Bad Credit Loans
Bad credit history? Secure a loan in 3 simple steps!
- Bad Credit loans up to $5,000
- Fast Online Application & approval
- If approved – receive funds the same day!
Why Get a Bad Credit Loan?
There often comes a time in life when you need to borrow money. Whether it’s a personal emergency, a big purchase you’d like to pay off gradually, or if you’ve been hit with an unexpected bill. In these circumstances, it’s normal for someone to apply for a personal loan.
But what happens if a financial institution denies you because of your low credit score? That’s where City Finance can help. Even if your credit rating is far from perfect, we could still lend you money with one of our cash loans.
How it works
Here’s a quick rundown on what to expect when you apply for a bad credit cash loan.
ONLINE APPLICATION
To apply for a loan with City Finance, simply fill in our online application form here. It’s quick and easy, you’ll just need to select how much you’d like to borrow, your preferred repayment term, provide some personal details, and verify your identity.
CONFIRMATION
Most customers receive a response within a couple of business hours of applying. In some cases, our team may get in touch to request additional information to finalise your loan.
FUNDING
Once your loan is approved and the contract is signed, most customers receive their funds within minutes, so you can get on with what matters sooner. Repayments will be made weekly, fortnightly or monthly, depending on your selected plan.
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Ready to Secure a Bad Credit Loan Today?
Don’t let past credit mistakes hold you back from getting the funds you need. Apply now for a fast, flexible bad credit loan with City Finance, no hidden fees, same‑day funding, and true repayment support. Start your application and take control of your finances.
Bad Credit FAQs
What are bad credit loans?
Contrary to the name, bad credit personal loans aren’t only designed for people with less than desirable credit – they’re also handy for people with little to no credit history. Without an established and spotless credit file, banks can be hesitant to grant loans to customers.
What is a credit check?
A credit check is when a financial institution looks up information to understand your financial behaviour and credit history. Credit checks generate scores for each individual. Typically, the lowest possible credit score is 0 and the highest possible score is 1200.
What is considered a bad credit score?
In most cases, Australian banks will require a score of 700 or higher in order to approve a credit card or personal loan. If your rating is lower than 700 a bank may consider you “high risk”. Most financial institutions will use the following key to analyse your credit score.
| Credit Score Range | Illion | Equifax | Experian |
| Excellent | 800 – 1000 | 833 – 1200 | 800 – 1000 |
| Good | 700 – 799 | 726 – 832 | 700 – 799 |
| Fair | 625 – 699 | 622 – 725 | 625 – 699 |
| Poor | 550 – 624 | 510 – 621 | 550 – 624 |
| Very Poor | 0 -549 | 0 – 509 | 0 – 549 |
How can I check my credit score?
You can actually perform your own credit history check online. However, it’s important to only use an established credit checker, some credit checks can affect your credit score negatively. You can find a tool to check your credit score, this one will not impact your score.
How did I end up with a bad credit score?
There are plenty of different ways that a credit score can be affected negatively, but they all come down to owing money which can create problems if you’re interested in borrowing money.
Below are some factors that can cause your credit rating to drop.
- Late payment on your phone bill
- Applying for a lot of loans or credit cards
- Co-signing for someone with a bad credit rating
- Having a high credit balance – even if repayments are made
- Any late or missed payments
- Any bills that you’ve ignored and haven’t paid
How can I improve a bad credit score?
Information on how your credit scores work is available here.
Can a loan with you improve my credit score?
For information on how a City Finance loan may impact your credit score, click here.
Will applying for a bad credit loan affect my credit score?
We perform a soft credit check that doesn’t impact your score. We record a hard inquiry only after you accept the terms, so you can get a loan with bad credit without risking further score drops.
How do I improve my credit after taking a bad credit loan?
Making each payment on time, keeping unused credit card balances low, and avoiding multiple hard inquiries will gradually boost your score, transforming loans with low credit into better future borrowing options.
Am I eligible for a bad credit loan?
Yes, as long as you are aged 21 or over. Our loans for bad credit are specifically designed to help close the gap in the market for consumers who are either excluded from, or who simply choose not to obtain cash loans from mainstream financiers.
If you have bad credit, no credit experience, or would just prefer the personal service of a loan-specific company as compared to mainstream lenders, then we can help! Unfortunately, if you are declared bankrupt or in a Part 9 debt agreement we cannot assist for 12 months after discharge.
Could I get a bad credit loan if I've never had a loan before?
Yes. Without any experience of repaying loans on your records, many banks will consider you “high risk”. As a result, you may be denied a loan. At City Finance, our loans for bad credit are also available to people with no credit experience. This loan can also help you build a good credit score for the future.
How long will it be until the money is in my bank?
Often, when a customer applies for a bad credit loan with us, they will receive the money that same day. However, some cases require our staff to look into it, so it may take a little longer. Regardless, you’ll usually receive the funds the same day that you are approved for the bad credit loan.
How long do I have to pay back the loan?
This is really flexible and can be tailored to fit your needs. For loans under $2000, the maximum time you’ll have to pay your credit loan is 52 weeks. However, we can do any time frame between 1 and 52 weeks, if you’d like to pay off your loan sooner. For medium-sized loans between $2001 – $5000, you’ll have up to 104 weeks to pay back your loan. If you’re able, we recommend paying it off in a shorter term to save on fees and interest.
Do I need a co-signer to get a loan?
No, we don’t require this as long as you are over 21. Traditional financial institutions do tend to ask for a guarantor or a co-signer if the person applying doesn’t have a good credit history or enough experience with borrowing.
I've been turned down before, will this affect my chances of getting a loan with you?
No, we’ve helped thousands of Aussies who have been turned away from other financial institutions previously. These customers were able to secure their bad credit loans quickly and easily with us and make simple repayments in a way that suits them.
What information do we need to process your bad credit loan application?
At City Finance, the process of applying for a credit loan is simple. We don’t need a bunch of different documents, all we require is the following:
- ID document number, such as passport or medicare card
- 90 Days Banking History
- Proof of income (Eg a payslip or Centrelink benefits statement) – If you cannot provide A or B
How much interest do you charge?
Because of the risk involved with lending money to people who don’t have a perfect track record of paying back the money, the interest rate on loans for bad credit tends to be slightly higher.
MACC (medium amount credit contract): If you’re after more money, you can take out a MACC between $2,100 and $5,000. You will be charged a flat upfront $400 establishment fee (split across payments) and a 48% annual percentage rate.
Are there any hidden fees or charges?
At City Finance we are very flexible with our payments. If you are able to pay off your loan early – or make an early payment – we won’t charge any early payment or early termination fees.
Alternatively, if you need to change a payment that’s within your bad credit loans term we can help rearrange your payment terms. However, if you don’t let us know that you are unable to make a payment, we will have to charge you a dishonour fee.
How long does a default stay on a credit report?
A default is a negative note on your credit report that lowers your score. Defaults happen when the amount owed is over $150 and the debt is more than 60 days overdue.
Defaults will stay on your credit score for five years and have a very negative impact on your rating. Furthermore, if the lending company deems the default a clearout – which means they believe you had no intention of paying off the amount – the default will stay for seven years.
You can find out more information about defaults here.
