Case study #1: Jeremy
The Need
Jeremy needed to complete some renovations on his home to get it ready for sale.
He didn’t have the cash in the bank he needed to complete the renovations, so he asked Loansmart for help.
The Challenge
Jeremy was on a benefit, which significantly limited his ability to repay a loan.
Normally, a loan is repaid on the principal and interest at the same time, but sometimes borrowers can go interest-only if they’re having trouble making the full repayments.
However, even this wouldn’t have been affordable for Jeremy, whose benefit just barely covered his essential living costs.
Most companies would simply decline any loan application from a customer in Jeremy’s situation.
But luckily, he chose Loansmart, and smarter loans are our specialty!
We pride ourselves on coming up with creative solutions to tricky financial situations.
The Solution
Loansmart is a loan broker, which means we utilise our network of low-cost lenders to find great deals for our clients.
Jeremy’s friendly loan advisor found a lender who was willing to provide a fully capitalised loan for 12 months. This means instead of Jeremy making regular repayments, he was simply given the $40,000 he needed to fix up his house, which would be repaid with interest after the house sold.
This is an example of the out-of-the-box thinking our loan advisors do every day.
We’re passionate about helping our customers improve their financial circumstances. We really care about our clients and want them to succeed, which is why we jump through hoops to make sure they get a positive outcome.
Case Study #2: Sadie
The need
Sadie needed $5,000 for some emergency expenses, so she applied to a well known finance company for a loan.
She was declined because based on the company’s assessment, she couldn’t afford the loan repayments.
Already having $45,000 in debt, Sadie just didn’t have the disposable income to cover another loan payment.
She then applied for a loan with Loansmart, hoping that we could help her find a solution for her problem.
The challenge
Sadie’s existing debt was an issue, because the repayments on those loans limited her ability to pay back an additional loan.
However, being loan brokers, Loansmart’s expert loan advisors know how to present potential deals to lenders, and therefore have a higher chance of getting our clients approved.
Sadie’s loan advisor went back to that same company that originally declined her, and proposed a creative solution.
The solution
Loansmart was able to get Sadie approval for the $5,000 loan she needed.
To achieve this, we arranged to have all her existing debts paid off and combined into a new loan, with the loan term spread over 7 years.
This significantly improved the affordability, so Sadie could comfortably make the repayments and still have plenty of money left over.
Sadie’s story shows the power of having a loan broker on your team – we managed to get her approval with the same company that first declined her!
With our access to multiple low-cost lenders, and our ability to present fantastic deals, we significantly improve your chances of success.
If you’re in a sticky financial situation, get in touch with our friendly team today to find out how we can help!
