Personal Loan for Debt Consolidation

Ozzie Loans offers flexible debt relief loans of up to $50,000 to help you consolidate your debt and avoid paying out excess interest. Our personal loan terms for debt consolidation begin at 12 months for short term finance options, to longer loan terms of 5 years (60 months) for larger consolidation loans.

Is debt consolidation the right choice for me?

Suppose you’re struggling to make repayments across several debts or find you can’t work out which debt to prioritise. In that case, a personal loan for debt consolidation could be a great way for you to minimise your accrued interest charges and lower your monthly repayments.

Provided the single monthly repayment on your debt consolidation loan is lower than that of your current repayments, and you don’t end up paying out more over time due to a longer loan term, it’s likely the most suitable choice to help you become debt-free sooner. 

Ozzie Loans offers some of the best debt consolidation loans in the business. Our fixed interest rates are highly competitive, and that means you’ll know exactly what to pay off your debt consolidation loan and when. We also won’t penalise you for working hard and making early repayment before your loan term ends.

Will taking out a personal loan for debt consolidation impact my credit score?

Any time you make an application for a line of credit, it gets recorded on your credit report. But that’s not necessarily a bad thing. As long as you don’t make multiple applications within a short period of time or miss any repayments on your new personal loan for debt consolidation, your credit score won’t be impacted.

How much can I borrow for a personal loan for debt consolidation?

Ozzie Loans offers unsecured fixed rate debt consolidation loans between $5,000 and $50,000. Our 

application process is 100% paper-free and will take as little as 5 minutes to complete. Depending on who you bank with, you’ll even have the cash in your account the very same day. 

Traditionally, debt consolidation loans haven’t had particularly flexible loan terms. If approved, the lending bank would pay off and close your existing creditor accounts on your behalf. You would never see the money borrowed to support your debt consolidation.  

Ozzie Loans works hard to empower your financial decisions. If you are approved for debt consolidation with us, we pay the total loan amount borrowed directly into your bank account. You then take on the responsibility to pay off your creditors with the funds provided. It is important to know that once your debts have been settled, you must close each account for which the debt consolidation loan funds were provided.

What if my application gets rejected?

Having the application for your personal loan for debt consolidation rejected might be disheartening, but it’s not the end of the world - you will be able to apply again!

A good way to set yourself up for success is to get a copy of your credit report and assess your score and recent credit behaviours before you make an application. 

The higher your score, the more likely your application is to be accepted on the first go (and the lower the interest rate you’ll be offered). 

If you’ve very recently defaulted, try to wait 1-3 months before you apply again. Speak to your individual creditors about financial hardship. If approved, financial hardship will temporarily suspend the negative impact of missing repayments of individual debts on your credit file and halt any collections activity. 

Wherever you can, make consistent repayments - these positive behaviours will be reflected on your credit file and present a better borrower profile and less risk when your application is assessed. 

Remember: making multiple applications with lots of lenders within a short amount of time will damage your credit score. If your loan application is rejected, try to wait 3-6 months and follow the above steps before applying again.

What interest rates will I have to pay on my personal loan for debt consolidation?

Ozzie Loans only offers fixed rate loans, which means your monthly repayments won’t change during your loan term, and you won’t accrue any unexpected interest amounts. 

Because of this, you’ll be able to easily assess whether the single monthly repayments on a personal loan for debt consolidation are less than the sum of your monthly repayments on each of your individual debts.

Do debt consolidation personal loans have fees?

Yes. Your personal loan for debt consolidation will incur an establishment fee, as well as monthly fees and charges. 

Ozzie Loans believes in responsible lending and is upfront about all rates and fees. They’ll be laid out clearly for you in your loan contract, so you’ll know about them ahead of time and won’t get caught out by any nasty surprises. 

They’ll also be reflected in the comparison rate offered on your personal loan, so you can make an easy p.a. comparison with the interest rates on your existing debt before you accept.

How can I improve my credit score?

Thanks to recent changes in the way credits are reported, improving your credit score has become much easier. 

Previously, your credit score only reflected any defaults, e.g. missed payments on bills or lines of credit, in addition to any inquiries you might have made about new lines of credit. 

Now, all your consistent and timely repayments are recorded too. This means you can rebuild your credit rating by meeting a simple fixed-rate repayment schedule on a personal loan for debt consolidation over time and consistently demonstrating positive credit behaviours.

How long does it take to get approved for a debt consolidation loan?

You can complete an Ozzie Loans application for a personal loan for debt consolidation online, and will typically be approved in just a few minutes. 

Everything you’ll need to get started is on our website. Taking advantage of tools like our personal loan calculator can help you work out how much money you need to borrow and help you get an idea of loan repayment plans and terms, and make a different comparison between lenders.  

Regaining control of your financial situation might seem overwhelming, but applying online with Ozzie Loans for one of our quick debt consolidation loans is a great way to start!