Loan of The Month – December 2023

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The Need

Ben and Jodie, a married couple, needed a quick $5,000 loan urgently for funeral costs.

The Challenge

The couple already had multiple existing loans, potentially limiting their ability to service a new loan. Adding another loan would also make it hard for them to manage their existing loans.

The Solution

The Loansmart team didn’t let those existing loans stop them from finding a positive solution for Ben and Jodie. Their broker proceeded to get them the $5,000 loan through one particular lender. At the same time, they arranged for a second loan – a debt consolidation loan – to be arranged. By consolidating their existing debts into a new loan at a better rate, Ben and Jodie would be able to save money on debt servicing costs.

Ben and Jodie were excited by the prospect of lowering their debt payments, so they took out the new debt consolidation loan as well as the $5,000 loan for the funeral. All of their loans now totaled about $30,000.

Later, just before Christmas, the couple came back to Loansmart needing cash for an upcoming family holiday. Their recent loan was too new to be topped up with extra cash, so their broker arranged for their existing loans to be consolidated again into a new debt consolidation loan through a different lender. They also received the cash they needed for their holiday. Loansmart extended the term of this loan to seven years, making the payments more affordable.

Loansmart specialists in providing personalised solutions to complex problems. If Ben and Jodie had gone directly to a finance company, this arrangement would not have been possible, and they would have ended up with 4-5 different loans, which would have been very difficult to manage.

By coming to Loansmart, our lending experts were able to find creative solutions quickly for the couple. The advantage of using a loan broker is that we have access to multiple lenders. By putting their loan application in front of different lenders, we’re able to get them the best deal that suited their needs.