Find and compare home furnishing personal loans
Real Time Rating™
Go to site
Fixed up to 10.49%
Liberty Personal Loan (Excellent Credit History)
3 years to 7 years
Fixed up to 16.95%
Unsecured Personal Loans
1.5 years to 7 years
Fixed up to 9.35%
Low Rate Personal Loan Unsecured (Excellent Credit)
1 year to 7 years
Fixed up to 8.5%
Unsecured Personal Loan - (Excellent Credit)
Variable up to 9.99%
Personal Loan - Excellent Credit
1 year to 7 years
Fixed up to 9.99%
Low Rate Personal Loan - (Excellent Credit)
2 years to 3 years
Discounted Personal Loan
1 year to 10 years
Discount Personal Loan
1 year to 7 years
Fixed up to 25.69%
Unsecured Personal Loan (Excellent Credit) (3 Year Term) (Amount > $5000)
Personal Loan Fixed
1 year to 7 years
Unsecured Personal Loan
1 year to 7 years
Unsecured Personal Loan Fixed
1 year to 7 years
1 year to 7 years
Latest personal loans news
Australia’s best personal loans for July 2020
If you’re aiming to clear your debts in the short-to-medium term, it might be worth considering consolidating your debts into one personal loan.
Whether you shop at Kmart, IKEA or Pottery Barn, the cost of furnishing your home respectively racks up significant costs for any Australian household. You may be purchasing your first home, buying to let, moving into an unfurnished rented property, or just fancy a revamp. Whatever the reason you’re buying furniture, you want to make sure the process doesn’t pull the financial rug from under you.
One of the ways to do this may be with a personal loan.
Can I get a personal loan to buy furniture for my home?
Personal loans are available for all sorts of home improvements and renovations. You will however need to check your eligibility for any sort of personal loan. Your credit score and income will affect your ability to get a loan and what rates you are offered.
You should always consider your credit score before comparing and applying personal loans. You can check your credit score here www.mycreditfile.com.au . Unfortunately having a bad credit score will affect the interest rate you are offered on your loan, but this doesn’t necessarily mean that lenders won’t lend to you. For information on how to apply for a personal loan with bad credit, look here .
Why should you compare personal loans?
While you may be tempted by the flashy advertising of Australia’s big 4 banks; Commbank, NAB, Westpac and ANZ, it is always worth comparing loans from a range of lenders. Nobody wants to end up paying more than they should.
You may find that the lowest interest rates are found with lesser known lenders, and if you have bad credit, it may be the case that larger institutions such as the big 4 are unlikely to take you on as a borrower. So, shop around and make sure you find the loan that’s right for you. To compare personal loans, click here .
When comparing personal loans you should consider
|Personal loan feature||About|
|The loan amount.||Make sure what you are borrowing is something that you can realistically pay back, along with the interest. Work out a budget and don’t borrow more than you need. To cover yourself in case of unforeseen extra costs, there are loans available that have redraw facilities.|
|Secured or unsecured loans.||Whether you have a secured or an unsecured personal loan may largely affect your interest rate. Secured loans tend to have lower interest rates because the loan is secured against the borrowers’ asset(s).|
Fees and charges.
Where can I get a personal loan for home furnishings?
There are many different lenders that, depending on your credit score and eligibility, are likely to be willing to provide you with a personal loan to finance your furnishings.
See the table above for a selection of lenders and their comparison rates. RateCity is dedicated to helping you find personal loans that best suit your personal circumstances.
Financing furniture after buying a house
It is extremely unlikely that you will have bought your home straight off the bat, looking like the pages of Vogue Living magazine, because you are not Kim Kardashian (no matter how many squats you do).
Buying a house is often the biggest expense in any person’s life, but the expense doesn’t stop once the purchase has gone through and the deal is closed. And unless you are a DIY wizard with an endless supply of materials, you will have to finance and buy the stuff that makes a house a home: the furniture.
Can you use your home loan to buy furniture?
While some people may choose to purchase their furniture with their home loan, there are reasons why this may not be your best option.
Rolling extra costs into your mortgage may well end up being much more expensive over time. Furnishing a home can cost up to 25% of the value of the property. So, if your home is worth $300,000, that could mean that kitting it out could cost as much as another $75,000.
Even though home loans tend to have the lowest interest rates, they also take the longest to pay back. If you were to borrow that on top of your mortgage, on an interest rate of 4.09%, you could be paying an extra $52,196 in interest over 30 years. And presumably, you won’t even be sleeping on that same mattress that you’re still paying for 30 years down the line.
If, however, you were to borrow the same amount in a secured or an unsecured personal loan that you intended to pay off over the course of 5 years, even at a higher rate, you would be paying a fraction in total interest.
How can I save money on furniture for my home?
Other things worth considering when furnishing your home is whether you can cut the costs on the furniture itself. There are plenty of options online for purchasing cheap second-hand furniture, like Gumtree and Craigslist. Or of course budget stores.
Building your furniture up over time, when you can afford to buy it, may save you cash, but you may also prefer to buy it at once for convenience. This is down to individual taste and circumstances.
The most important thing is that you compare and weigh up your options, seek professional financial advice where you can, and enjoy your fantastic furniture.
Today's top personal loans products
Find popular personal loans lenders from a wide range of Australian. View All >
It can be hard to improve your credit score, as it usually requires sacrifice and discipline, but hard doesn’t necessarily mean complicated. Some simple ways you can give your credit score a boost include closing extra credit cards, reducing your credit card limit, pay off any loans and make loan repayments on time.
As a general rule, the lower your credit score, the more remedies you can apply and the greater the scope for improvement.
Some lenders will consider personal loan applications from a borrower with bad credit if the borrower has a family member with good credit willing to guarantee the loan (a guarantor).
If the borrower fails to pay back their personal loan, it will be their guarantor’s responsibility to cover the repayments.
Personal loans may require a borrower to provide proof of identity, proof of residence, details of any other outstanding loans (including credit cards), details of assets they own (e.g. savings, car, property), and proof of income.
While borrowers in full-time or part-time employment can often provide payslips and similar documents to prove their income, self-employed borrowers may need to provide other documents, such as bank statements or tax returns, to demonstrate that their income can cover a loan’s repayments.
If you’re having trouble being approved for a loan of less than $2000 and urgently need to purchase household essentials, there may be emergency loan options available to you.
For example, the No Interest Loans Scheme (NILS) allows low-income borrowers to take out interest-free loans of up to $1500 for essential goods and services.
For further assistance, consider contacting a financial counsellor, or calling the National Debt Helpline on 1300 007 007
It can be more difficult for unemployed borrowers to successfully apply for a personal loan. Most lenders require borrowers to have a regular income available to cover the cost of loan repayments.
If you’re self-employed, or if less than half of your income comes from Centrelink, you may not be eligible for some personal loan options. Consider contacting the lender before applying.
Much like applying for other personal loans, applying for personal loans for single parents will likely require the following:
- Proof of identity
- Proof of residence
- Proof of income
- Details of assets (e.g. car, home)
- Details of liabilities (e.g. credit cards, other loans)
- Loan amount
- Loan term
Many borrowers use quick loans to cover short-term or urgent costs, such as paying for car repairs, medical bills, or replacing broken appliances or electronics. Quick loans often have high interest rates compared with regular personal loans.
Before applying for a quick loan, consider your other available options, such as working out a payment plan or applying for an advance or extension.
Much like home loans, many personal loans can be refinanced. This is where you replace your current personal loan with another personal loan, often from another lender and at a lower interest rate. Switching personal loans may let you enjoy more affordable repayments, or useful features and benefits.
If you have a $5000 personal loan as well as other debts, you may be able to use a debt consolidations personal loan to combine these debts into one, potentially saving you money and simplifying your repayments.
Depending on the lender, personal loans and medium-amount loans for $5000 can sometimes be approved in under an hour, and give you access to the money the same day. Other loans may take 24 hours or longer to assess your application, and you may not get the money for a few days.
If you need to borrow $2000 or less, alternatives to getting a personal loan or payday loan include using a credit card or the redraw facility of your home, car or personal loan.
Before you borrow $2000 on a credit card, remember that interest will continue being charged on what you owe until you clear your credit card balance. To minimise your interest, consider prioritising paying off your credit card.
Before you draw down $2000 in extra repayments from your home, car or personal loan using a redraw facility, note that fees and charges may apply, and drawing money from your loan may mean your loan will take longer to repay, costing you more in total interest.