A Beginner’s Guide to Finance in New Zealand


Are you having trouble getting finance in New Zealand? Do you want to know the best options for people who have bad credit or no collateral? There is a surplus of options for getting finance in New Zealand for you to explore. If you’re looking for a guide to getting finance in NZ, this article will show you how easy it can be! Media reports are quick to point out how difficult it is for people to obtain loans these days. We’ll cover all of the basics and provide information about who can get it, how much they could borrow and which type suits them best. So, if you’ve been considering trying to get a loan but didn’t know where or how to begin, then read on!

This guide will cover:

– Who can get finance in New Zealand.

– How much they could borrow.

– What type of loans best suits them (e.g. personal, business).

– Where to go for more information about how to get a loan and what the process involves.

After reading this article, you should figure out if getting NZ finance is right for you! Let’s dive into it now…

Who Can Get Finance?

Those who meet these standards are eligible for financial help from either the government or banks:

  • You must have been living in New Zealand continuously for at least two years with no plans to leave again; 
  • You’re 18 years old or over.

How to get finance?

Getting finance is easier now than ever before. There are many different types of loans available in New Zealand – so don’t worry about finding ‘the right one’. You’ll know it when you see it! It’s never been so easy to get a loan!

The first step is deciding what type of debt product would suit you best: an unsecured personal loan, fast car or equipment finance, or credit card? Our guide will provide all the information about who can get it, how much they could borrow, and available types. We’ll cover all the basics below – including rates and fees.

How much can I borrow?

This principally depends on whether or not you have collateral (i.e., if there’s equity in an asset). A fast car or equipment finance could be up to 100% of the value of the item being financed, while some other loans may only allow borrowing up 60%. The maximum unsecured lending limit is $60,000.

How much will it cost?

If you’re borrowing less than $50,000, then the fees are typically a percentage of the amount borrowed, and there’s no upfront interest fee. If you borrow more than this, your repayments could be up to one-third higher due to an additional margin for bank risk. This is how banks make money on small loans! So if you can afford a larger loan or need help with understanding all these numbers, call us today, and we’ll take away some of that stress so you can focus on getting back in control. An application fee varies depending on whether applying online (typically around $120) or by phone (NZ D$250).

What type of loan best suits you?

If you’re unsure of which loan is best for you, start with the debt product with a low rate and is easy for your situation. If this doesn’t meet your needs, then move onto something else. 

Small businesses in New Zealand often struggle when they can’t get the funding they need at critical times due to lack of access. Loans should only be considered if there is the ability to repay funds without acquiring more debt that could make repayment impossible – which typically comes through stable income like an employer-sponsored salary.

If you’re self-employed, renting or have bad credit, we may not be able to help. But suppose your income is stable, and the bank accepts your financial statements as proof of that stability. In that case, a secured personal loan can work for you because it has low interest rates – typically around 11%. This introductory offer includes free features, including online payments with Direct Debit, making managing repayments easy!

Why does New Zealand’s guide to getting finance exist?

Successful businesses provide products and services that people need or want. For many entrepreneurs, financing is one such necessity. Here is some stuff you should know about financing your business:

-Some businesses require tens of thousands, if not millions of dollars, to get started, and ongoing funding is needed for growth.

-A significant proportion of small business owners in New Zealand struggle with cash flow because they can’t access credit when it’s most needed.

-Loans are appropriate only when a person can repay funds on an agreed schedule – without accruing more debt than he or she can handle – such as through stable income from employment or self-employment, savings, investments, property holdings etc. If this is not the case, then other options need to be considered to ensure that any debts incurred don’t spiral out of control. For example, one option to explore is a business arrangement with family members.

-There are many different kinds of loans, and some may be better suited for you than others. It also depends on what it’s for–how soon you need the money, and if this is a one-off or long term thing. For example, mortgages or home equity loans; personal residential property credit lines; vehicle financing; cash advances from your bank account using an overdraft facility.”

Now you know the basics, what’s next? If you have a credit score of at least 500 and are looking for an unsecured loan, start your search here. We’ve found that Kiwi rates tend to be lower than offshore providers. Better yet, we’ll help you find one that suits you best! As well as being on top of all the latest deals and promotions available in New Zealand so don’t worry about spending hours searching online – fill out our form below or give us a call.

About Author

LaDonna Dennis

LaDonna Dennis is the founder and creator of Mom Blog Society. She wears many hats. She is a Homemaker*Blogger*Crafter*Reader*Pinner*Friend*Animal Lover* Former writer of Frost Illustrated and, Cancer...SURVIVOR! LaDonna is happily married to the love of her life, the mother of 3 grown children and "Grams" to 3 grandchildren. She adores animals and has four furbabies: Makia ( a German Shepherd, whose mission in life is to be her attached to her hip) and Hachie, (an OCD Alaskan Malamute, and Akia (An Alaskan Malamute) who is just sweet as can be. And Sassy, a four-month-old German Shepherd who has quickly stolen her heart and become the most precious fur baby of all times. Aside from the humans in her life, LaDonna's fur babies are her world.

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2 years ago

Thanks for your advice, I was just thinking about starting a credit repair business. In fact, the financial business always has its pitfalls and is not so easy to create.
Your advice was helpful, I took a few notes

Jordan Evans
Jordan Evans
2 years ago

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