If your loan application has been rejected, there are some things you can do before you try to apply for credit again.
According to the Australian Securities and Investment Commission’s website moneysmart.gov.au, you could try another credit provider to see if they will accept your application, however you do risk being rejected again. It would be wiser to assess your financial situation first, pay off some debts and build your savings, before trying once more.
It also does not look good on your credit report for you to make multiple loan applications in a short period of time.
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You may be able to strengthen your loan application by asking someone to be a guarantor for you. However be cautious about doing this, as it can be risky for the guarantor, who is then legally responsible for paying back the entire loan if you can’t or won’t make the repayments, together with any fees, charges and interest. Consider if it’s better not to ask them and risk damaging your relationship.
You could also apply for a no or low-interest loan, which are for people on a low income who urgently need to buy an essential item such as a fridge or washing machine.
If you are applying for another loan, always check the interest rate, fees and charges before you sign up.