Financing larger purchases with structured repayments

Some expenses require a larger upfront payment that may not be practical to cover from savings alone.

In these situations, some people consider a personal loan to spread the cost over time with structured repayments.

At Fundo, personal loans from $5,000 to $10,000 are designed for larger, planned expenses where a clear repayment schedule is important.

Loans are subject to credit assessment, eligibility criteria and approval.

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

What is considered a large planned purchase?

A large planned purchase is typically a one-off expense that:

• Has a clear purpose
• Requires a higher upfront cost
• Can be planned in advance
• Is repaid over time

These purchases are different from day-to-day expenses and are usually infrequent.

Common examples of large planned purchases

People may consider a personal loan for:

Essential household items

• Refrigerators, washing machines or appliances
• Furniture for a new or existing home

Vehicle-related expenses

• Replacing an older or unreliable vehicle
• Major repairs or upgrades required for work or family needs

Home improvements

• Necessary repairs or maintenance
• Functional upgrades such as heating, safety or electrical work

Education and work-related costs

• Course fees or certifications
• Equipment needed for work or training

These examples are general in nature. Whether a loan is suitable depends on your individual financial situation.

How a personal loan can help

A personal loan provides a structured way to manage a larger expense by:

• Offering a fixed loan amount
• Setting a clear repayment schedule
• Allowing you to spread the cost over time

This can make budgeting more predictable compared to paying a large upfront amount.

However, it is important to consider the total cost of the loan, including any fees or interest, before proceeding.

Things to consider before applying

Before taking out a loan for a large purchase, consider:

• Whether the purchase is necessary and planned
• If you have explored using savings first
• The total cost of the loan over time
• Whether repayments fit comfortably within your budget
• How the loan may impact your overall financial position

Taking on a loan should not place you under financial stress or affect your ability to meet essential living expenses.

When a personal loan may not be suitable

A personal loan for a large purchase may not be appropriate if:

• You are relying on credit for everyday living expenses
• You are already struggling with existing repayments
• The purchase is discretionary and can be delayed
• Repayments would impact essential expenses such as housing, food or transport

In these situations, it may be helpful to review alternatives.

Alternatives to consider

Before applying for a loan, you may wish to explore:

• Using available savings
• Payment plans with retailers or service providers
• Delaying the purchase where possible
• Free financial counselling

You can contact the National Debt Helpline on 1800 007 007 for confidential support.

How applications are assessed

All lenders in Australia are required to assess whether a loan is suitable before approval.

This includes reviewing:

• Your income from all sources
• Your regular living expenses
• Existing financial commitments
• Recent banking activity
• Your ability to meet repayments without financial hardship

If a loan appears unsuitable, the application may be declined.

About Fundo

Fundo Loans Pty Ltd holds Australian Credit Licence 491418.

Fundo offers a range of regulated credit products, including:

• Small loans ($500 to $2,000)
• Medium loans ($2,001 to $5,000)
• Personal loans ($5,000 to $10,000)

The most appropriate product depends on your financial situation and assessment outcomes.