Has an unexpected expense reared its ugly head? Maybe you need to cover a rental bond, pay a utility bill, or cover a study fee. It’s times like these where a small cash boost may be necessary, That's where a cash loan can come in handy.
How does a $1,000 loan work?
Cash loans are designed to provide quick and relatively simple approvals and take advantage of the internet, technology, and rapid money transfers.
They come with a straightforward structure of fees and repayment options are designed for convenience. Repayments can be set for any period between 16 days and one year and borrowers can also request weekly, monthly, or fortnightly repayment terms to match their income frequency. There’s no requirement for the borrower to supply any type of security for their loan either.
Smaller cash loans become more expensive the longer they run and the more you borrow, so it’s essential to plan applications carefully and repay as quickly as you can comfortably afford. Here are some examples of how loan lengths and borrowed amounts affect costs:
| Loan amount | Loan term | Establishment fee | Monthly fee | Total fees | Fortnightly repayment | Total cost |
|---|---|---|---|---|---|---|
|
$1,000
|
Two months
|
$200
|
$40
|
$280
|
$256
|
$1,280
|
|
$1,000
|
Four months
|
$200
|
$40
|
$360
|
$152
|
$1,360
|
|
$1,000
|
Eight months
|
$200
|
$40
|
$520
|
$85
|
$1,520
|
|
$1,000
|
12 months
|
$200
|
$40
|
$680
|
$65
|
$1,680
|
What loan term should I choose?
The loan term that best suits you depends on your individual circumstances. However, as seen in the table, the longer the term, the higher the total cost, but the lower your repayments. That’s why it’s important to strike the right balance between saving money overall and not putting too much stress on your budget.
Ideally, you should aim to repay the loan in the shortest amount of time possible while sticking to what you can afford and not putting yourself in financial hardship. Your lender will only approve an amount and loan term that they are comfortable you’ll be able to repay.
How long will it take to receive my $1,000 cash loan funds?
You can receive your cash as soon as the same day as you apply, sometimes within a few hours. However, there are several factors that can impact this. To give yourself the best chance of same-day approval and funding, be mindful of the following:
- Apply on a day when lenders are open! This sounds obvious, though lenders can only approve and fund your loan when they’re open. We’re partnered with lenders open on the weekend, so they can process applications at these times too.
- Apply early in the day. The earlier you submit your application, the sooner it can be processed, approved and funded. Aim to be an early bird and complete the required forms in the morning as near to business opening times as possible.
- Provide accurate information and documents ASAP. Giving the lender everything they need as soon as it’s requested will reduce the likelihood of delays.
Why apply for a small loan with Savvy?
Cash loan eligibility and information
Eligibility
-
Age
You must be at least 18 years of age
-
Residency
You must be an Australian citizen, permanent resident or an eligible visa holder with a fixed residential address
-
Employment
You must be employed on a permanent or casual basis
-
Income
You must have a consistent income deposited into your bank account for at least the last 90 days
-
Finances
You must be managing your existing financial commitments comfortably
-
Contact
You must have an active phone number, email address and online bank account in your name
Documents
-
Personal info
Your full name, date of birth, address and contact details
-
Employment details
Your employment status and the name of your employer (if applicable)
-
Banking
Online banking details and secure access to your bank statements
Small loans to suit your circumstances
Cash loan cost table
| Small (SACC) loans | Medium (MACC) loans | |
|---|---|---|
| Minimum loan amount | $100 | $2,001 |
| Maximum loan amount | $2,000 | $5,000 |
| Minimum loan term | 16 days | 16 days |
| Maximum loan term | 12 months | 24 months |
| Repayment schedule | Weekly, fortnightly or monthly | Weekly, fortnightly or monthly |
| Establishment fee | Up to 20% of your loan amount | Up to $400 |
| Interest | N/A | Up to 48.00% p.a. |
| Monthly fee | Up to 4% of your loan amount | Included in the 48.00% p.a. maximum |
| Example loan | $1,500 loan over six months repaid fortnightly
Costs: $1,500 (loan amount) + $300 (establishment fee) + $360 (4% fees over six months) Total cost: $2,160, repayable in instalments of $167 per fortnight |
$3,000 loan over 12 months repaid fortnightly
Costs: $3,000 (loan amount) + $400 (establishment fee) + $912 (total interest over 12 months) Total costs: $4,312, repayable in instalments of $166 per fortnight |