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Fixed
Borrow up to $50,000 unsecured. Perfect if you earn more than $22,100 p.a. and have good to excellent credit. Multi-year winner of Mozo’s Experts Choice Unsecured Personal Loan Award, 2021, 2022, 2023 & 2024^'
Repayment terms from 2 years to 7 years. Representative example: a 5 year $30,000 loan at 6.75% would cost $35,430.23 including fees.
Read our Mozo Review to learn more about the NOW Finance Unsecured Personal Loan
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Fixed
Fast, easy and 100% online, this is a low cost loan with no ongoing fees or extra repayment penalties. It's perfect for savvy borrowers with great credit. If you’re over 18 and earn above $30,000, you could qualify (other eligibility criteria may apply).
Repayment terms from 3 years to 7 years. Representative example: a 5 year $30,000 loan at 5.76% would cost $35,173.52 including fees.
Read our Mozo Review to learn more about the Harmoney Unsecured Personal Loan
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Excellent Credit
Competitive low rates for borrowers with excellent credit on 1-7 year loans from $2,001 up to $75,000, plus free extra repayments. Winner of Mozo's Experts Choice Excellent Credit Unsecured Personal Loan 2024 and Excellent Credit Secured Personal Loan 2024 awards ^. Min. income of 25k after tax, to apply.
Repayment terms from 1 year to 7 years. Representative example: a 5 year $30,000 loan at 6.57% would cost $35,528.12 including fees.
Read our Mozo Review to learn more about the OurMoneyMarket Low Rate Personal Loan
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Roll multiple debts into one loan to streamline your finances with one set of repayments and one interest rate. Competitive fixed interest rates with no monthly or early repayment fees and flexible repayment options. Easy online application and funding in as little as 24 hours (subject to approval).
Repayment terms from 3 years to 7 years. Representative example: a 5 year $30,000 loan at 5.76% would cost $35,173.52 including fees.
Your selected personal loans
^See information about the Mozo Experts Choice Personal loans Awards
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While we pride ourselves on covering a wide range of products, we don't cover every product in the market. If you decide to apply for a product through our website, you will be dealing directly with the provider of that product and not with Mozo.
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See more personal loan providersWhen you're weighing up different finance options to make a major purchase like a new car, or your dream holiday, you'll want to find the most affordable option for your budget and lifestyle. As a lower interest rate means smaller repayments, a low interest personal loan could be one of the cheapest financing options for you.
So that you're across all the info you'll need to consider when comparing loans and lenders, we've answered all the most common questions we are asked here at Mozo about cheap loans in one easy-to-read guide below, allowing you can make an informed personal loan choice.
Have you been putting off upgrading the family car or making some much-needed
renovations to your home? Well, the good news is that a low interest personal loan could be that little extra help you need to make things happen.
Depending on the amount of money you need to borrow, and the time period you're prepared to pay it back in, a personal loan with a low interest rate could be a cheap option to fund many big expenses, including:
With an unsecured loan, generally, you won't need to provide the bank with proof of your purchase but you will need to prove that whatever amount you borrow, you will be able to pay it back.
If you're wondering how much this will be, head over to our loan repayments calculator to do some number crunching.
Before you settle on a low interest loan option that looks appealing, it's important to get to grips with some of the different types of loans that could be available to you:
When it comes to paying interest on your loan you'll have two different options: fixed or variable. But given you're probably after the most affordable loan possible, which type of loan is actually cheaper? The answer is that it can be either, as it depends on the movement of the RBA's cash rate, but here's a simple explanation of the differences:
Peer-to-peer (P2P) lenders are becoming an increasingly prevalent, alternative option for Australians looking for low rate personal loans, but who are they? Providers such as Harmoney, Plenti and SocietyOne are online lending platforms that pair everyday investors with borrowers. Best of all, because they have lower overheads than some of the traditional players, P2P providers are generally able to offers loans with lower interest rates.
So is there a catch? Yes. While many of the minimum interest rates offered by peer-to-peer lenders are towards the lower end of the scale, the maximum rates can be very high. This is because P2P lenders will assess you on an individual basis based on factors such as your credit history and employment status. If you're considered a borrower who is likely to pay back their loan (ie. you have an excellent credit rating), then you may be offered a considerably lower interest rate than someone who is judged to be more risky.
They sure do. Some of the leading low interest loan options in the Mozo database are from credit unions and banks, so it's always important to compare a range of options before taking the loan plunge.
Opting for a personal loan with a with a major bank over an online lender could mean you'll have access to benefits such as customer service at a bricks and mortar branch, and even greater choice when it comes to the loan amount and the loan term.
Credit unions and mutual banks could also be a great option, as not only do they generally have low interest rates, they are also well-known for providing a level of customer service you may not be able to get with an online provider.
The key draw of a low interest personal loan is in the name - the low interest rate! So if paying the lowest interest possible is number one on your priority list, then a personal loan with a low rate is probably going to be the most attractive option. With this in mind, because you're paying a cheaper rate of interest, your provider may not offer all of the features you would expect from a standard personal loan.
Some of the features you might not have access to with a low interest personal loan include:
Not concerned about any of these features? Well there's no need to worry then. Even if you are, you may still be able to find a low interest personal loan provider that offers these handy features - it may just take some shopping around to see what's out there.
Like any loan, a low interest personal loan could come with a number of different fees. Here are some of the main ones you'll want to look out for:
There are a number of different factors that will ultimately decide how much you could save by choosing a low rate loan, including whether the loan has a fixed or variable interest rate, or if the loan is secured or unsecured. But as as example, let's have a look at this scenario:
Mark decides to take out a $20,000 loan over a four-year term in order to help fund some renovations to his kitchen. Mark can use his house and car as collateral against the loan, so he's decided to opt for a fixed secured personal loan which has a low interest rate of just 4.99% (currently the lowest rate in the Mozo database as of May 10, 2022). According to the Mozo Personal Loan Comparison Calculator, Mark will end up saving $1094 in interest over four years by opting for the low 4.99% interest rate option compared to the current average fixed secured personal loan rate in the Mozo database of 7.47% (assuming no application or ongoing fees). It just goes to show that even a slightly lower rate could potentially net you a heap of savings over the life of a loan.
A low interest personal loan isn't necessarily going to be the right financing option for your own situation, with a number of other potential borrowing options, including credit cards, on offer. With a credit card, you may be able to take advantage of a range of features such as an interest free period as well as bonus point or rewards point offers - features that aren't available with personal loans. This mean a credit card could be a handy, and potentially more rewarding option for everyday spending.
However, if you know you're going to have to pay interest then a personal loan with a lower interest rate may be the better choice for you, especially with larger amounts. The average rate for all unsecured personal loans in the Mozo database is currently 9.4% (as of May 10, 2022), which compares to the average credit card interest rate of 17.00% - meaning you could be saving some serious interest by opting for a personal loan.
Poor customer service. Not clear with fees. Increased fees. Not flexible with repayments.
Read full reviewPoor customer service. Not clear with fees. Increased fees. Not flexible with repayments.
I have been with defence bank for quite a few years and I really enjoy them
Read full reviewI have been with defence bank for quite a few years and I really enjoy them
Commbank has a great reputation, good customer service and app is excellent, very convenient experience.
Read full reviewCommbank has a great reputation, good customer service and app is excellent, very convenient experience.
Your selected personal loans