Can you take out a personal loan if you’re a temporary resident?
- Many lenders offer personal loans to non-residents, including the major banks.
- Lenders usually lend to borrowers on most working visas, although some don't allow working holiday visas like the 417.
- Lending criteria may be more stringent for non-residents, and interest rates may also be higher.
According to the ABS, more than 800,000 non residents arrived in Australia in July 2025. If you've recently emigrated, a personal loan could help you buy a car, furniture or whatever else you need to buy to get settled. Happily for you, there are plenty of Australian lenders that are sometimes willing to lend to non residents.
Can non-residents get personal loans in Australia?
Non-permanent residents can sometimes get approved for personal loans in Australia. However, you may have to meet extra criteria to be eligible - a higher minimum income requirement for example. Many lenders also will only lend to certain eligible visas and the length of your loan term often can’t exceed the length of your visa. So if you have two years remaining on your visa, you will generally only be able to take out a personal loan with a two-year loan term.
A personal loan for a temporary resident or non-resident works the same as it does if you’re an Australian citizen, with a few key differences. One of the biggest differences is that lenders in Australia generally do not have access to your overseas credit history, so your credit history in your home country is irrelevant. That means you’ll need to prove that you’re a trustworthy borrower in other ways.
Some of the alternative criteria lenders may use to assess your ability to pay off the loan may include:
Providing proof of employment
Holding an Australian bank account
Or in some cases being employed in a certain profession.
You may also need to provide a cash deposit to reduce your loan amount.
What visa can I apply for a personal loan on?
No laws dictate lending to temporary residents, so every lender is different. In general though, working visas are often accepted while things like visitor visa, working holiday visas (subclass 417 for example) or student visas usually aren't.
Do lenders charge higher rates for non-residents?
Most personal loan lenders offer a range rather than a single advertised rate. For example as of September 2025 fixed rate personal loans at Westpac can be anything from 7.49% p.a. to 20.49% p.a. (8.89% p.a. to 21.78% p.a. comparison rate*). Higher risk borrowers are usually charged higher rates, so non-residents may find they are charged higher rates since there may be a higher chance they leave the country without paying. This may not always be the case though, which is another reason why it be useful to get quotes from a few different providers to find the lowest rate you can.
What lenders offer personal loans for temporary residents in Australia?
Not all lenders offer personal loans to visa holders, so it’s definitely worth checking the eligibility requirements with your lender first. Even if your lender does offer personal loans for eligible visa holders, they will still assess each application on a case-by-case basis.
All the big four banks in Australia (Commonwealth Bank, NAB, ANZ and Westpac) offer personal loans for eligible visa holders. If you are considering taking out a personal loan with a smaller lender, check their eligibility criteria too.
Some of the criteria these lenders may have could include:
Acceptable financial situation (income, assets, cash accounts) suggesting an ability to pay the loan off
Proof of Australian residency
Proof of visa (and a loan term that does not exceed the length of the visa)
Having an Australian bank account
Looking for a low-rate personal loan? The table below shows a selection of personal loans sorted by the advertised interest rate (lowest to highest).
| Lender | Car Loan | Interest Rate | Comparison Rate* | Monthly Repayment | Interest Type | Secured Type | Early Exit Fee | Ongoing Fee | Upfront Fee | Total Repayment | Early Repayment | Instant Approval | Online Application | Tags | Features | Link | Compare | Promoted Product | Disclosure |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
13.60% p.a. | 14.12% p.a. | $461 | Variable | Unsecured | $0 | $0 | $350 | $27,674 | |||||||||||
13.99% p.a. | 14.25% p.a. | $465 | Variable | Unsecured | $0 | $0 | $175 | $27,916 | |||||||||||
14.54% p.a. | 16.64% p.a. | $471 | Fixed | Unsecured | $20 | $5 | $150 | $28,259 | |||||||||||
18.99% p.a. | 0.00% p.a. | $519 | Variable | Unsecured | $0 | $12 | $150 | $31,122 |
How to apply for a personal loan as a temporary resident
Consider your budget
Before applying for a personal loan you need to consider how much you can reasonably afford to borrow. Using a personal loans repayment calculator helps you work out the cost of a potential loan and what your repayments could look like. You can improve your chances of being approved for a personal loan by only applying for an amount you can comfortably afford to repay.
Demonstrate you can pay the loan off
If you’re a temporary resident living in Australia and you haven’t previously applied for a loan, you won’t have a credit history and lenders won’t be able to access your overseas credit history. You should factor this in when applying for a personal loan as it could make it more difficult for you to get approved for a loan.
You may have to supply additional evidence that proves you’re a responsible and trustworthy borrower, such as the examples listed above.
Compare personal loan options
When you’re comparing personal loan options there are a few things you should look out for, including the interest rate, fees, repayment flexibility, and the loan term.
A competitive interest rate can make a world of difference to the overall cost of your personal loan. Your interest rate is determined by many factors, including your risk as a borrower and whether you take out a secured or unsecured personal loan. You may potentially have to pay a higher interest rate because you have fewer personal loan options to choose from and because the lender may view you as a riskier borrower due to your residency status.
Read more: Low-rate personal loans
Submit your application
Make sure you have all the necessary documents ready to go before submitting your application, remembering not to apply for too many personal loans at once. Wait until you hear back from the lender before submitting any more applications.
If you get rejected for a loan application, this will get marked on your credit report and too many loan applications are a big red flag for lenders.
Read more: What is a comprehensive credit report?
Getting a home loan as a temporary resident
Some lenders offer the same home loan features and interest rates for temporary residents as for permanent residents and citizens. Additional restrictions may apply, like additional supporting documents or reduced maximum loan to value ratio (LVR). Certain types of visas - spousal or interdependency for example - may have less stringent criteria.
Since lenders in Australia can't access your credit history in a foreign country, so you’ll need to use alternative means to demonstrate your ability to repay the loan.
The FIRB
If you are buying a house as a temporary resident of Australia, you are classed as a foreign investor. The Foreign Investment Review Board (FIRB) is a non statutory body established to provide advice to the government on foreign investment matters. You'll likely need FIRB approval if you're buying a property in Australia as a non-resident. If you're buying a home, the rules generally allow you to buy one place of residence - but you may need to sell it if you leave the country.
Read more: Can foreigners buy Australian property?
Savings.com.au’s two cents
When applying for a loan as a temporary resident, you should consider exactly what you need the loan for, and whether it is the best option. If you do not have a secure income, you might not want to wrack up large amounts of debt in an unfamiliar country.
On the other hand a personal loan could be a great way to quickly get settled, buying yourself furniture for example or a car. If you're confident you'll be able to repay the entire loan, it could also be a good way to quickly build your Australian credit history, helping your chances of being approved for a bigger loan like a mortgage in the future.
If you do go ahead with a loan, all the normal advice you’ll find throughout Savings.com.au applies. Take the time to compare your options, make sure you can comfortably afford the loan repayments, look for a competitive rate, and don’t apply for too many loans at once.