Bond Loans for Centrelink Customers

We all dread moving expenses. You have to think about the costs of hiring trucks, moving companies, moving insurance, new furniture or appliances, paying a month’s rent in advance, and more. With all of these expenses, how can you afford the rental bond on a Centrelink income?

Luckily, bond loans for Centrelink customers are an option. Let’s see if and how such a loan can get you into the private rental market.

What this article covers:

bond loans for centrelink customers

Most landlords require bond payment, which may be four weeks’ worth of rent or more. You’ll get it back after your tenancy term if your real estate agent or landlord doesn’t claim it. If you haven’t received the bond from your previous place yet, an emergency cash loan can help you pay that money partially or fully.

Bond loans are short-term, small loans, which you can repay when you get your current bond back, get housemates, or else. Also, these loans have more flexible terms than personal loans, so you can find ones with terms of up to two years.

Even better, Governmental bond loans are free of interest and fees. This is excellent for Centrelink customers and individuals that live on a low income. But you’ll need to be eligible, which can be difficult on a Centrelink income. However, that’s why loans geared towards Centrelink recipients exist.

Some lenders have flexible eligibility criteria. And while some don’t consider Centrelink payments a valid income source, others do.

Centrelink loan providers look at your overall income, your expenses, the loan cost, and other financial indicators. This way, they can determine if you can comfortably repay the loan. In other words, they focus on suitability and affordability.

Will I Qualify for a Bond Loan?

Every lender has their eligibility criteria. Still, some basic requirements are:

  • Being an Australian citizen or permanent resident
  • Being 18 years old or over
  • Having a Centrelink income suitable for the loan amount
  • Having a checking account
  • Not having outstanding debts
  • The rent not costing over a certain percentage of your total weekly income
  • Having an eligible Centrelink benefit type

You may wonder which Centrelink benefit types are acceptable if you want to get a bond loan or an advance loan. If the payment isn’t conditional on you holding an employment or educational position, you have a solid chance at approval. For instance, you may receive:

  • Carer’s Allowance
  • Age Pension
  • Single Parent Payment
  • Mobility Allowance
  • Centrelink Pensions
  • Child Care Benefit
  • Disability Support Pension
  • Veterans Affairs Pension
  • Jobseeker Payment
  • Partnered Parent Payment
  • Totally & Permanently Incapacitated Pension (T&PI)

However, if you’re on Newstart Allowance, Austudy, Abstudy, or Youth Allowance, lenders can’t accept your loan application on an income source that isn’t stable. However, having an additional income source can help.

bond loans for unemployed

If you want to qualify for a Governmental fair loan on Centrelink, you’ll have strict eligibility criteria to abide by. These requirements are relative to your state, but they may include:

  • Being eligible for social housing
  • Your cash assets not surpassing a certain limit
  • The rent not exceeding a certain percentage of your household’s total weekly income
  • Meeting the income limit

These requirements seem to favour applicants with low incomes, which gives Centrelink customers an advantage. Also, depending on the state, applicants who are facing family, domestic, and sexual violence can receive bond loans without meeting the eligibility criteria.

How Do I Apply for a Bond Loan?

Bond loans are fast and easy because you probably need the funds fast to secure the rental property you need. The application process is 100% online, and it’s as follows:

1. Fill Out an Online Application

Add the loan amount and your preferred loan term for the bond. Then, specify rental bonds as the purpose for your loan. You’ll also need to provide your personal information and some documentation:

  • Full name
  • Contact details, such as your mobile number, telephone number, and email address
  • Gender
  • Physical or residential address
  • Qualifications and education
  • Occupation with pay slips, job history, or other documentation forms if you’re employed
  • Centrelink income statements
  • Bank statement data for the 90 days before your application
  • Bank account details
  • Credit requests you’ve made with us
  • Tax returns for the past two years
  • 100-points of identification
  • Evidence of your borrowing history, such as loans and mortgages

bond loans on centrelink

2. Wait to Get Matched

Once we get your loan application, we’ll look for a reputable lender who’s willing to grant you bond loans on Centrelink, which may just take a few minutes! They’ll consider your Centrelink payments, overall income, expenses, savings, outstanding debts, and more. Accordingly, they’ll approve or reject your application.

3. Get Your Loan

We’ll let you know when a lender approves your application and connect you with them. Then, they’ll send you a loan contract with the loan amount, terms, charges, loan repayment schedule, and more. If you’re comfortable with the terms, you can sign the contract to receive your funds!

From then, the loan provider will reach out to you asking how you’d like to get the loan. And the speed by which you get it depends on the lender; it can be the same day, the following one, or else.

Why Get a Bond Loan

Here’s what getting a bond loan via Orange Loans means:

Quick Application

At Orange Loan, we simplify loans with a quick and simple application process. Filling out the online form will only take you a few minutes.

Fast Funding

When you need money to pay a rental bond, time is of the essence. After all, you’ll need to make the payment to secure the property and move in. We work with lenders who understand that, so you might get an instant cash loan on Centrelink.

Flexible Repayment Terms

You can customise your repayment term to accommodate your loan amount, paying back your loan in anything from 16 days to two years!

You might want to use your current bond (when you retrieve it) to repay your $500 Centrelink loan, so you’ll want a short-term loan. If you’re a first-time renter, dividing your loan amount over several paydays will work best.

Otherwise, a medium loan term is suitable for those who plan to share their rental property with others, as it gives them time for housemates to sign up.

bond loans for pensioners

Low Cost

If you take out a bond loan from your state authorities, you’ll pay no interest fees! This is excellent and suitable for low-income households. However, you’ll need to qualify for such a loan, so check the eligibility criteria for it in your location.

FAQs

What Do I Do if I Have Other Moving Expenses?

At Orange Loans, we provide different personal loans, which you can use to cover any expenses (like rent advances). Be sure to include moving expenses along with rental bonds as purposes for your loan in your application, and we’ll try to find you a loan that accommodates your expenses.

Can I Get a Bond Loan With Bad Credit?

Yes, these financial products are geared towards Centrelink customers, so they have flexible terms. Our assessment system centralises looking at your current ability to repay a loan rather than fixating on your past mistakes. So, if a lender confirms that you can comfortably repay the loan, bad credit shouldn’t be a problem.

Can I Get a Pensioner Bond Loan?

Yes, we offer bond loans for pensioners, and the benefit types that are mostly accepted by lenders include Disability, Single Parent, Carer, and Aged Pensions.

Final Verdict

Bond loans for Centrelink customers allow you to secure a rental property with a low income. Because you’ll be swamped with moving expenses, this loan can help you afford the bond, which is typically four weeks of rent in advance. Also, you can adjust the repayment term to fit your circumstances.

We work with lenders who accept Centrelink payments, so contact us to get matched with the perfect lender for your needs!

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