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Why consolidate debt with an Unsecured Personal Loan?

Borrow between $2k-$50k

Consolidate several credit cards, store cards and personal loans into a single debt balance.

A single interest rate

Know how much interest you're paying on the combined debts at any one time.

One regular repayment

Keep track of a single regular repayment on the combined debt.

Set an end-date for your loan

Every repayment reduces what you owe and gets you closer to paying off your loan.

Redraw facility on variable rate loans

Redraw money from the amount you've repaid, provided you're at least $500 ahead on your repayments. Each request is subject to approval.1

Flexible loan repayments

Choose a loan term of 1-7 years to suit your circumstances and make weekly, fortnightly or monthly repayments.

Choose between our Unsecured Personal Loans

Variable Rate Personal Loan

Whether you’re planning for your big day or the trip of a lifetime, our Variable rate Personal Loan can help.

6.89% p.a. to 19.99% p.a. Interest rate range
7.59% p.a. to 20.59% p.a. Comparison rate range^
15.49% p.a. Median rate
$2,000 -  $50,000 Borrowing amount
1 - 7 years Loan term
$0 establishment fee
Right now, we’ll waive your $150 establishment fee when you apply for a variable rate Unsecured Personal Loan by 18/12/23.##

Fixed Rate Personal Loan

Time to upgrade your ride or home? Or looking to combine your debts? Our Fixed rate Personal Loan may be the right fit.

6.89% p.a. to 19.99% p.a. Interest rate range
7.81% p.a. to 20.83% p.a.
Comparison rate range^
15.49% p.a.
Median rate
$2,000 -  $50,000 Borrowing amount
1 - 7 years Loan term

Our standard variable rate is 12.99% p.a. (comparison rate 14.06% p.a.^

The rate for some customers is based on personalised pricing. The final rate you’re offered may be lower or higher than 12.99% p.a. (comparison rate 14.06% p.a.^), depending on your personal financial circumstances. 

Key Fees

Variable rate Personal Loan

$150 Lending establishment fee
$10 Monthly loan account fee
$0 Per redraw on variable loans
$0 Loan discharge fee if you fully repay the loan within the first 12 months

Fixed rate Personal Loan

$150 Lending establishment fee
$10 Monthly loan account fee
$150 Loan discharge fee if you fully repay the loan within the first 12 months
$100 Loan discharge fee if you fully repay the loan after the first 12 months and before the end of the loan term

Fees are subject to change. 

Save $150 with a Variable rate Personal Loan

Apply for a variable rate personal loan today and we'll waive your establishment fee, saving you $150 upfront.##

Offer ends 18 December 2023.


Offer not available for fixed rate personal loans or secured personal loans. Eligibility criteria, fees and charges apply.

Repayment calculator

This calculator helps you estimate how much your personal loan repayments could be#.


Debt consolidation FAQs

Reasons you might consider consolidating debt with a personal loan include:

  • To simplify your finances and create good credit habits
  • To clear debts from multiple sources (e.g. credit cards, other personal loans, alternative credit providers – even car registration or insurance fees) and combine them into one debt
  • To create a clear path to becoming debt-free
  • To save on costs

Simplify your finances

Rolling more than one debt into a single debt consolidation loan means there is less financial admin in your life. 

Once you’ve repaid the outstanding debts with the new loan, it’s worth considering closing those other accounts so you don’t use them and continue to grow new/additional debt. That way you’ll only have one loan to deal with, meaning less juggling, you won’t be charged multiple ongoing fees and or interest on those accounts, and they’ll no longer be listed as liabilities on your credit history. If you close these accounts, there’s also less temptation to overspend.

This easier-to-manage approach is a good credit habit to have as it helps keep you in complete control.

Clear debts from multiple sources

With a debt consolidation loan you’re not limited to refinancing just one type of debt - unlike credit card balance transfers. Debt consolidation loans let you refinance all your existing debts, from credit card debt to store cards to personal loans and alternate credit providers, even upcoming large bills like insurance or car registration or cash loans. Another difference is that balance transfer offers may also charge interest on new purchases if they’re not fully repaid within the interest-free period. 

Create a clear path to being debt-free

Consolidating multiple debts with a new personal loan means you also have the opportunity to set new loan repayment terms. That means you’ll know exactly when your one debt (the new loan) is repaid. With Bank of Melbourne you can choose between a fixed interest rate or a variable interest rate, and to repay it over a one to seven-year term. Furthermore, if  monthly repayments don’t suit the way you’re paid, you can choose to make fortnightly or weekly repayments. 

Note that we offer an unsecured debt consolidation loan. With unsecured loans you don’t need to offer an asset like your car or house as security to get the loan – as you would with a secured loan. Our secured loan can only be used for buying a car. 

Save on costs

A debt consolidation loan won’t automatically save on costs. To make sure it does, you’ll need to factor-in all the costs of repaying your current debts as they are now – including any fees or charges for paying some debts early – and compare that total to the full costs of refinancing with a new debt consolidation loan. The section below outlines this in more detail.



Before you apply

Follow this section to improve the likelihood your application is approved. 

  • You’re aged 18 or over
  • You have permanent residency in Australia/NZ  OR;
  • You’re a non-resident or migrant and hold an acceptable Visa (PDF 126KB), with a minimum 1 year before expiry 
  • You have a regular, verifiable Australian taxable income
  • You have a fixed, verifiable residential address in Australia.

How to apply for a loan

Apply online in 20 minutes, 10 minutes if you’re already with us. 
When you press submit you’ll get an answer within 60 seconds. Part of that answer may be that we’ll need to verify some of your details 
Once your application’s approved, we’ll invite you to review and accept your contract online.
Once you’ve accepted, we’ll automatically send the funds to the account (or accounts) you’ve nominated. If that’s an account with us, it’ll be there within 60 minutes.

The Detail

Any advice on this website is general in nature and has been prepared without considering your objectives, financial situation or needs. Please read the product disclaimer and Terms and Conditions (PDF 169KB) documents and consider your individual circumstances before applying for a Bank of Melbourne Personal Loan. Credit criteria, fees, charges, terms and conditions apply. Information correct as of 27 November 2023. Interest rates are subject to change.

Our standard variable rate for unsecured variable rate loans is 12.99% p.a. (comparison rate 14.06% p.a.). The rate for some customers is based on personalised pricing. The final rate you’re offered may be lower or higher than 12.99% p.a. (comparison rate 14.06% p.a.), depending on your personal financial circumstances.

^Comparison rates: Comparison rates help you understand the true cost of a loan. All comparison rate examples shown are for a personal loan amount of $30,000 and a term of 5 years. WARNING: Comparison rates apply only to the example or examples given and may not include all fees and charges. Different loan amounts and terms will result in different comparison rates. Costs such as loan discharge fees, and cost savings such as fee waivers, are not included in the comparison rate but may influence the cost of the loan.

Unsecured Personal Loan repayment terms range from 1 to 7 years. Interest rate ranges and representative examples are based on an unsecured loan of $30,000 borrowed for 5 years:

  • The minimum interest rate for an unsecured fixed & variable rate loan is 6.89% p.a. (Comparison rate 7.81% p.a.) with the estimated total amount payable including fees is $36,327.
  • The maximum interest rate for an unsecured fixed & variable rate loan is 19.99% p.a. (Comparison rate 20.83% p.a.) with the estimated total amount payable including fees is $48,517.

#Repayment calculator & assumptions: Any calculations made by you using this calculator is intended as a guide only.  It is for illustrative purposes only and is based on the accuracy of the information provided.  The calculation is not an offer of credit. The amount you can borrow may vary once you complete a loan application and all the details relevant to our lending criteria are captured and verified.  The calculations should not be relied on for the purpose of making a decision whether to apply for a personal loan. Weekly and fortnightly repayment calculations – if your monthly repayments are $1000, fortnightly repayments are calculated by dividing $1000 by 2 and rounding up if required ($1000 ÷ 2 = $500). Weekly repayments are calculated by dividing $1000 by 4 and rounding up if required ($1000 ÷ 4 = $250).

##$0 establishment fee offer is available for customers who apply, are approved and accept their Variable rate personal loan contract before 18/12/23. To receive this offer applicants must apply online using the 'Apply now' button on this page and select ‘Variable rate loan’. This offer is not available for Fixed-rate or Secured Personal Loans. Excludes non-resident or migrant applicants. Offer can be changed or withdrawn at any time.

1A Redraw facility is available on variable interest rate loans only. Redraw requests are subject to approval. Minimum redraw amount is $500 and a $0 redraw fee applies to each approved request. Other fees and charges may apply.

*Access to funds within 60 minutes: Available for existing customers who are approved for an Unsecured Personal Loan. Loan funds will be disbursed into an existing Bank of Melbourne transaction account 60 minutes from when e-contract acceptance has been received. Funds requested to be transferred to a non-Bank of Melbourne account will take up to 3 days.

**Personalised rates: The rate for some customers is based on personalised pricing. Instead of a one-size-fits-all approach, personalised pricing allows us to offer more people personal loans at a better rate, based on an assessment of credit history as well as the information provided in the application.

Unless otherwise specified, the products and services described on this website are available only in Australia from Bank of Melbourne - A Division of Westpac Banking Corporation ABN 33 007 457 141 AFSL and Australian credit licence 233714.