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The Difference Between Risky & Smart Loans In Australia

November 26, 2018
, , Bad Credit Loans, Emergency Loans, Payday Loans

When you need a quick loan, it’s easy to jump online and find a sea of options to choose from. The thing is, there are loads of loan options out there are designed for specific circumstances. When you’re on the hunt for a smart loan in Australia, it helps to know a few of the most crucial financial ground rules that’ll let you separate the good from the bad.

In this article, we’re going over some of the most important things you need to look for when you’re searching for the perfect loan option. These are the key things you need to ask yourself:

 

Do you need the money right now or can you wait?

There are two forms of loan, short-term and long-term. Long-term loans are the conventional personal loan format that are commonly offered by banks and well known financial institutions.

They take a bit longer to apply for, usually span over years into the future, and the interest rate you receive is based on your credit history. If you need the cash right away to solve a really urgent issue,  a long-term loan isn’t the best option for you.

Short-term loans are much faster. They are designed to be paid back within weeks or months of you receiving the money. These short-term solutions are usually referred to as payday loans. The best advantage of a payday loan is speed.

At Cigno Loans, we offer to make payment within 24 hours of your application being approved. Need the funds today or tomorrow? Then this is the way to go.

 

What’s your credit score like?

If you have an amazing credit score, you’ll be able to access options like overdrafts and credit cards. It’s important to remember that credit cards, overdrafts, and payday loans usually have a similar cost range in terms of interest rates and fees, so it’s worth doing some looking around to find the best offers.

If you have a poor credit score, you won’t have easy access to a lot of financial products or credit purchases. Payday loans traditionally don’t include a credit check. So even if your credit history is really bad, you’ll have no problem getting a short-term loan as long as you can prove you earn a stable income from work.

The most important thing any payday loan provider is going to want to check is your monthly salary. At Cigno, we do this by asking to see your most recent bank statements. If it looks like you can afford the loan comfortably, we’ll be happy to help.

 

What do you need the loan for?    

Need the money for a really urgent situation? Then taking a payday loan is completely justified. Want the money to plan a big holiday? Then you shouldn’t really be using short-term financial products to fund it.

There are loads of ways to handle holidays that don’t cost too much, but the amount you spend isn’t the only problem – your ability to pay back within the next month is just as vital. The thing to remember with payday loans is that they’re designed to help you get through tough times, not pay for luxury pleasures.

When you take a conventional personal loan or credit card, once you’re approved for the money, you can do what you like with the funds provided. With short-term loans however, we like to be far more careful that you’re using the cash for something you absolutely need.

If you tell us that you’re looking to buy a new accessory for your car or a new bag, we’ll be forced to advise that you have a very careful rethink of your intentions and this will mean delays.

Some of the most common reasons we provide our loans include:

  • To repair damages to the house that compromise your safety and well being.
  • Repairs to cars that are vital for your travel to work.
  • Food and necessities for the rest of the month.

That’s it! These are the main things you should be asking yourself when you’re looking for a smart loan in Australia. When you’re low on cash, and need a quick injection of funds to make it to your next payday, a short-term loan is your best bet. Have more time and want a larger amount of money to do something more special? Then you have the freedom to look for long-term personal loans from established providers.  

The Difference Between Risky & Smart Loans In Australia

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Read more about bad payday loans here, or in our previous blog post: Why No Fuss Payday loans Are Rising In Popularity

keyboard online application payday loan

Why No Fuss Payday loans Are Rising In Popularity

July 31, 2018
, Payday Loans 6

The “payday loan” is almost certainly something you’ve heard others talk about before. Whether they’re warning you away or letting you in on how one of these quick loans has saved their bacon more than a handful of times, one thing is clear, payday loans are on the rise.

In this piece, we’re going to highlighting the core advantages that make payday loans no fuss, no hassle, and one of your easiest options when you’re short on cash for the month. Have a read through and find out why more and more people are relying on these quick payout short-term solutions.  

Flexible amounts

At Cigno Loans, we offer a wide range of payday loan amounts. Part of the application process involves specifying exactly how much you need to solve your particular situation. We always recommend you only take what you absolutely need, because these loans are designed to be paid back as soon as you get your next payday.

You can borrow anything from $100 to $2000. This level of flexibility means you don’t have to think twice like you would if we only offered set amounts like credit cards do. With a payday loan, you can take as little as you need safe in the knowledge that you know you’ll be able to comfortably pay back everything you owe when your next payday comes around.

Your approval for a payday loan does not depend on you credit score  

When you apply for a normal personal loan, the bank or broker will almost certainly check out your credit history. If your history is not ideal, they’ll likely refuse your loan or offer you far less attractive terms that’ll make the loan far more expensive for you overall. If you’re refused completely, this can damage your credit report even further, as it will be noted that your last application for credit was turned down.

With a far less fussy payday loan, your credit score is not so important. The most important thing we need to see is that you’re in gainful employment and will be able to pay back what you owe within the coming weeks. All we need to verify this is your ID and most recent bank statements. When all other means of borrowing are refusing you due to your credit history, a payday loan could prove to be one of the last means for you to borrow from a professional and regulated source.

The speed of payout is a huge attraction

A lot of people that take payday loans are doing it because they’ve run into emergency situations that they just don’t have the cash to pay for right away. As you can imagine, in these kinds of circumstances, speed is everything. It’s for this reason that we design our payday loans to be paid to your account within hours of your application being approved.

A payday loan is not recommended for private purchases or investments. It’s mainly a means to access funds when you need them most. If need cash to pay for an urgent cost today, the application process for our payday loans can be completed within minutes and the money is paid out to your account the same day.

The other advantage to operating these loans online is 24 hour service. You can apply for a loan first thing in the morning or really late at night from your computer or smartphone. This level of convenience is one of the most important factors that makes these kinds of no fuss payday loans so easy to access.

As more and more people find themselves falling short each month, the popularity of payday loans will soar. If you’re not happy about taking a loan purely over the internet, our friendly team is ready to welcome your application by telephone.

We don’t have the same strict attitudes towards our services like many banks do. We’re open minded and show far more understanding for those in trouble that need a quick and practical solution. We’ll work with you to assess the correct amount, the schedule of your payments, and we’ll keep you informed throughout the process with a handy volume of helpful notifications. We’re here to help, and it’s in our best interest to ensure your experience with us goes as smoothly as possible.  

Why No Fuss Payday loans Are Rising In Popularity

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For more information regarding our payday loan products, please don’t hesitate to contact us.

You can also read more about payday loans in our previous blog post: How Instant Payday Loans Can Get You Out Of A Financial Bind

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How Instant Payday Loans Can Get You Out Of A Financial Bind

May 11, 2018
Payday Loans

If you haven’t used Cigno before, you might be wondering how a payday loan can help get you out of that financial quicksand. But before we go any further, it is important to remember that a payday loan should only be used as needed, when you know you can afford the repayments.

Our loans at Cigno have helped Australians far and wide with financial assistance.

At the end of the day, we are only here to help in times you need it most. The following blog post will outline how this type of loan works and whether or not it is the right product for you.

Below you will find some commonly asked questions about instant payday loans. And if there is still something you would like answered, you can always refer to our FAQs page, or, feel free to call our friendly customer service team.

What is an instant payday loan?

This type of loan has been called every name under the sun. From instant payday loans, to small, short-term and same-day loans, it doesn’t matter what they are called. What matters, is how and why they can help you.

They get their name (whichever one you choose) based on lots of things. Firstly, let’s talk speed. Instant, fast, or same-day loans, yep, you guessed it, generally appear in your chosen bank account within hours of approval. Why?

Because when you are in a financial emergency, you need cash fast.

The term ‘payday’ is perhaps the most commonly used. That’s because this type of loan was designed as an interim solution until you are paid by your respective employer. It is a small amount of money, deposited into your account to tide you over until payday.

What are the associated fees?

The legislation in our industry continuously changes. But the industry standard for a loan of this type includes the following:

  • A one-off establishment fee which is 20% of the amount loaned
  • A monthly fee which is 4% of the principal loan amount
  • Any applicable government fees or charges
  • Fees or charges if you default on the loan

Cigno, through Gold-Silver Standard Finance, charges a flat fee of 5% of the amount that you borrow, which is charged the day your loan is approved and accepted, and is then repayable as part of you repayment schedule.

The real difference is in comparison to other types of loans, including home loans and credit cards. These charge interest annually whereas instant payday loans charge monthly, which is important to be aware of.

When can I get an instant payday loan?

The answer is in the question! Well, actually it’s not instant. Cigno generally pays into your account within hours, however, if approved late in the afternoon, you should receive the cash by 11:00am the very next day.

Learn more in this article on Finder: Payday Loan FAQs

What if I have bad credit? Am I still eligible for an instant payday loan?

As mentioned above, because they are ‘payday’ loans, they are ideally repaid when your next payday arrives. This is why the criteria of eligibility is more flexible than big-ticket loans for mortgages etc. Often credit history isn’t the major concern, it is the ability to repay. This is why we require identification and a bank statement in the assessment of your eligibility for an instant payday loan.

Borrowing responsibly

We advocate responsible borrowing as much as we practice responsible lending. Although we endeavour to help you in time of financial crisis by considering all applications, we will not loan money we believe can’t be repaid. All applications submitted to Cigno are assessed on the ability to repay the loan, and this is why we don’t approve amounts that can’t. Where possible, instead of disapproval, we will try and reach a conclusion that can still assist your financial need while being repayable.

Remember: borrow what you need.

How Instant Payday Loans Can Get You Out Of A Financial Bind

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Got any questions?

Not only do we have a FAQ page with a bunch of helpful questions and answers, but we also have a Member Portal. For registered members, this service allows you to log in get to know your loan. The Portal allows you to view repayment amounts and even postpone if necessary. If you have any further questions, you can always call, SMS or email.

No Catches. No Hidden Fees. No Worries.

Learn everything there is to know about the costs associated with a Cigno instant payday loan here and here.

Cigno is a reputable payday lender. We have always been transparent about our products and services. For more information, please don’t hesitate to contact us.

You can continue your loan education in our previous blog post: Understanding Different Types of Small Loans