 7 Years $2,001 - $75,000
Interest Rate (p.a.)
6.57%
to 18.99%
Comp. Rate (p.a.)
7.19%
to 21.78%
Application Fee
1.50% - 6%
min. $250
Monthly Fee
$0
Monthly Repayment
$627.42
Go to siteMore Info
NAB Personal Loan Unsecured Fixed
Fixed1 - 7 Years $5,000 - $55,000
Interest Rate (p.a.)
6.99%
to 20.49%
Comp. Rate (p.a.)
8.05%
to 21.49%
Application Fee
$250
Monthly Fee
$10
Monthly Repayment
$635.17
Go to siteMore Info
ING Personal Loan
Finder award winnerFixed2 - 7 Years $5,000 - $60,000
Interest Rate (p.a.)
6.89%
to 18.99%
Comp. Rate (p.a.)
7.10%
to 19.23%
Application Fee
$150
Monthly Fee
$0
Monthly Repayment
$621.16
Go to siteMore Info
NAB Personal Loan Unsecured Variable Rate
Variable1 - 7 Years $5,000 - $55,000
Interest Rate (p.a.)
6.99%
to 20.49%
Comp. Rate (p.a.)
8.05%
to 21.49%
Application Fee
$250
Monthly Fee
$10
Monthly Repayment
$635.17
Go to siteMore Info
Jacaranda Finance Express Personal Loan
Fixed25 Months - 4 Years $3,000 - $25,000
Interest Rate (p.a.)
14.95%
to 27.95%
Comp. Rate (p.a.)
29.30%
to 42.80%
Application Fee
$130 - $990
Monthly Fee
$24
Monthly Repayment
$751.11
Go to siteMore Info
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What is a personal loan?

A personal loan is money that you borrow to cover the cost of expensive purchases such as a holiday, a renovation, a wedding or medical bills. You repay the loan, plus interest and fees, over time.

According to Finder research, most Australians with a personal loan borrow less than $10,000. But some Australian lenders accept loan amounts as high as $100,000. A personal loan is smaller than a home loan but can be higher than the amount you might spend in a few months via a credit card or buy now pay later (BNPL).

Basic features of a personal loan

  • Loan terms. A personal loan term is usually between 1 and 7 years. Longer loan terms mean you pay more interest, shorter loan terms increase your monthly repayments.
  • Personalised interest rates. Many lenders determine your personal loan interest rate based on your credit score, income and other factors.
  • Loan purpose. A personal loan can be used "for any worthwhile purpose". But you can't use a personal loan to gamble or invest.

The difference between an interest rate of 9% p.a. and 8% p.a. for a $20,000 loan over 7 years is over $800 in interest. Check out Finder's best personal loans to see our top picks of the month.

How do I compare personal loans?

  • Look for a lower interest rate. The lower the rate, the less interest you pay. Most personal loans have variable rates, but some offer fixed rates. Make sure you compare personal loan products to find the lowest rate possible.
  • Look for a loan with lower fees. Factor in the cost of any application or establishment fees, plus the ongoing monthly service or account fee. You can spot a loan with high fees by looking at the comparison rate.
  • How big will your loan be? You won't be able to borrow $30,000 if the lender's maximum loan amount is $25,000.
  • Consider your loan term. Most lenders offer terms of 1 to 7 years. Longer terms mean lower monthly repayments but you end up paying more interest. Shorter terms mean less interest and you'll pay off the loan faster, but you pay more each month.
  • Other features. Some lenders let you repay the loan faster, so you can get out of debt quickly. Some even let you redraw those extra repayments to spend in an emergency. Other popular features include a lender's app, which can make it easier to track and manage your debt.

How your credit score affects your personal loan rate

Most lenders in Australia use risk-based pricing for personal loan interest rates. Every borrower gets a different rate based on their credit score and their own circumstances.

If you have an Excellent credit score you can get a lower interest rate. If your score is Good or Average the rate will be higher.

You can check your credit score for free through Finder before applying for a personal loan. If you have an Average or Bad credit score you can improve it before applying for credit.

Personal loan rate update: May 2024

  • Lowest unsecured personal loan rate: Harmoney Unsecured Personal Loan: 5.76% (comparison rate 6.55%).
  • Lowest secured personal loan rate: Illawarra Credit Union Secured Fixed Rate Personal Loan (New): 6.77% (comparison rate 7.61%).
  • Average unsecured personal loan rate in Finder's database: 10.78% p.a.
  • The average Australian with a personal loan borrows $7,328 with a 3 year term.
Richard Whitten
Market update by Richard Whitten – Finder money editor

How do I know what my personal loan repayments will be?

Your personal loan interest rate will often be based on your credit score and credit history. It's best to get a quote from a lender once you are comfortable you fit its eligibility criteria. That quote should include the interest rate you are offered, as well as any fees.

When you have that information, use a personal loan calculator to be able to confidently tell what you're repayments will be like.

Compare personal loan types

Unsecured personal loans

Unsecured personal loans mean you're still responsible for repaying the loan, but you don't have to offer a car, property or asset as security for the loan. This usually means a slightly higher rate.

Secured personal loans

A personal loan secured by an asset, such as a car, term deposit or home equity. If you fail to repay the loan, the lender can take the asset. Secured loans often have lower rates and better terms since the risk to the lender is lower.

Car loans

While you could buy a car with a typical personal loan, rates are often better if you specifically take out a car loan. You can buy a car with a secured or unsecured loan, depending on the car you're buying. Banks and lenders offer car loans, and so do many car dealers.

Debt consolidation loans

These personal loans allow you to combine multiple outstanding loan and credit card debts into a single loan. This means fewer loan fees and hopefully a single, more manageable repayment with a lower interest rate.

Bad credit loans

If you have a bad credit score and a history of financial trouble you can still get a personal loan. Bad credit personal loans have higher rates, so be careful when taking one out as they are not long-term financial solutions.

Is a personal loan right for me?

Before getting a personal loan you should always check that you can afford the personal loan repayments and ask yourself whether you really need the loan.

If you are in a financial emergency, you should understand that taking out a loan may trap you in a cycle of debt. For more resources and support, visit the Australian government's MoneySmart website.

Comparing personal loans to other forms of credit

Personal loans are suited to borrowers looking to fund specific, one-off purchases or expenses, like a car, a wedding or a holiday. But there are other forms of credit that borrowers can use.

Some of these options may be riskier and more expensive than a personal loan:

  • Credit cards. A credit card lets you spend money flexibly, up to an approved limit, and pay it off over time. If you manage your card well, it can be a good form of credit. For smaller purchases it could be cheaper than a personal loan. But if you don't stay on top of your repayments, you'll end up paying a high interest rate month after month.
  • Buy now pay later (BNPL). Many Australians use BNPL to cover small purchases in a similar way to a credit card. BNPL services are easy to use and don't charge interest, which can be a trap. You have to pay fees, and if you miss repayments then you'll get hit with more fees.
  • Pay on demand. Pay-on-demand platforms let you access a portion of your salary before payday, but you'll pay a fee to do so. This might be a convenient short-term solution but if you find yourself repeatedly accessing your salary early and paying a fee to do so, you could find yourself falling further behind financially.
  • Payday loans. These are short-term loans limited to $2,000. They are an emergency option but an expensive one. Payday lenders don't charge interest but instead charge hefty fees.

How to apply for a personal loan

  • Compare personal loan products. You can use our table to find one that suits your needs and has a low interest rate.
  • Check the lender's eligibility criteria. There's no point applying for a loan you can't get. Make sure you meet the employment, residency and income requirements.
  • Check your credit score and get a quote. Knowing your credit score helps set your expectations for what interest rate you'll be offered and helps you spot ways to improve your score. Lenders can also provide quotes to give you an idea of your loan.
  • Submit your application. You'll need some ID and details about your income, spending and employment.
  • Wait for approval. Most lenders can process a personal loan application within 1 business day. Some can do it in hours.

Documents you need for your personal loan application

  • ID. A driver's licence, Medicare card, passport or birth certificate.
  • Proof of income. Payslips, bank statements, a tax return or letter of employment.
  • Other debts. You may need to provide an account statement from other debts you have, including loans or BNPL accounts.
  • Security. If the loan is secured you'll need to provide some details about the car or asset offered as security. This can include a tax invoice from a car dealership and evidence of a car insurance policy.
Raj Lal

When I took a personal loan recently it was a smooth and quick experience. I was approved for the loan with the repayments I was happy with. One thing that helped me out was knowing early on what I can afford to pay on the loan.
— Raj Lal, publisher

Why compare personal loans with Finder?

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We're free

Our personal loan comparison is completely free to use. There are no costs at all for you to use our database to find a better deal. Better still, we regularly run exclusive deals that you won't find on any other site.
expert advice

We're experts

We've researched and reviewed hundreds of loans as part of our Finder Awards. Our database and tables are always up-to-date and our in-house experts regularly appear on Sunrise, 7News and SBS News.
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We're independent

We are independently owned and have a mission to help Australians make better financial decisions. That means our opinions are our own and you can compare nearly every personal loan in Australia (and find a better deal).
help

We're here to help

Since 2014, we've helped 300,000+ people find a personal loan by explaining your options simply. You don't need to give us any details to use our comparison. We're here to help you make a decision.

FAQs about personal loans

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