Take advantage of lower rates for good credit borrowers and no ongoing fees.
While they seem like standard personal loans on the surface, SocietyOne's Personal Loans are a little different. For starters, SocietyOne is not a lender. As a peer-to-peer lender, SocietyOne connects borrowers with investors and then manages and services every loan that it approves. Interest rates are based on a tiered scale, so the better your credit profile, the lower your rate.
3 things you should know about this loan
- Tailored interest rate. You will receive an interest rate based on your SocietyOne loan grade and the loan term you select. Interest rates start from 7.5% p.a. and you can receive a rate estimate before you apply.
- Restrictive loan terms. You can only select terms of two, three or five years with SocietyOne. Make sure these repayment terms meet your needs before you apply.
- Use the loan for any purpose. This loan is unsecured and the funds can be used for any worthwhile purpose.
|Product Name||SocietyOne Unsecured Personal Loan|
|Interest Rate (p.a.)||From 7.5% (fixed)|
|Comparison Rate (p.a.)||9.51%|
|Interest Rate Type||Fixed|
|Min Loan Amount||$5,000|
|Max. Loan Amount||$50,000|
- No ongoing fees
- No account-keeping fees
- Repay your loan early without penalty
- Establishment fee of 3% of loan amount
- Restrictive loan terms between 2 and 5 years
Main points to consider with a SocietyOne personal loan
You can borrow as much as $50,000 with a SocietyOne personal loan. SocietyOne offers risk-based pricing, meaning your rate is personalised. Your rate will be based on your SocietyOne loan grade, which is determined by information such as your credit score, employment status, cash flow and the loan amount you request. The loan term you choose will also affect your interest rate.
The interest rate stars from 7.5% p.a., while the comparison rate is 9.51% p.a.. Terms vary between 2 and 5 years.
Features of SocietyOne personal loans
- Fixed repayments. Since these personal loans attract fixed interest rates, your repayments remain the same for the entire duration of the loan. This not only protects you from market fluctuations, but it also allows you to budget your repayments in advance.
- Personalised rate. SocietyOne will use information from your loan application to determine the indicative interest rate for your loan.
- No ongoing fees. There are no monthly or annual account-keeping fees. There is an establishment fee, starting from 3% of loan amount, which depends on your loan amount and loan term. Late payments attract a $25 fee and you’d have to pay $25 in each instance of direct debit request dishonour.
- No early repayment fee. If you choose to repay the loan amount earlier than scheduled, you do not have to pay any early repayment fees.
- ClearMatch™ technology. SocietyOne relies on ClearMatch™ technology for day-to-day operations. This platform assists with aspects such as credit assessments, loan origination and loan portfolio management. It includes state-of-the-art underwriting capabilities and it also enables customers to complete the application and approval process over the phone. In addition, it includes an array of debt management and customer service tools, while also assisting with credit scoring.
What interest rate will I get?
SocietyOne works on a tiered rate system where the better your loan application, the lower your interest rate and fees. The repayment term you select also affects your rate. There are four loan grades, with the loan grade you receive based on your credit history and credit score, employment status, cash flow and the loan amount you request.
Interest rates range from 7.5% p.a. to 20.49% p.a..
How to apply for a SocietyOne personal loan
SocietyOne offers personal loans to Australians who meet its eligibility criteria – you can start the application process by clicking on the "Go to site" button. To apply, you must:
- Be at least 21 years old
- Have a good credit history
- Earn more than $30,000 p.a.
- Be able to afford the loan
- Have at least two years of good credit history
- Not be in hardship with another financial provider
- Not have a pending, current or previous bankruptcy
- Be using the loan for personal use
As part of the application process, you have to register on the SocietyOne website. The next step requires you to complete an application form and to submit documents to verify your identity, which comprises the following:
- Copy of your driver's license
- Copy of your passport
- Three months of your bank statements
- Credit card or loan statements
SocietyOne personal loans offer a viable alternative to conventional lenders. What’s important, though, is that you take all of the features into account before making a decision. Use finder.com.au to see how SocietyOne’s loan offerings compare with other products on the market.