Debt Consolidation with Bad Credit

Are you looking for a lender who will consider you for a personal loan despite your bad credit history?

Have you approached numerous lenders and are tired of hearing NO?
Feeling like no one out there can help?

The answer is quite simple.

Unsecured Personal Loans are a product of the Australian Banks and as such have all the traditional bank requirements of clean credit, stable employment and full financials. If your credit history is not clean, your Debt Consolidation options are limited to the following:

Secured Loan
These are loans secured by an asset such as a car or a house. If you own a paid off car that you are able to offer as security for your loan - you may qualify for a secured personal loan.

Alternatively, if you are a home-owner with equity in your home, you could consider consolidating your outstanding debts into your mortgage. This is by far the most effective mode of debt consolidation because you get to reduce your monthly repayment obligations and start paying home loan interest rates on your unsecured debts.


Debt Agreement
Debt Agreements are governed by the Australian Legislation. People who can not afford to maintain their current repayment obligations on their unsecured debts, can use a debt agreement to come to a reduced payment arrangement with their creditors. Effectively, a debt agreement is a tool that facilitates an agreement between a debtor and a creditor that an amount smaller than the total outstanding debt will be accepted by the creditor in full payment of such debt.


Bankruptcy
When a person becomes bankrupt in Australia, most of their property is taken over by a Trustee. A person will usually remain bankrupt for 3 years. Bankruptcy continues until discharge or annulment takes place.
Bankruptcy has very serious repercussions and should not be seen as an easy way out.