I have applied for NILS before, but need to use a step up low interest loan. I have some questions.
Can you have savings to apply? I have more savings than I need to borrow, I’m worried they’ll see that & say no, use that money - that money there for a reason.
And the details say you need under a certain amount of debt. Is this debt, as in loans I’m currently paying? Or debt as in defaulted bills/repayments?
TIA
7 Replies
If you have more saving then you want to borrow, no you will not be approved.
Can you let me know where I can find this information please? I’ve looked everywhere & I can’t find any details on this.
This is what I was told when i applied. I was refused for this reason. I had money saved for my car rego that was coming up and my fridge died. Single mum with 4 kids, I needed the fridge so I applied and was knocked back. They said I had to use exsisting funds before I could apply for NILS loans as they are for emergancy situations and people that wouldn't otherwise be able to qualify/afford a loan.
Not sure about whether they will expect you to use existing savings, but the 'debt' is any money you owe, whether it be covered by repayments or defauted. They'll add them together. I suggest you sit down with a financial counsellor at Lifeline or Salvos and get them to help you put the case forward. It sounds like you are trying hard to make your way and just need some help.
Thanks. I’m actually doing ok, but have motor issues in my car I only bought earlier this year. It’s going to cost a bit to fix.
I could use my savings, but I’ve been saving this all year to take my kids home to visit our family 3000km away for Christmas. It’s been 5 years since we’ve been home (fled DV). I can’t take that away from my kids because of my mistake - but I also can’t work without my car.
I am managing to get by & save reasonably ok most of the time, but this, right now, is a kick in the guts & this will take a while to get past if I have to use our ‘going home’ money.
My mental health is already suffering severely over the impact it has had.
I also live isolated & don’t have access to the salvo’s etc for the assistance they offer
Generally if you have more savings than the amount you apply for it would not be a good look.
Try a discount online lender instead, OurMoneyMarket is one leading the industry.