The Lending People

Eligibility and documents to prepare

The basic criteria above do not establish whether an application will be approved. Current income thresholds, visa eligibility and treatment of adverse credit were not verified.

Prepare identification, evidence of income, recent bank statements, living costs and details of existing commitments. Ask which documents and statement period are required. For consolidation, obtain settlement figures showing what each creditor needs to close the debt, including any early repayment charges.

Assess affordability using the proposed repayment, essential expenses and debts that will remain outside the consolidation. A repayment that leaves no allowance for irregular bills may be difficult to sustain.

When consolidation may be useful

The Lending People may be worth investigating if several repayments are difficult to coordinate and a written offer provides a workable repayment schedule. Compare it with other debt consolidation options using the same balances and repayment period.

Reconsider transferring debts that are interest-free or almost repaid: new interest and charges could outweigh the convenience. If borrowing regularly covers a shortfall in essential spending, explore debt management support before adding another credit agreement. Your existing creditors may also consider changes to repayments.

How to approach an application

Application and settlement

The reviewed terms describe an online assessment that may result in conditional approval, a decline or a request for further information. Conditional approval is not a final lending commitment.

Before accepting, identify the creditor, review the complete quotation and agree which debts will be settled. Confirm whether the provider pays creditors directly or requires you to arrange repayment. Continue existing payments until settlement is confirmed, and check whether cleared credit facilities also need to be closed or their limits reduced.

The reviewed privacy statement permits information sharing with product providers, related entities and service providers. Read the current consent wording before submitting financial records.

Decision and payout timing

A current approval or settlement timeframe could not be verified. Ask separately when assessment should finish, when the agreement becomes unconditional and when existing creditors should receive payment.

Questions that affect the value of your offer

• Who is the creditor, and which debts will the loan settle in full?
• What are the interest rate, repayment frequency, final repayment date and total amount payable?
• Which lender or intermediary fees apply, and will any be added to the interest-bearing balance?
• Does the comparison include settlement charges on my existing debts?
• Is insurance required or optional, and what exclusions, waiting periods and premium costs apply?
• Can I make extra payments or settle early, and what would that cost?
• Will any asset secure the loan, and what happens if payments are missed?

Advantages and limitations

• Potential advantage: The documented service offers access to direct lending or available external providers, rather than only one lending route.
• Potential advantage: Consolidating suitable balances can reduce the number of repayment dates to manage.
• Limitation: Access to available providers does not establish that an offer is the cheapest across the market.
• Limitation: Fees and a longer term can absorb interest savings. Reusing cleared credit facilities can leave you owing both the consolidation loan and new debt.
• Verification limit: Current pricing could not be confirmed, so this review cannot rank The Lending People on cost.

Interest, fees and the full repayment cost

Obtain a current written quotation rather than relying on historical advertised rates or limits. Check all upfront and ongoing charges, any intermediary fee, early settlement costs and the consequences of missed payments. If insurance is included, establish whether it is optional and whether interest is charged on a financed premium.

The decisive comparison is the remaining cost of repaying your existing debts against the full cost of the proposed loan, including transition costs. Compare both the instalment and the debt-free date. Other personal loan options can provide a useful benchmark.

Illustration: a lower instalment can cost more overall

Original calculation, not a Lending People quotation: Assume NZ$10,000 borrowed at a fixed 15% annual interest rate, calculated monthly, with equal monthly payments in arrears. Exclude fees, insurance and existing-debt settlement charges, and assume every payment is made on time.

• Three years: Approximately NZ$346.65 monthly; NZ$12,479.52 repaid in total, including NZ$2,479.52 interest.
• Five years: Approximately NZ$237.90 monthly; NZ$14,273.96 repaid in total, including NZ$4,273.96 interest.

The longer term reduces the monthly payment by about NZ$108.75 but adds approximately NZ$1,794.44 in interest. Totals use unrounded calculated payments; actual lender calculations and final payments may differ.

Is The Lending People worth considering?

The documented choice of direct lending or an external provider is its strongest practical feature. Its value for consolidation depends on the resulting offer: the creditor, charges, repayment period and settlement arrangements matter more than obtaining approval. Compare the complete cost with keeping your existing debts on their current repayment schedules. A higher total cost may buy necessary monthly breathing room, but that trade-off should be explicit.

The Lending People debt consolidation FAQs

Is The Lending People the lender, or will it arrange a loan elsewhere?

The reviewed application terms describe both direct lending and loans arranged through other providers. Ask which route applies to your offer, which lenders were considered and who will manage repayments. Access to several providers does not establish that the whole market has been compared. The creditor named in your agreement determines the applicable lending terms.

Could applying through The Lending People cost more than approaching a lender directly?

Potentially. The reviewed terms allow an intermediary fee for loans arranged with another creditor and disclose that provider commissions may be received. Current charges need confirmation. Request an itemised breakdown separating The Lending People’s fee, the creditor’s fees and any insurance premium. Where available, compare a direct quotation for the same borrowing amount and term. Fees added to the loan balance can also attract interest.

Should I consolidate every debt, including interest-free balances?

Ask which debts the proposed lender accepts, then assess each balance separately. Moving interest-free purchases or a nearly repaid loan into a longer interest-bearing agreement can increase their cost. Request quotations for consolidating only the expensive debts versus all eligible debts. Any balances left outside consolidation must still be included in the affordability assessment.

Can I compare options with The Lending People without multiple credit enquiries?

A current bad-credit acceptance policy and credit-enquiry process have not been verified. Before submitting an application, ask whether the initial quotation creates a recorded credit enquiry, which business performs it and whether referrals to additional lenders trigger further enquiries. One application does not necessarily mean one credit check. Disclose defaults upfront and ask whether they affect eligibility or the likely pricing range.

How can I tell whether its offer improves on my existing debts?

Request a comparison using the same settlement balances and intended debt-free date, without adding extra spending money. Include new fees, insurance where applicable and charges for closing existing loans. If the proposed instalment falls mainly because repayment extends for several more years, the benefit may be cash-flow relief rather than savings. The repayment illustration shows how these outcomes differ.

Will The Lending People settle my debts and close the old accounts?

Direct settlement arrangements were not verified for current offers. Confirm who obtains settlement figures, who transfers the money and who checks that each balance is cleared. Paying off a balance and closing a credit facility are separate actions. Ask whether account closure or reduced credit limits are conditions of approval, and check for residual interest before cancelling existing payment arrangements.

What should I compare if I expect to repay the loan early?

Request the estimated total cost up to your intended payoff date, including any early settlement charge. Also establish whether extra payments reduce the term, reduce subsequent instalments or require instructions from you. Part-payment rules and full-settlement rules may differ. This matters when comparing a lower advertised rate with an alternative offering more economical early repayment.

How could loan insurance change the value of the offer?

A current compulsory insurance requirement has not been verified. If optional cover is offered, request quotations with and without it, including interest on any financed premium. Check whether employment status, pre-existing conditions, waiting periods or benefit limits restrict the protection you expect. Compare the policy’s usable cover with its full borrowing cost, rather than judging it only by the increase in the regular repayment.

Who handles repayment difficulties or complaints when another lender provides the loan?

Start with the creditor for repayment difficulties, and with The Lending People for concerns about its arranging service or advice. Its reviewed terms list 0800 899 879. For an unresolved complaint, use the dispute resolution scheme identified in the relevant business’s current disclosure. MoneyTalks can connect you with free, confidential financial mentoring support on 0800 345 123.