What is a Medical Loan and why would you need one? Medical Loans are where you borrow money either to cover a medical emergency, pay for surgery in a private hospital, or possibly even for cosmetic surgery.
Before applying for a loan for medical purposes, first read this short guide so you know what to be aware of, and to answer the question, “Where can I get a Medical Loan in Australia?”
1 – What Can a Medical Loan Be Used For?
This question was briefly answered in the intro, but we’ll dig a little deeper.
The best way to understand what you can use the borrowed money for is to talk to the lender before applying and make certain you can spend it on the procedure you need.
Generally you can cover the cost of hospital bills, including medications, as well as anything you may need to help you recuperate. You can also use medical loans to cover the cost of dental work or to see a specialist.
Your medical issue could be optical, where you might need to see an optometrist on a number of occasions, or have Lasik eye surgery.
Just check with the finance company first before booking anything in.
2 – How Much Money Can You Borrow?
This will depend on where you apply. If you go with a bank, you could likely borrow up to $50K or so, if you really need that much.
A better option could be to apply for a Medical Loan through a private lender. These lenders have lower minimum and maximum loan amounts, with figures in the perfect price range for most medical procedures and emergencies.
The price range for private lenders is usually between $500 and up to $25,000.
3 – Interest Rates Can Vary Quite a Lot
Some financial institutions offer specific loans reserved for medical emergencies and procedures, while others offer a general Personal Loan that you can use for medical purposes. Bank interest rates can go up and down on a daily basis if they’re variable. Other loans offer a fixed rate of interest, which is usually higher than variable interest rates offered by the same lender.
Comparison websites are an easy way to keep tabs on the latest interest rates being offered, so long as the information is up-to-date.
Always double-check the current interest rates on the lender’s own website, or contact them to confirm.
4 – Get Familiar With the Lending Criteria
This may vary a little from lender to lender, so be sure to check their site or talk to someone, so you understand exactly what criteria you’ll need to fulfil before applying for a Medical Loan.
Some of the standard criteria you’ll encounter will include the following:
- Be over 18 years of age
- Be employed
- Earn a minimum amount of income (varies between lenders)
- Be an Australian citizen or permanent resident
You’ll need to have the means to be able to repay the borrowed amount in the agreed period of time. Private lenders tend to offer short term loans, with terms ranging from 3 months to 36 months.
5 – How Fast Can You Get the Money You Need?
Are you in a hurry for the money? Are you faced with a medical emergency?
Approaching the banks for a Medical Loan might be just a little too slow. The fastest you could expect to get your money from a bank would be at least a few days, but probably longer. In this instance, you’d be better served to seek a Medical Loan with a private lender.
Focusing heavily on the speed of process, private lenders make it a point to assess and approve Medical Loan applications very swiftly. Quite often you’ll have your application approved and the money in your account that same day.
This can be a huge load off your shoulder when dealing with an emergency.
Apply for a Medical Loan With Cashify
Cashify specialises in fast cash Medical Loans that can be used for a number of different medical requirements. When looking for Medical Loans Australia, contact us first and discover how we can help you.
Disclaimer: Please note this content is of general nature only and does not take into account your personal objectives, financial situations or needs. For advice tailored to your financial situation, it is advised that you seek guidance from an accountant or financial advisor. The information contained in this article is correct at the date of publication.