Centrelink Bond Loans: What Help Can You Get?

Centrelink offers Rental Assistance payments to people on certain benefits who are renting or paying site fees for a caravan or boat. However, those who cannot get access to Centrelink loans can apply for bond loans from third-party lenders, such as Cash Direct, Direct Finance Loans, and Money3. These lenders offer bond loans to individuals with poor credit scores, which can be used to cover the bond and other costs associated with moving, such as exit cleaning fees and removal company hire.

Centrelink offers Rental Assistance payments to people on certain benefits

The Rental Assistance payments are meant to help with the cost of renting in the private market. This includes rebates or subsidies on rent, which are calculated based on a percentage of the household's total gross assessable income. The amount of rent that can be subsidised will never exceed the market rent amount. For instance, NSW tenants can pay a maximum bond amount equal to four weeks of market rent, while Victorian tenants will usually not pay more than one month's rent.

If you are unable to pay the amount in full, you may be able to arrange a payment plan. You can also use Centrepay to make regular deductions from your Centrelink payment. Centrepay is a voluntary payment option available to Centrelink customers.

In addition to Centrelink, there are other options for those seeking bond assistance. The Department of Communities offers interest-free loans to help people obtain accommodation in the private rental market. The maximum loan amount depends on your circumstances, and you will need to meet certain income limits to be eligible. There are also private companies that offer rental bond loans, such as Cash Direct and Money3. These loans can be used to cover the bond and other moving costs, such as exit cleaning fees and removal company hire.

Bond loans are available from third-party lenders

While Centrelink does not directly offer bond loans, it does provide Rental Assistance payments to people on certain benefits who are renting, lodging, or paying site or mooring fees if they live in a caravan or boat. Additionally, Centrelink offers Rent Deduction Schemes that allow for bond deductions.

It is important to note that some lenders may have specific eligibility criteria. For example, Money3 requires a total income of over $2,080 per month, with a weekly income of more than $480 to qualify for a secured loan.

Before applying for a bond loan with a third-party lender, it is recommended to check your eligibility for government assistance. The Department of Communities, for instance, offers interest-free bond assistance and two weeks' rent in advance to help individuals secure accommodation in the private rental market. The Housing Authority, operating within the Department of Communities, provides similar support.

Additionally, individuals can explore other options such as Housing Expense Support Loans from Cash Direct, which can be used for various purposes, including housing expenses.

You can use Centrepay to make regular deductions from your Centrelink payment

Centrelink offers Rental Assistance payments to people on certain benefits who are renting, lodging, or paying fees in a retirement village or for a site or mooring if they live on a boat. If you are on Centrelink benefits, you may be eligible for a bond loan or rent assistance from your state or territory government. These rental bond loans are interest-free, and you usually pay the loan back when you get your bond back.

If you are unable to get access to a loan from banks or do not have access to a credit card, you can consider getting a Cash Direct rental bond loan. Cash Direct offers small bond loans ranging from $200 to $3000 over a 1 to 12-month period. You can also apply for a Housing Options Bond Assistance Loan from the Department of Communities. This loan is interest-free and can be used to help people obtain accommodation in the private rental market.

If you are looking for a secured loan when on Centrelink, then your weekly income must be over $480 a week to qualify. Money3 offers personal loans of up to $12,000 to single parents and considers your income from earnings and benefits when assessing your loan application.

The Housing Authority offers interest-free bond assistance

The Housing Authority, operating within the Department of Communities, offers interest-free bond assistance to help people obtain accommodation in the private rental market. This loan scheme is one of the most frequently accessed housing options, with more than 10,000 loans approved each year. The maximum loan amount depends on your circumstances, and you can apply for this assistance if you are eligible for Centrelink benefits.

To be eligible for a bond assistance loan from Communities, you will need to meet specific income limits and have a repayment arrangement in place for any outstanding debt. The default repayment rate is set at $40 per fortnight for multiple bond assistance loan debts, and Communities will amalgamate previous debts with a new bond loan.

If approved for a Communities bond loan, you will receive conditional approval, along with the criteria required to meet full eligibility, your affordability, and a form for your prospective landlord to sign. Once you return this form to Communities, they will confirm the details with your landlord and arrange prompt payment.

Alternatively, if you have already paid the bond or two weeks' rent in advance to the landlord or real estate agent, Communities can refund this to you. However, you must apply within eight weeks of payment and submit evidence of payment and confirmation that the bond has been lodged with the Bond Administrator. The loan is then repaid in regular payments at a minimum of $25 per fortnight.

Centrelink offers Rental Assistance payments to people on certain benefits who are renting, lodging, or paying fees in a retirement village or for a site or mooring if they live in a caravan or boat. Additionally, Centrepay is a voluntary payment option that allows for regular deductions from Centrelink payments.

You can apply for a Cash Direct rental bond loan

If you are looking for financial assistance with a rental bond loan, Cash Direct is one option to consider. Cash Direct offers rental bond loans to help cover the cost of a rental bond, which is one of the largest costs of renting a new home.

Cash Direct's rental bond loans are available in amounts ranging from $200 to $3000, with repayment periods between one and twelve months. The establishment fee for these loans is 20% of the borrowed amount, and the monthly fee is 4% of the borrowed amount. For example, a $1,000 loan repaid over four months would result in a total payable amount of $1,360, including the principal, establishment fee, and monthly fees. It is important to note that Cash Direct is not affiliated with or endorsed by Services Australia.

To be eligible for a Cash Direct rental bond loan, you must meet certain criteria. Cash Direct offers loans to individuals receiving Centrelink benefits, with the requirement that less than half of their income is from Centrelink. Additionally, you must be 18 or older and currently employed.

Applying for a Cash Direct rental bond loan can be done online and only takes a few minutes. The application process will require you to provide specific personal details, information about your expenses and income, the desired loan amount, and your preferred repayment terms. Once your application is submitted, you can expect a decision within minutes, and if approved, the funds can be transferred to your bank account promptly.

Before applying for a Cash Direct rental bond loan, it is recommended to explore other options, such as government-provided bond loans or rental assistance. Centrelink offers Rental Assistance payments to individuals on certain Centrelink benefits who are renting or lodging. Additionally, you may be eligible for a bond loan or rent assistance from your state or territory government, which are typically interest-free. It is worth checking if you qualify for these alternatives before pursuing a loan from Cash Direct or other private lenders.

Frequently asked questions