New to finance? How to find the best loans – expert assistance, ASIC advice

To find their best loans, new borrowers can refer to resources provided by ASIC for financial advice and use a finance broker to source the most suitable loan. ASIC recently published the outcome of their research which revealed that social media and AI were dominant influences when many young Australians made their financial decisions. While the research findings primarily discuss cryptocurrency investments, the same concept can also apply when borrowing money.

Expert assistance, advice and resources are readily available to assist all borrowers – even first timers, find their best loans. Seeking professional advice on finance decisions is always important. With the Reserve Bank increasing the cash rate twice this year already, that advice may make a big difference to your loan.

We take advantage of this timely warning from ASIC on investments to explain why sourcing trusted, reputable and professional services when borrowing can also be critical to individual financial circumstances.

ASIC Alert

In revealing the results of their recent research on Gen Zs, ASIC has urged younger people to ‘sense check’ advice sourced regarding money. Stating that social media can fuel risky decisions around finances.

The research showed that nearly 66% of Gen Zs use social media and around 20% use AI when making financial decisions. The study found that while many had a ‘strong appetite’ for content that was trustworthy, searches often led to sources focused more on engagement than accuracy. Outcomes which were seen as contributing to riskier decisions, especially in regard to cryptocurrency investment. On a positive note, the research revealed that 60% did use professional or formal sources and 50% friends and family. But social media was a dominant influence.

Alan Kirkland, the ASIC Commissioner, said that while social media was part of our lives, younger Australians should seek a balance with evidence-based and reputable information. Taking time to check and compare the information with trusted sources. Mr Kirkland said social media financial information and from AI may be incomplete, misleading and of a promotional nature.

Why is it Important to Get Your Best Loans?

While the ASIC study results discuss investment primarily, many may use the same sources and tools when making loan decisions. Sources which may limit the opportunity to find the most suitable and best loan available.

Loan products, interest rates, terms and conditions vary across the lending market. Consumer loans for cars, boats, motor bikes, caravans and personal items can have numerous differences depending on the lender and the individual borrower.

The interest rate affects the repayments. You will be making these repayments every month for the term of the loan. Sign up to a loan with a rate higher than you may have been offered and you’ll not only pay more than you could have each month, but you’ll be paying more than you could have for the goods.

If the repayments put pressure on the budget this could lead to a loan default. Default on a loan and not only might the goods be repossessed, but the borrower can have their credit score significantly damaged.

In the current lending market with rates recently increasing, it is more important than ever in the past few years to ensure you have secured your best rate and your best finance offer.

Best Loans Assistance – Using a Broker

Using a trusted, licensed finance broker provides borrowers with access to professional expert advice and a vast selection of lenders. All borrowers can use the services of a finance broker with no referral required.

Brokers are licensed through ASIC and must adhere to the Guide for Responsible Lenders. Providing borrowers the assurance that their best interests are being addressed. Brokers are not lenders. They have accreditation with lenders. This allows them to source loans for their clients through those lenders.

A broker will take your brief, discuss your financial objectives and find you the most suitable loan to meet your requirements. At Jade, we are accredited with more than 80 lenders. This allows our brokers access to extensive coverage of the lending market and the ability to find the best possible rates.

There is no need for borrowers to risk relying solely on influencers, social media and AI when real people, finance professionals, are available to assist them in sourcing their finance. Whether it be for a car loan, marine finance, motorbike, or a personal loan for a range of expenses, your Jade broker will find your best offer.

Personal Loan Resources - Moneysmart

Resources are also available through ASIC’s Moneysmart website. The site recently received a refresh and provides important educational material to assist borrowers to make more informed decisions around their finances.

Moneysmart provides a free resource which is independent and packed with trusted information and can make a great starting point for those that are new to taking on a loan.

For trusted, reliable services to find your best loans, contact a Jade Finance broker.

DISCLAIMER: NO LIABILITY IS ACCEPTED IF ERRORS OR MISREPRESENTATIONS ARE FOUND IN THIS ARTICLE. THE ARTICLE IS PREPARED AND PRESENTED FOR GENERAL INFORMATIVE PURPOSES AND IS NOT INTENDED TO BE THE SOLE SOURCE OF INFORMATION FOR MAKING FINANCIAL DECISIONS. THOSE REQUIRING GUIDANCE AND ADVICE SHOULD CONSULT A FINANCIAL ADVISOR.