powering smart financial decisions

Find and compare refinancing personal loans

Loan amount


Loan term

Credit score

Don't know your score? Find it out here.

Show Online Partners Only?

We provide links to our Online Partners. If you click through to an Online Partner, you can get more product information, apply for or purchase the product and RateCity may earn a fee for referring you. This is one of the ways RateCity makes money and how we can offer our comparison service to you for free. See how we make money for more.

Sort by


All filters

Loan amount
Loan term
Credit score

Don't know your score? Find it out here.

Loan type
Security type

Type of lender

Online Partner

Show Online Partners Only?

We provide links to our Online Partners. If you click through to an Online Partner, you can get more product information, apply for or purchase the product and RateCity may earn a fee for referring you. This is one of the ways RateCity makes money and how we can offer our comparison service to you for free. See how we make money for more.


Personal Loan - Credit Builder

Real Time Rating™


/ 5
Interest Rate


% p.a


Comparison Rate*


% p.a

Fixed up to 28.4%

Monthly repayment


36 months

Loan term

1 year to 4 years

Total repayments
Real Time Rating™


/ 5
Go to site
Total Repayments icon

Total repayments for a 3-year, $30,000 loan at 28.40% would be $40,822*. Terms from 1-4 years


Personal loan lenders we compare at RateCity

Why might I consider refinancing my personal loan?

Some of the reasons a borrower may consider refinancing their personal loan include the following.

To consolidate debts

If you have multiple debts, say for example a personal loan and a couple of credit cards, refinancing to consolidate all of these into a single personal loan could be beneficial. Managing the repayments for one debt could prove to be much easier than staying on top of multiple. Additionally, personal loan interest rates can often be lower than credit card rates, meaning debt consolidation could result in less money spent on interest charges.

To take advantage of an improved credit score

If you have had consistently good credit behaviour since you initially took on your personal loan, there’s a chance your credit history may have improved and in turn more low rate loans may now be available to you. If this is the case, it could be worthwhile making the switch to a loan with a lower interest rate if it means you could save money on interest charges over the life of the loan. Be sure to factor in any fees and charges you may incur by refinancing when doing your calculations in order to get a true understanding of your potential savings.

To access reduced interest rates

It’s no secret that the market tends to fluctuate, and while you may have been given a good deal on your loan when you were initially approved, there could now be more attractive options available. It's important to have a good understanding of the pros and cons of both variable interest rate loans and fixed interest rate loans, particularly if you are considering refinancing for this purpose.

To access better features

Perhaps a redraw facility, or similar, didn’t mean much to you when you first got your personal loan, but now you’ve reconsidered. Refinancing to a loan that offers the extra features that are important to you could improve your borrowing experience and may even potentially save you money.

To extend the loan term

If your financial situation has changed and you are finding it difficult to meet your current repayments, you may consider refinancing to a new personal loan on a longer/different term to lower your fortnightly or monthly repayments. Keep in mind that even though your regular repayments will be reduced, longer loan terms generally mean paying more in interest charges over the life of the loan.

What are the main features to look for when refinancing a personal loan?

  • Interest rate: This will either be fixed or variable and will determine how much you will be charged in interest on the loan amount borrowed.
  • Comparison rate: A combined total estimate of the cost of the loan including the interest rate plus any upfront or ongoing costs. Take note of different comparison rates as well as interest rates when comparing your options.
  • Fees and charges: These can include loan application fees, establishment fees, monthly fees, early repayment fees, redraw fees and other ongoing fees.
  • Secured/unsecured: If the loan is secured, you will need to provide collateral in the form of an asset such as your home or a new car. Unsecured personal loans do not require collateral but often have higher interest rates than secured loans.
  • Extra repayments: This feature will determine whether or not you can make payments on your loan in addition to your regular repayments.
  • Redraw facility: Loans that accept extra repayments may also allow you to redraw this money if you’re ahead in repayments and in need of some cash.

How do I refinance my personal loan?

  1. Search and compare available personal loan options.
  2. Consider checking out whether RateCity's Personal Loan Marketplace could find you a potential deal. This could minimise your chance of being rejected and hurting your credit score.
  3. Weigh up any applicable fees and charges with the benefits and potential savings you’d make by switching your personal loan.
  4. Contact the new lender to make an application to refinance.
  5. The lender will approve or reject your application based on your financial circumstances, your credit rating, and their terms and conditions.
  6. Pay any required exit fees to your old lender and any upfront fees to your new lender.
  7. Ensure your old loan account has been closed and begin making repayments on your new personal loan.
What are the pros and cons of refinancing a personal loan?
  • You could make your finances more manageable if you are refinancing to consolidate debts.
  • You may save money on interest charges if you refinance to a loan with a more competitive rate.
  • You might be able to access better features that improve your borrowing experience.
  • Early exit penalties and establishment fees could add up and outweigh any potential savings.
  • If you refinance to a loan on a longer term, you may end up paying more in interest charges over the life of the loan.
  • Refinancing your personal loan can take considerable time and effort, so it’s a good idea to factor this in when deciding whether it’s right for you.

Frequently asked questions

Does refinancing a personal loan hurt your credit score?

Personal loan refinancing means taking out a new loan with more desirable terms in order to access a more competitive interest rate, longer loan term, better features, or even to consolidate debts.

In some situations, refinancing a personal loan can improve your credit score, while in others, it may have a negative impact. If you refinance multiple loans by consolidating these into one loan, it could improve your credit score as you’ll have only one outstanding debt liability. Your credit may also improve if you consistently pay the instalments on time.

However, applying to refinance with multiple lenders could negatively affect your credit if your applications are rejected. Also, if you delay or default the repayment, your credit score reduces.

Is a personal loan a variable or fixed-rate loan?

Depending on the personal loan lender, you may be able to choose between a fixed and a variable interest rate. But, there are a few distinct differences between the two, so it’s important to weigh up the pros and cons before deciding on what’s right for you.

A fixed interest rate loan gets you the convenience of knowing exactly how much you need to repay each fortnight or month. On the other hand, you generally won’t be able to make lump sum or advanced payments to close your personal loan early - or at least not without a penalty.

With a variable interest rate personal loan, you may be able to get a longer loan repayment term, with the option of paying off the loan early. You typically won’t need to pay any additional charges for an early full repayment either. The potential disadvantage with an interest rate that can change is that your repayment is not entirely predictable, as it can fluctuate with the market. However, you’ll likely have more options as more lenders offer a variable interest rate personal loan.

Can you refinance a $5000 personal loan?

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.

What is a bad credit personal loan?

A bad credit personal loan is a personal loan designed for somebody with a bad credit history. This type of personal loan has higher interest rates than regular personal loans as well as higher fees.

Should I get a fixed or variable personal loan?

Fixed personal loans keep your interest rate the same for the full loan term, while interest rates on variable personal loans may be raised or lowered during your loan term.

A fixed rate personal loan keeps your repayments consistent, which can help keep your budgeting consistent. You won't have to worry about higher repayments if your rates were to rise. However, on a fixed loan you’ll also potentially miss out on more affordable repayments if variable rates were to fall.

Can I merge my personal loan with my home loan?

Yes, you can refinance your home loan and, in the process, merge or consolidate your personal loan and home loan. By doing so, you can lower the number of debts you have, and you may also reduce the total interest you have to pay.

However, you should consult a financial advisor or a mortgage broker to confirm that you are decreasing your total outstanding debt, including interest payments. The repayment term for a home loan can be much longer than that for a personal loan, and by merging the two, you could be repaying a higher amount over the full term.

Can I repay a $3000 personal loan early?

If you receive a financial windfall (e.g. tax refund, inheritance, bonus), using some of this money to make extra repayments onto your personal loan or medium amount loan could help reduce the total interest you’re charged on your loan, or help clear your debt ahead of schedule.

Check your loan’s terms and conditions before paying extra onto your loan, as some lenders charge fees for making extra repayments, or early exit fees for clearing your debt ahead of the agreed term.

What is a personal loan?

A personal loan sits somewhere between a home loan and a credit card loan. Unlike with a credit card, you need to sign a formal contract to access a personal loan. However, the process is easier and faster than taking out a mortgage.

Loan sizes typically range from several hundred dollars to tens of thousands of dollars, while loan terms usually run from one to five years. Personal loans are generally used to consolidate debts, pay emergency bills or fund one-off expenses like holidays.

What is the average interest rate on personal loans for single parents?

Like other types of personal loans, the average interest rate for personal loans for single parents changes regularly, as lenders add, remove, and vary their loan offers. The interest rate you’ll receive may depend on a range of different factors, including your loan amount, loan term, security, income, and credit score.

How much can you borrow with a bad credit personal loan?

Borrowers who take out bad credit personal loans don’t just pay higher interest rates than on regular personal loans, they also get loaned less money. Each lender has its own policies and loan limits, but you’ll find it hard to get approved for a bad credit personal loan above $50,000.

What causes bad credit ratings/scores?

Failing to repay loans and bills will damage your credit score. So will falling behind on your repayments. Your credit score will also suffer if you apply for credit too often or have credit applications rejected.

How long does it take to get a bad credit personal loan?

In the best-case scenario, an application for a bad credit personal loan can be made within minutes and then be approved within 24 hours. However, if a lender needs more information or needs more time to verify the provided documents, the application process may take longer.

Where can I get a personal loan?

The Australian personal loans market contains dozens of lenders offering several hundred different products. Personal loans are available through a range of institutions, including:

There are three main ways to access personal loans. You can go through a comparison website, such as RateCity. You can use a finance broker. Or you can directly contact the lender.

What is comprehensive credit reporting?

Comprehensive credit reporting is a system which includes both positive and negative information on a person’s credit file. Before comprehensive credit reporting was introduced, only negative information was included.

What is a credit rating/score?

Your credit rating or credit score is a number that summarises how credit-worthy you are based on your credit history.

The lower your score, the more likely you are to be denied a loan or forced to pay a higher interest rate.

What causes bad credit history?

Bad credit history is caused by filing for bankruptcy, defaulting on your debts, falling behind on your repayments and having loan applications rejected. Lenders are wary of borrowers who demonstrate this sort of behaviour because it suggests they might struggle to repay future loans.

Borrowers with bad credit may find it more difficult to be approved for a loan, or they may get higher interest rates when they do get approved.

How much can I borrow with a personal loan?

It’s unusual for a lender to provide a personal loan of above $100,000, although there is no formal limit. As with all lending products, each lender sets its own policies, while each borrower is assessed on a case-by-case basis.

What are the pros and cons of debt consolidation?

In some instances, debt consolidation can help borrowers reduce their repayments or simplify them. For example, someone might take out a $7,000 personal loan at an interest rate of 8 per cent so they can repay an existing $4,000 personal loan at 10 per cent and a $3,000 credit card loan at 20 per cent.

However, debt consolidation can backfire if the borrower spends the extra money instead of using it to repay the new loan.

How can I improve my credit rating/score?

Your credit score will improve if you demonstrate that you’ve become more credit-worthy. You can do that by minimising loan applications, clearing up defaults and paying bills on time.

Another tip is to get the one free credit report you’re entitled to each year – that way, you’ll be able to identify and fix any errors.

If you want to fix an error, the first thing you should do is speak with the credit reporting body, which may take care of the problem or contact credit providers on your behalf.

The next step would be to contact your credit provider. If that doesn’t work, you can refer the matter to the credit provider’s independent dispute resolution scheme, which would be the Australian Financial Complaints Authority (AFCA).

AFCA provides consumers and small businesses with fair, free and independent dispute resolution for financial complaints.

If that doesn’t work, your final options are to contact the Privacy Commissioner and then the Office of the Information Commissioner.

Do student personal loans require security?

While some personal loans can be secured by the value of an asset, such as a car or equity in a property, student personal loans are often unsecured, which typically have higher interest rates.

Some lenders also offer guarantor personal loans to students. These loans have lower interest rates, as a guarantor (usually a relative of the borrower with good credit) will fully or partially guarantee the loan, taking on the financial responsibility if the borrower defaults.