Unemployed Loans

Loans for the Unemployed

Worried you won't meet the employment requirements to borrow? Find out about unemployed loans.

If you're not employed in the traditional sense and are in need of finance, you may be wondering whether any lender will consider you for a loan. This guide will take you through your options for borrowing while you're unemployed, what you need to be aware of, and how you can apply. You can also see the ins and outs of eligibility criteria for who offer these kinds of loans. Jump forward to who may lend you money >>

Can you get a loan if you're unemployed?

The short answer is yes. Some lenders will consider you for a loan when you are not currently employed, but you will need to be earning some form of income or have suitable income-earning assets to repay the loan. This may involve you receiving some kind of Centrelink payments, being self-employed, or you receiving a regular deposit into your account from shares or something similar. Often, lenders will require access to your banking history and financial documents in order to verify that you will be able to repay your loan.

Important things you'll need to consider before borrowing

  • You need to be able to repay the loan.
    This is the main thing lenders will be looking at when considering you for a loan: do you have the means to manage your repayments? If you are only looking to borrow a small amount and your income and expenses mean you can easily manage the ongoing repayments, then you may be eligible. If you are looking at borrowing a large amount of money that will make it hard for you to manage day-to-day, then the lender cannot approve you.
  • Other requirements will need to be met.
    You cannot have any other short-term loan contracts open that you're currently repaying, and many lenders will not consider you for a loan if you're currently bankrupt or under a Part 9 Debt Agreement. You'll need to check the other eligibility requirements set by the lender before you apply. Just because they have flexible criteria when it comes to your employment does not mean they will be flexible about everything.
  • Do you receive Centrelink payments?
    This is often what allows lenders to consider you for a loan when you aren't currently employed. If you receive certain Centrelink allowances, such as pensions, parenting payments and the like, you may be able to use these as income (but only a certain percentage). Some payments, such as Newstart or Disability Support Pension (DSP), may not be accepted by some lenders, so be sure to check before you apply.

Find out about borrowing when you receive Centrelink

What are the requirements for an unemployed loan?

The requirements differ depends on who you're looking at applying with and how much you're looking to borrow. You'll need to check the specific criteria before you submit an application, but any of the following might apply:

  • Earning a specific income. While you may not need to be employed, you still may need to earn a regular income to apply. This is a common criterion you'll find with personal loans, so if you aren't employed or are employed casually but earn a sufficient income, you still may be eligible to apply.
  • Receiving Centrelink payments. Some lenders will accept Centrelink payments as a form of income, but, as outlined above, they will have guidelines surrounding this. The requirements may be that no more than 50% of your income come from Centrelink payments or that you do not receive Newstart Allowance or DSP. Check the specifics before applying.
  • Your credit rating. With flexible employment criteria often comes flexible credit criteria. That is, if a lender is willing to look beyond your not being in a job, they are often able to look beyond negative marks on your credit file. Keep in mind, though, that this flexibility has limits. For instance, you may be able to have a default or two and still be accepted, but many lenders will not consider you if you are currently bankrupt.
  • Your assets. If you own a car or a boat outright or have some equity in a property, your application may have a greater chance of being approved. This is because the lender may use this as security for the loan.

Where can I get a loan if I'm unemployed?

There is a number of different loan options for those who are unemployed, between jobs or receiving benefits.

LenderLoan amountEligibility
Cash Converters$50 to $2,000
  • Over 18
  • Earn at least $300 per week
  • Reside in Australia
Ferratum$100 to $1,900
  • Over 18
  • Earn a regular income
  • Australian citizen or permanent resident
OK Money$200 to $5,000
  • Over 18
  • Earn a regular income
  • Australian citizen or permanent resident
  • Apply in-store
Wallet Wizard$100 to $5,000
  • Over 18
  • Are able to afford the loan

Sarah needs a loan

Sarah has been out of work for three months after completing her degree and currently receives Centrelink payments. She can get a job as a sales rep, trouble is, she needs a car in order for them to offer her the role. She has found a cheap car to purchase from a friend – $1,500 – all she needs to do is secure a loan.

She'll be able to comfortably repay the full amount using her Centrelink payments, and when she first gets paid from her new job the loan repayments will be even easier to manage. She has credit card debt and so has been refused a loan by StepUP and The No Interest Loans Scheme can't help her with a car purchase. She considered a Centrelink Cash Advance, but Centrelink can't get it to her in time to secure the role.

She compares her small, short-term loan options and sees that there are lenders who will consider her Centrelink payments as income. After comparing what's available and double-checking the eligibility criteria, she submits an online application and is approved for the loan amount. Her repayments are structured around her Centrelink payments, and, after purchasing the car, she is offered the role.

Are there any alternative loan options?

There's more than just short-term lenders to consider if you're in need of finance while you're unemployed. It's important to consider all of your options and find the best one for your needs and situation.

  • No Interest Loans Scheme. Provided by Good Shepherd Microfinance, the No Interest Loans Scheme (NILS) offers credit to individuals and families who have lower incomes and who hold a Health Care Card or Pension Card. Loans of between $300 and $1,200 are provided for no fees, no charges and no interest to help people pay for household items, medical and dental services and even educational essentials. Applicants need to show a strong willingness to repay the loan and need to have resided at their current address for over three months.
  • StepUP Loan. Another option offered by Good Shepperd Microfinance, this time partnering with NAB, this loan is available for between $800 and $3,000 for a very low rate. To be eligible, you need to hold a current Centrelink Concession Card or receive Family Tax Benefit Part A. As with NILS, you need to have been at your current address for more than three months. This loan can be used for household items and medical or dental expenses, as well as to purchase cars, computers or to pay for repairs on your house or car.
  • Joint applications, guarantors and co-signors. If you're unemployed and in need of a loan, you can consider applying with another person – a partner, relative or friend – in order to boost your eligibility. Many lenders offer the option for joint applications, and some brands such as Buddy Money encourage you to apply with a guarantor in order for you to be able to access finance. So, if you don't meet the eligibility criteria, find out if you can apply with someone who does. Remember that this is a large responsibility the guarantor or co-signer is taking on as they are sharing the responsibility for you repaying the loan.

So, you don't reach the end of the financing road when you are unemployed. If you are able to manage your repayments there are lenders who will consider you and loan options available to you. Remember to compare all options that are open to you to secure the best one for your needs.

Elizabeth Barry

Elizabeth is a senior writer for finder.com.au specialising in personal finance. She enjoys reading PDSs so you don’t have to.

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279 Responses to Loans for the Unemployed

  1. Default Gravatar
    Esther | June 9, 2017

    I need a loan better than title loan about 3300 if possible I get ssi husband does umpiring all yeAr round

    • Staff
      May | June 9, 2017

      Hi Esther,

      Thank you for your inquiry.

      I’m afraid that the lenders listed above only offer loans to people in Australia. Nevertheless, if you like to compare your loan options, please review the criteria and contact a lender listed on this page to discuss your options/eligibility.

      Hope this helps.


  2. Default Gravatar
    Ms | June 4, 2017

    I’m a qualified professional but I’m unemployed on Centrelink Newstart at the moment. Where can I go to borrow at least $2000? I have a car to use as collateral. I have a tax refund due to me next month in early July 2017 and I would like to use some of the refund to repay the loan. Thank you.

    • Staff
      Jonathan | June 4, 2017

      Hi Ms. Vincent!

      Thanks for your inquiry.

      You can check out our list of lenders here. In order to proceed, click the hyperlink name of your chosen lender to redirect you to their individual page. From there, you may either click “More” or “Go to Site” green button to proceed with your application.

      Hope this helps.


  3. Default Gravatar
    Mazelia | May 28, 2017

    Can your web site help me get a loan for the unemployed ? There is a wedding coming up next week and I need a little help getting ready. Please help !

    • Staff
      Anndy | May 28, 2017

      Hi Mazelia,

      Thanks for reaching out.

      You may check our table above for lenders that may consider you for a loan while unemployed. Kindly note that other eligibility criteria apply.

      Before you submit your loan application, please do read the related terms and conditions of the loan you are interested in.


  4. Default Gravatar
    Pau | May 26, 2017

    Hi Im from Fiji Is it possible that I can get a loan.

    • Staff
      Jonathan | May 29, 2017

      Hi Pau,

      Thanks for the comment.

      I’m afraid that this loan is only available to people who are currently residing in Australia. The same is true for all other lenders that are featured on our pages. You may want to get in contact with a bank or lender in Fiji.

      Hope this clarifies.


  5. Default Gravatar
    Raelene | May 1, 2017

    I need bank statements.

    • Staff
      Harold | May 2, 2017

      Hi Raelene,

      Thank you for your inquiry.

      In general, you can request for a bank statement from your depository bank where you have an account.

      I hope this information has helped.


  6. Default Gravatar
    Keilo | April 28, 2017

    I’m unemployed and need money for my rent can I get approved?

    • Staff
      Harold | April 28, 2017

      Hi Keilo,

      Thank you for your inquiry.

      The requirements differ depends on who you’re looking at applying with and how much you’re looking to borrow. You’ll need to check the specific criteria before you submit an application. You can check your options through this section.

      I hope this information has helped.


  7. Default Gravatar
    Harold | April 13, 2017

    Need money to pay rent

    • Staff
      Anndy | April 14, 2017

      Hi Harold,

      Thanks for your question.

      If you are looking to apply for a loan, you can compare personal loans for US residents here. You may also consider getting a short term loan.

      Please do read the terms and conditions of the loan product you are interested in before submitting your application.


  8. Default Gravatar
    chelsie | April 10, 2017

    Can I get a loan when I’m 17 but 18 in 3 months?

    • Staff
      Liezl | April 10, 2017

      Hi Chelsie,

      Thanks for getting in touch. You’ve come through to finder.com.au – an online comparison service, not an actual lender.

      In Australia, the minimum age requirement for getting a loan is 18 years old. Although there are some lenders who may consider you for a loan, however, you’ll need someone to guarantee the loan for you. You can read more about guarantor personal loans on this page. Should you opt to wait until you reach the legal age, you can check this page for loan options.

      It’s important to check with the lender for the requirements & terms & conditions before you apply. Hope this has helped.

      Kind regards,

  9. Default Gravatar
    Eliisapeta | April 5, 2017

    I’m unemployment I’m a newstart allowance I’m just wondering if I can apply?

    • Staff
      Harold | April 5, 2017

      Hi Eliisapeta,

      Thank you for your inquiry.

      The requirements differ depends on who you’re looking at applying with and how much you’re looking to borrow. You’ll need to check the specific criteria before you submit an application. Through this page you can check your options at section “Where can I get a loan if I’m unemployed?”.

      I hope this information has helped.


  10. Default Gravatar
    george | March 30, 2017

    How can I accept loan here in Zimbabwe is it possible to get it

    • Staff
      Anndy | March 30, 2017

      Hi George,

      Thanks for your question.

      Kindly note that the loan products we feature on our website are only available to Australian residents.

      You may want to contact a local lender in your area for your borrowing needs.


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