Emergency Loans

Emergency Loans

Unexpected expenses happen. When they do, you might be considering a short-term loan to help cover the costs. Before you apply, it's important to understand how these products work and whether they're suitable for your situation.

Fundo provides small and medium amount credit contracts often labelled as SACC loans between $500 to $2,000 and MACC loans between $2,001 to $5,000 that may help with unplanned costs. Loans are subject to assessment, eligibility, and approval.

Short-term loans are expensive and may not be suitable for everyone. Borrow only what you need and can afford to repay.

What Fundo Offers

We provide two types of regulated credit products:

Small Amount Credit Contracts (SACC)

• Loan amounts: $500 to $2,000
• Loan terms: 4 to 39 weeks

Medium Amount Credit Contracts (MACC)

• Loan amounts: $2,001 to $5,000
• Loan terms: 9 to 39 weeks

These are unsecured loans, which means you don't need to provide an asset like a car or property as security.

When Might Someone Consider This Type of Loan?

People sometimes explore short-term credit when facing unexpected costs such as:

• Essential car repairs
• Urgent medical or dental expenses
• Unexpected household costs
• Replacement of essential appliances

Before applying, think about whether you can manage repayments alongside your regular expenses like rent, utilities, groceries and existing credit commitments. If you're experiencing ongoing financial difficulty, a short-term loan may not be appropriate.

You might want to consider alternatives first, such as using available savings, arranging a payment plan with your provider, or speaking with a free financial counsellor.

How It Works

Applications are completed online. As part of our responsible lending obligations, we assess your income, regular expenses, existing financial commitments, and recent bank transaction history. As a responsible lender, we are obliged to do the necessary assessments before we lend and past credit issues may affect approval and loan terms.

If your application is approved and you accept your contract, funds are transferred to your nominated bank account as soon as reasonably possible. Processing times vary depending on verification requirements, your bank's systems, time of day, and whether it's a weekend or public holiday.

Who Can Apply

To apply, you generally need to:

• Be at least 18 years old
• Be living in Australia
• Receive a regular income, for example at least $1,000 per fortnight, which may include eligible government benefits

We may decline an application if taking out a loan appears likely to cause financial hardship or make it difficult to meet your existing obligations.

What It Costs

Understanding the total repayment amount is important before deciding whether to proceed.

Small Loan Example

$1,000 borrowed over 20 weeks

• Loan amount: $1,000
• Establishment fee: $200
• Monthly fee: 4% of the loan amount per month
• Total monthly fees over 20 weeks: $200
• Total repayable: $1,400
• Weekly repayment: $70

SACC loans don't charge interest. They include a capped establishment fee and monthly fee.

Medium Loan Example

$2,500 borrowed over 6 months

• Loan amount: $2,500
• Establishment fee: $400
• Interest charged over 6 months: $389
• Total repayable: $3,289
• Fortnightly repayment: $253

MACC loans may include interest in addition to an establishment fee. The applicable interest rate, fees and total cost will be clearly disclosed in your contract before you decide whether to proceed.

These examples are illustrative only. Actual costs depend on the loan amount, term, fees, interest and whether repayments are made on time.

Before You Decide

Emergency loans can help address short-term, unexpected expenses. However, they involve higher costs than some other forms of credit and may not be suitable for long-term financial challenges.

Consider alternatives such as:

• Negotiating a payment plan directly with your service provider
• Accessing available savings
• Speaking with a free financial counsellor

You can contact the National Debt Helpline on 1800 007 007 for free, independent assistance.

You can review your options and decide when you're ready. If you need help or want to talk it through, our team is here.