Why pay more than you need to? Take advantage of low interest rates on personal loans.
If you're considering a personal loan to help you make your next big purchase, consolidate debt or take any other step in your life, you want to be sure you're getting a competitive product. Low interest rate personal loans help you keep your ongoing costs down and your repayments manageable. Compare a range of these loans and find a low interest rate loan for you.
Compare low rate personal loans
- RateSetter Personal Loan: 8.71% p.a. comparison rate. A competitive low rate personal loan from peer-to-peer lender, Ratesetter.
- Citi Personal Loan Plus: 9.96% p.a. comparison rate. A flexible low interest rate loan with lots of flexibility and no monthly fees.
- CUA Fixed Rate Personal Loan: 11.25% p.a. comparison rate. A low rate loan with unlimited additional repayments from CUA.
- SocietyOne Unsecured Personal Loan: 9.51% p.a. comparison rate. A personal loan with a tailored rate based on your creditworthiness.
What types of personal loans have the lowest rates?
There are a couple of types of loans you can look at if you want one with a low interest rate. These include:
- Secured personal loan. If you have an asset to offer as a guarantee, such as a vehicle or even a term deposit, you can get a lower rate with a secured personal loan. The security makes the loan less of a risk for the lender and you're still able to use the funds for the purpose you need.
- Risk-based personal loan. Many lenders are now offering risk-based personal loans, which means that the interest rate is personalised to you. So, if you have a good borrowing history and a high credit score (you can check your credit score for free here) then you may be able to get a low interest rate.
- A competitive unsecured personal loan. There are a number of competitive unsecured personal loans available in the market. If you compare your options, which you can do using the table on this page, you'll be able to find a low interest rate.
Is there a catch with cheap low rate personal loans?
Low interest rates are a great feature for lenders to advertise, but they aren't the only feature you should be considering. Remember to look at the loan as a whole package to decide if it's for you. For example, a loan may come with a low interest rate but have a $10 monthly fee, which can really add up over a 3-year loan term. Or, the loan may come with a low interest rate but not let you make extra repayments or repay the loan early without penalty. So, along with checking the interest rate, check what else you will be charged (upfront and ongoing fees), how flexible the loan is and whether it offers all of the features you need.
How can you compare low interest rate personal loans?
A personal loan with a low interest rate can help you keep your ongoing repayments down while giving you access to the funds you need. But an interest rate is not the only feature a personal loan comes with.
- Check what fees apply. While a low interest rate can help you save, high ongoing fees can make your loan more expensive than it needs to be. See if you are charged an establishment fee or monthly or annual fees for your personal loan. Comparing your options by the comparison rate rather than the interest rate will also give you a better idea of the loan cost.
- See how flexible the repayments are. Most lenders will offer you the option of making weekly, fortnightly or monthly repayments, but not all do. It's also important to check how easy it is to make your repayments – are they automatically deducted from your account on the due date? Can you manage your account easily online?
- Determine if you can repay your loan early or make additional repayments. Repaying a loan early or making extra repayments is usually reserved for loans with variable interest rates, but some fixed rate loans also offer these features. Check if there are any limits on additional repayments (you may only be able to repay a certain amount per year) and if you will be charged a penalty for repaying early.
- Evaluate the loan term and loan amounts. These will need to meet your borrowing needs. Are you able to borrow the amount you need for the time period you require to pay off the balance? Most lenders offer fixed rate loans with terms of between one and five years, and variable rate loans up to seven, but some lenders only offer certain terms within that range, such as one-, three- or five-year loans.
3 tips to help you get the lowest rate loan 
-
Check your credit score
Make sure your credit is in good standing by checking your credit score and full credit report for free with Finder. -
Collect all your necessary documents
You'll need your payslips, ID, and details of your finances (assets, income, debts and expenses). This will help prove you can service the loan repayments. -
Compare and apply online
It's important to compare all your personal loan options before applying. You can start with some low interest rate personal loans in the table above.
What else should you look at besides the interest rate?
Although it may be tempting to compare rates and just pick the lowest option, there are various other loan features you need to consider before you decide which loan to go with.
- What type of loan do you need? Personal loans can be secured or unsecured and can come in the form of a lump sum payment (as is the case with most loans) or as a line of credit, as you find with personal overdrafts and line of credit loans. Determine what's the best for your borrowing needs.
- What extra features does the loan come with? These could be easy account management in the form of a mobile app or online account, a redraw facility to access extra repayments or even frequent flyer points.
- What is the eligibility criteria? You will generally need to be over the age of 18 and a permanent Australian resident or citizen. Most lenders also set a minimum income which is usually a minimum of $14,000 p.a. (for smaller loans). Eligibility criteria are outlined on all finder.com.au review pages.
- How flexible is the loan? This is in terms of repayment flexibility, flexibility with the loan purpose, and with changes to your lifestyle. For instance, can you top up your personal loan if you need to?
What's the eligibility criteria?
Eligibility criteria will differ between loans, but generally, you will need to meet the following requirements:
- Be over the age of 18
- Have a good credit rating
- Be an Australian citizen or permanent Australian resident
You can check the eligibility criteria on each individual finder review page. If you have any concerns, make sure you reach out to the lender directly before you apply.
How you can apply for a low interest rate personal loan
If you would like to apply for a personal loan with a low interest rate you can compare your options using the table above. Once you've found a loan you'd like to apply for you can click "Go to Site" apply. The information you are required to provide will be different depending on the type of loan you apply for, but you will most likely need to provide the following:
- Personal details including your name, contact information and proof of identification
- Name and contact details of your employer
- Details of your employment including income amount and how you are employed eg full time, part time, etc.
- Financial details including your assets, liabilities, and any other active credit accounts.
You can find a range of competitive options when you compare low interest rate personal loans. Make sure you consider a range of lenders to find the right loan for your needs and situation.
hi, I am looking for a medical dental done overseas and pay a small personal loan and a credit card ,probably make extra repayments so I can pay back the sooner I can I need to borrow 25000.
Hi Wilfredo,
Thank you for leaving a question.
This page gives you a comprehensive list of lenders that you could reach out to if you need to borrow money. Kindly review and compare your options on the table displaying the available providers. Once you have chosen a particular provider, you may then click on the “Go to site” button and you will be redirected to the provider’s website where you can proceed with the application or get in touch with their representatives for further inquiries you may have.
Before applying, please ensure that you meet all the eligibility criteria and read through the details of the needed requirements as well as the relevant Product Disclosure Statements/Terms and Conditions when comparing your options before making a decision on whether it is right for you. Hope this helps!
Cheers,
Reggie
I want to buy land in Thailand with my Thai wife we are looking for $45000 can you suggest the best loan for this.
Hi Paul,
Thanks for your inquiry
Generally, Australian banks can’t take a foreign property as security for a home loan. However, they can help you fund your future investment plans if you have an existing property with enough equity. There are also a number of non-Australian owned international banks that may be able to help you with finance. A mortgage broker may be able to help you with this by getting touch with the branch themselves.
One important thing to note is that some countries limit you to borrowing 80% of the property value or Loan to Value Ratio (LVR).
Hope this information helps
Cheers,
Arnold
I need a personal loan up to 20000 I’m unemployed at the moment as I have a broken neck but I have a guarantor
Hi Luke,
Thanks for getting in touch with finder.
Yes, one of the best ways for you to get approved for a personal loan is to have a guarantor. In this is something you think would be a solution to your problem, please click this link. On that page, you will learn how you can apply for a loan using a guarantor.
I hope this helps. Should you have further questions, please don’t hesitate to reach us out again.
Have a wonderful day!
Cheers,
Joshua
Looking to move and requiring money to leave present area
Hi Max,
Thank you for your inquiry.
You may check out the lenders featured on this page as you can compare the different features that they offer.
You can also click on their names to be directed to their dedicated pages to read further details such as the eligibility criteria and requirements for their loan product.
Once you’ve chosen a provider, you may click on “Go to site” to be directed to their main website where you can start your application.
Before applying, please ensure to read the relevant Product Disclosure Statements/ Terms and Conditions of the option before making a decision and consider whether the product is right for you.
I hope this helps.
Best,
Maria
I am looking for a variable interest rate with no monthly bank charges for a personal loan of $32.500
Hi Yvonne,
Thank you for your inquiry.
Here’s an option of lenders who offers Variable Rate Personal Loans.
I hope this information has helped.
Cheers,
Harold
Hi is it usual for the lender to ask for account details, on line.? A bit hesitate to fill this field out.
Hello Sue,
Thank you for seeking clarification on the security of online forms.
I understand that you may be worried about the safety of the personal information you share online.
It is actually now commonplace for companies to ask for account details online. This allows companies to process your application quicker.
Rest assured that these companies are vigilant in keeping your details secure.
Be careful as well to only visit known sites when filling out forms like this to ensure the safety of your details.
Hope this helped.
Cheers.
Gru
Hello. I have a friend who has asked me to help her apply for a personal loan. She would like to borrow 50k over the maximum possible loan term, with the option to repay it early if possible. This would probably need to be an unsecured loan as I don’t think she has any valuable assets to secure the loan against. Are you able to give some general advice for her situation?
Hi Jemma,
Thanks for your question.
You may want to check this page for the possible loan options. You can take advantage of the calculator on top of the table to know which option requires a monthly repayment that fits your budget.
Kindly review the eligibility criteria and the terms and conditions of the loan before submitting your application.
Cheers,
Anndy
Is a percentage rate of 15.99% too high for a unsecured personal loan?
Fees are $30 per month on a loan over 7 years with the ANZ
I refinanced my loan with an original 10.9% which I all but paid out only to see my interest rate steadily climb up to 15.99 % within 2 years!
Hello Ken,
Thank you for reaching out to ask about this.
However, as a friendly reminder, please note that finder is a comparison website and general information service.
While we do not represent any company we feature on our pages, we can offer you generic advice and guide you in making an informed decision as to what would best suit your needs.
You would do well in getting in touch with several providers/companies so you may have several options to choose from if you feel that your interest rate with your current provider is no longer acceptable.
Cheers,
Gru
What’s the best, cheapest , fastest way to pay out a personal loan. For ex I have an ANZ personal loan I just want to pay off. the interest rate is around 11/12 percent and I’m paying fees on the account they set up for me to repay the loan through. Can I get a loan that I can just pay directly via Bpay or direct credit without having an account with the same bank as the loan? Many thanks
Hi Jen,
Thank you for your inquiry.
While we cannot recommend what is best for you, we can offer you a general information. Through this page you can review and compare the offers that will best fit your personal requirements. Please use this guide or your reference.
I hope this information has helped.
Cheers,
Harold
I just want no if i can get a lone on bad credit so i don’t have two wast my time an your time thank you
Hi Joseph,
You can compare bad credit personal loans on this page. Keep in mind that different eligibility criteria will apply for each lender so take a look at the review page (where the criteria are listed) before you apply.
I hope this helps,
Elizabeth