Loans for White Goods: What You Can Avail and Its Alternatives

White goods, such as washing machines, refrigerators, and air conditioners, are necessary for every home. However, these can be costly, so many Australians turn to short-term loans to pay for these things. 

Let’s see what available loans for white goods you can apply for in Australia.

What this article covers:

Types of White Good Loans You Can Avail

Several types of loans are available for Australians looking to purchase white goods. Personal loans, store credit, and Centrelink loans are the most common options. Let’s explore these three types together so you can easily make an informed decision. 

  • Personal Loans 

Personal loans are a great choice if you need to buy many white goods or want a great deal. These are inexpensive, especially compared to store credit, since many banks and lenders provide them with reasonable interest rates. 

These loans also provide greater purchasing freedom because you can use them for anything. 

A word of caution: personal loans can have higher interest rates and come with various fees, potentially leading to debt accumulation and impacting credit scores. 

loans for white goods

  • Store Credit 

Many white goods stores offer store credit, which might be a practical choice for those who want to buy only one white good. 

However, you’re restricted to purchasing appliances from only a single retailer with higher interest rates. This can reduce your shopping options and any possibilities for price comparison. 

  • Centrelink Appliance Loan

Many lenders give loans to those receiving Centrelink benefits, but you may need to present proof of your income. You could also pay a higher interest rate than those with a full-time job. 

Alternatives to White Goods Loans

Although loans for white goods might be a practical means of financing a purchase, there are several alternatives that you may look into.

  • Private Lenders

Private lenders provide loans outside the conventional banking system or other financial institutions. Going to these lenders is a wise option if you have a bad credit history or urgent access to money. 

It’s crucial to keep in mind, however, that private loans sometimes have interest rates higher than those of conventional bank loans.

white good loans

  • Payday Loans

Payday loans are low-income loans available to borrowers with bad credit or limited income since they provide quick access to money for last-minute white goods purchases and often have low qualifying conditions. 

However, the considerably high loan interest rates make them a costly alternative and may put a financial hardship on borrowers who can’t repay them on time. 

If these alternative options don’t seem attractive enough, feel free to check out our articles about loans for self-employed, second chance loans, loans for casual workers, and single parent loans for more ideas.

Wrapping Up 

A good “fridge loan” could be a suitable choice if you need new white goods but don’t have the money to buy them. 

You can choose between a personal loan, store credit, and Centrelink appliance loan to help fund your purchases.

However, you should carefully select the loan you’ll apply for, factoring in your capability to repay it on time.

Was the guide helpful? Check out these extra resources to delve deeper: