Being unemployed can make it difficult to get a loan, but not impossible. While your options are more limited, some specialist lenders may consider other forms of income and factors when assessing your application. If you’re eligible, this can give you access to funds when you need them most.
However, your chances depend heavily on your financial situation. If you’ve only recently become unemployed and have home equity or substantial savings, a secured personal loan may still be possible. But if you’re unemployed long term and rely solely on Centrelink payments, in most cases the only borrowing option may be a small cash loan.
Are JobSeeker payments considered on loan applications?
JobSeeker payments can be included on an application if received as a low-income supplement or combined with a Family Tax Benefit. However, if these payments are your only source of income, you’re unlikely to be approved.
Lenders will generally base their decision not only on how much you earn and the loan’s affordability but also on how reliable your income is. JobSeeker payments could theoretically disappear if you find a job or the Australian Government deems that you aren’t looking for one.
Here are some of the Centrelink payments that can be included in your application:
- Single Parent Payment
- Age Pension
- Child Care Benefit
- Mobility Allowance
- Disability Support Pension
- Carer Payment
- Totally & Permanently Incapacitated Pension (T&PI)
- Partnered Parent Payment
How soon will casual work count towards a loan application?
If you’ve recently found yourself unemployed and are looking for a casual job to keep some money coming in, be aware that this may not immediately help you qualify for a personal loan.
Casual employment differs from permanent work because there is no guarantee of hours, earnings or ongoing employment, and you can lose your job without notice. This lack of job security makes it harder to get approved for finance, especially when you’ve just started a new role.
Lenders typically want to see stable and consistent income before approving a loan, with most requiring three to six months of steady casual earnings before considering it reliable. Your chances of approval increase dramatically the longer and more consistent your income from casual work.
Same-day cash loans for unemployed
The main finance option for unemployed borrowers is a cash loan. These are available up to $5,000 and can be used for just about anything you like (within reason, of course). For example, you could take out a loan to cover your car repairs or registration, medical bills or rental bond. You can take up to 12 months (for loans up to $2,000) or 24 months (for loans from $2,001 to $5,000) to repay your debt.
Cash loans and their lenders are more flexible than banks offering personal loans, car finance or other products. They’re often willing to look beyond a patchy credit history or lack of employment as long as you show you can afford your payments. They can also often approve applications as soon as the same day you apply, with funds hitting your account within a matter of hours.
It’s important to note, though, that these loans can be expensive compared to standard products. With interest rates of up to 48.00% p.a. for loans between $2,001 and $5,000, for instance, it’s crucial to avoid overborrowing and ending up in a debt spiral. Don’t ask for more than you need or can comfortably afford.
Why apply for a personal loan with Savvy?
Can unemployed people apply for pay advances?
Pay advance providers, who allow you to borrow a portion of your future payslip and repay it once you receive your pay, aren’t available to unemployed borrowers. If you aren’t receiving a payslip from an employer, these providers won’t accept your application.
However, you may qualify for an advance payment through Centrelink. This allows you to receive a portion of a future benefit or benefits early, which is then deducted from your next 13 fortnights’ worth of instalments. You can qualify for an advance if:
- You don’t have another existing debt with the Australian Government
- You aren’t repaying an advance from more than 12 months ago
- You haven’t received another advance in the last 12 months*
- You can afford to repay it within the next six months
- You have at or above the lowest advance amount available
- You’re currently living in Australia
*This applies only for ABSTUDY Living Allowance, Austudy, Farm Household Allowance, Mobility Allowance, Jobseeker Payment, Youth Allowance for students or job seekers and Parenting Payment (unless you became single in the last 28 days, in which case an advance may be possible).
Here’s a breakdown of what you can access with an advance through Centrelink:
| Benefit | When you can apply | Advanced amount | Frequency |
|---|---|---|---|
| Family Tax Benefit Part A | At any time | Regular advance up to 3.75% of standard rate for one child under 13
One-off advance up to 7.5% of annual rate Total advanced can’t exceed $1,381.13 |
One regular advance at a time, paid every 26 weeks
One-off advances available at any time |
| Age Pension, Disability Support Pension or Carer Payment | After three months of benefits | Between $559.50 and $1,678.50 for singles
Between $421.75 and $1,265.25 if you’re in a couple |
Within a six-month or 13-fortnight period, you can get:
|
| ABSTUDY, Austudy or Youth Allowance for job seekers and students | At any time | Between $250 and $500 | Paid across two instalments or all at once |
| JobSeeker or Parenting Payment | After three months of benefits | Between $250 and $500 | Paid across two instalments or all at once |
| Farm Household Allowance | After three months of benefits | Between $250 and $500 | Paid all at once |
| Special Employment Advance (for recipients of Austudy, Carer Payment, JobSeeker, Parenting Payment or Youth Allowance) | After three months of benefits | Between $50 and $500 | Receiving payment for three months. Can apply if:
|
| Mobility Allowance Advance | At any time | Equal to 13 payments | Once per year (12-month period) |
| Source: Advance payment – Services Australia (information correct as of January 2026) | |||
Is financial hardship support available to unemployed people in Australia?
Yes, if you’re recently unemployed and waiting for your JobSeeker payments to start or find yourself with an urgent expense that you’re unable to cover, there is help available.
Severe financial hardship provisions
If an income maintenance period applies after you leave your job and you’re waiting to receive income support, you may be eligible for a waiver if you can demonstrate severe financial hardship.
This can include unavoidable expenses such as essential car, home or white goods repairs, medical expenses, school costs, insurance premiums or the arrival of a new child.
The provisions won’t provide extra cash, but they will allow you to access your JobSeeker payments sooner.
No Interest Loans (NILs)
Good Shepherd’s NILs scheme offers no-interest, no-fee loans to eligible applicants for essential expenses. Here's what you may be able to borrow:
| Borrowing cap | Potential uses |
|---|---|
| $2,000 |
|
| $3,000 |
|
| $5,000 | A vehicle for everyday use, such as:
|
| Source: No Interest Loans – Good Shepherd (information correct as of January 2026) | |
The money is paid directly to the supplier (not given as cash) and cannot be used for costs like rent or household bills.
Counselling services
There are also several free financial counselling sources available to those experiencing hardship. This includes the National Debt Helpline, Way Forward (who can help with arranging debt repayment plans) and the Mob Strong Debt Helpline for Aboriginal and Torres Strait Islander peoples.
