Category Financial Services

Frequently Asked Questions (FAQs) About Urgent Caveat Loans

You often hear financial advisors saying that saving for the rainy days is essential to keep one from falling into deep financial troubles. However, with more than 13 million Aussies not having any savings at all, it’s hard not to seek and apply for urgent caveat loans. These kinds of loans are ideal for emergency and urgent financial needs. 

If payday is quite far and you need some fast cash to pay for an urgent bill, hospitalisation expense, or emergency travel, short-term loans are here to alleviate your burden. So, what exactly is the mechanism of these quick cash loans? 

Who are qualified to apply?

Though requirements vary from one lender to another, most of the time, anyone with a steady source of income, is over 18 years old, and has a bank account under his name can apply for a quick cash loan. Compared to the bank and private lending firms’ loans, the requirements for approval of this kind of loan is more relaxed and less complex. You don’t have to present lots of financial documents to prove your capacity to pay. For as long as you have a steady job which can help you pay for the loan, your loan application can be approved. 

Will your credit score matter? 

If you’re filing for a bank loan, your credit score will surely matter. This is not the case with urgent caveat loans. In the latter, you can still apply and get approved even if you have a low credit rating. The good thing is you’re given a chance to redeem yourself. Soon, if you establish a good credit rating by repaying your loans on time, your credit limit will also increase. If you reach this stage, you can repair your credit score.

One factor used in measuring your credit score is the difference between your available credit limit and your loans. If you have a higher credit limit and you have lesser obligations, chances are, your credit score will get better. 

Why is having a bank account necessary for the approval of the application? 

The process of applying for urgent caveat loans starts with answering the company’s online application form. You’ll only provide your name and other contact details. After that, you’ll be asked to provide your ID along with your bank account. Your bank account will be used to deposit the proceeds of your loan. It should be in your name, otherwise, your loan might be rejected. 

The ratio behind such a requirement is to make disbursement easy for the customers, while also protecting the interest of the company. With a bank account, they can be assured that you are exactly who you present yourself to be. This can also serve as the lender’s proof that, indeed, you owed them money. If you refuse to pay your obligation despite diligent efforts from the lender to provide you with helpful payment schemes, the bank transfers made to your bank account will be used as proof of your obligation when they decide to pursue any legal action. 

The best thing about quick cash loans is you get the money you loaned at the time you most need it. You don’t have to wait for days before you get approved, too. For your urgent cash needs, Finance OK got your back!

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Personal Finance: Loans and Loan Amortisation

At some point in your life, you will need a loan. Whether it’s for a new car, house, or something important, loans can help you buy the things that you need. And with loans, you will encounter loan amortisations. In this article, you learn how loan amortisation works to give you additional hints when you sign a loan in the future.

Amortisation is the spreading out the amount of loan and interest in multiple periods. It can be annual, semi-annual, quarterly, and monthly. In this article, you’ll learn how to make a basic amortisation table.

So when a lending company gives you an amortisation table, you’ll how it was prepared and how to read it.

For illustration purposes, here’s our sample situation: On January 1, Mr X signs a $35,000 loan with Y Money Lenders payable every month for five years. The interest rate of the loan is 12 per cent per annum. Payments would be at the end of each month.

Step 1: Determine the monthly payment

To compute the monthly payment, financial institutions use the present value of an ordinary annuity to calculate the amount of interest payment. The formula for the monthly payment would be:

Monthly Payment = Principal Amount
[ 1 – (1 + k)-n ] ÷ k

Understanding the formula will give you additional hints in grasping the concept of amortisation.


  • State the interest (k) every month or 1% (12% ÷ 12 months).
  • Compute the number of periods (). In this case, the number of periods is 60 months (5 years x 12 months).
  • Substitute the amounts in the formulae. Use a scientific calculator to speed up the computation.
Monthly Payment = 35,000
[ 1 – (1 + 0.01)-60 ] ÷ 0.01

The monthly payment must be $778.55.

Step 2: Prepare the amortisation table

Your monthly payment of $778.55 composes of the interest for the month and the principal amortisation. If a lending company tells

The principal amortisation is the excess amount after interest. In a sheet of pad paper or through a spreadsheet, copy the proforma table below:

Date Monthly Payment





Principal Amortisation (PA) Remaining Principal


(MP) (RP1) x (k) (MP) – (RP1) (RP2) = RP1–PA

The remaining principal decreases due to the principal amortisation. By the end of the loan term, the principal will be $0.

Date Monthly Payment Interest


Principal Amortisation Remaining Principal
Jan. 1 35,000.00
Jan. 31 778.55 350.00 428.55 34,571.45
Feb. 28 778.55 345.71 432.84 34,138.61
Mar. 31 778.55 341.39 437.16 33,701.45

If you’re using a spreadsheet, you can just drag down the amounts.

Analysis of the amortisation table

Look at the partial amortisation above. Do you notice anything? If yes, you must’ve seen that interest payments decrease and the principal amortisation increases. What could this mean?

In simple words, your interest payments decrease because you’re paying small portions of the principal over time. If you continue the table up to the sixtieth payment, you’ll see that the principal amortisation is more than the interest payment.

Now that you know how amortisation works talking to a lending company would give you additional hints on the payment schedule works. For lending services, visit

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Equity Investment | What Are Dividends and Their Kinds?

In equity investment, the return on investment (ROI) takes the form of a dividend payment. Dividend payment and frequency are part of the factors that investors take into consideration when investing in equity. If you’re a first-time investor, then this article will walk you through the basics of dividends and how they play an important part in growing your wealth. For more professional financial advisory, consult investment managers, like Truebell Capital, to know more about equity investments.

Truebell Capital


In finance, dividends are the ROI for the investors. A corporation’s board of directors declares dividends. However, dividend payments are not required at fixed periods. Corporations may opt to pay dividends only when they can pay.

Regulatory frameworks may have laws and regulations that control the payment of dividends. You may visit to get started in investing.

Dividends in Australia

In Australia, the Corporation Act 2001 governs how corporations declare and pay dividends. However, investment managers, like Truebell Capital, can help you understand how it works and how it applies in reality. Below is a bullet summary of what you need to know about it.

  • Dividends are declared when the following requirements are satisfied: (1) there are sufficient assets; (2) it is reasonable for the stockholders; and (3) it does not affect the ability of the corporation to pay its creditors.
  • The corporation has sufficient profit to meet the corporation’s constitutional requirements.
  • Profits and dividend payments are ascertained on a company basis. A corporation must pay dividends based on its separate performance and not based on its consolidated financial statements.

The investment team at Truebell Capital is knowledgeable about the latest changes in laws, accounting practices, and taxation guidelines in Australia. Visit them to seek expert advice about investing.

Kinds of dividends

Dividends may be paid in different forms. Here are the examples:

  • Cash dividend. It is the most common type of dividend paid to stockholders. It may be on a per-share basis or a total basis. If the corporation declares a $1.20 cash dividend per share, you get $1.20 for every share you hold.

In contrast, if the corporation declares $100,000 for the total amount of dividends, your share will depend on your percentage of ownership in the corporation. Let’s say you own 5 per cent of total shares. Thus, you receive a dividend of $5,000.

  • Property dividend. If a cash dividends come in the form of cash, then property dividends come in the form of properties. Corporations may distribute properties as dividends or distribute assets other than inventory.
  • Stock dividend. If you ask an investment manager at Truebell Capital, a stock dividend is perhaps the most attractive kind of dividend. Instead of property or cash, you get to receive additional stocks. In effect, your ownership increases.

Stock dividends are often 25 per cent and below of the total shares. If you have 1,000 shares, you’ll get an additional 250 shares due to a stock dividend.

  • Liquidating dividend. This kind of dividend is only paid when a corporation is liquidating. This dividend is not an ROI, but rather a return of capital.

If you want to invest in equity, visit to know the best steps and options to take.

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