Financial Rape of Australians by Wallet Wizard, Cash Converters and Loan Ranger: Peter Pilt’s Thoughts.


Maybe if you are reading this you are considering taking out a “payday” loan with Wallet Wizard, Cash Converters or the Loan Arranger. I want to be blunt here. These companies are financial bloodsuckers that prey on your desperation. Do everything in your power to not take out a loan with these companies.

Nimble also fits into the blood sucking category. To read my blog dedicated just to Nimble Click Here

I have worked through an example of borrowing $1000 from each company and let me summarise the results before giving the details.

  • Cash Converters charges the equivalent of an annual percentage rate of 68% but is possibly as high as 76.8% – its a little ambiguous.
  • Wallet Wizard charges the equivalent of an annual percentage rate of 69%%
  • Loan Ranger charges the equivalent of an annual percentage rate of 56%

This is simply financial rape. This simply is preying on the poor and vulnerable. It is outright exploitative….

Whenever is a 70% interest rate justifiable? Why does the Australian Government allow the operation of Loan Sharks within it’s borders. For the record the highest interest rate legal under Australian law is 90%. What is that about????

Now I understand that people who take these type of loans often have a poor credit reference rating and are therefore the loan must carry a risk loading. But considering an unsecured personal loan from an Aussie bank is sitting about 13% how do these companies justify a 57% risk loading?

It simply is not right.

And if you are looking at using one of these companies or similar I would strongly encourage you to look for alternatives including the program called NILS – No Interest Loan Schemes:- Click here for the NILS Website 

Here are the details of the examples I worked through.

1) Wallet Wizard

If you borrow $1000 from Wallet Wizard you will repay $211.67 per month for 6 months. See Image 1

This is a total repayment amount of $1270.02 which means you paid $270.01 in interest.

Plus as the second image  shows you will have paid a $45 application fee and a $1.15 per week ‘service fee’: Which all up totals $74.90 for the example we are working through.

So $270.01 + $74.90 = $344.92

or 34.5% over 6 months or annualised to 69%






2) Cash Converters

If you borrow $1000 from Cash Converters, you would pay back $680 over and above the original $1000 which means you have paid the equivalent of a 68% interest rate. Now if you look at the image below you will see they are saying that the average loan repayment is $34 per week  over a year. Well if you work that out 52 X 34 it equals $1768 which would make the interest rate 76.8%.


3) Loan Ranger

With the Loan Ranger they charge you an up front fee of 20% of the principal and then a 4% fee per month. So 20% plus the 4% per month works out at approximately 56%.   20% + (4% x 12)= 56%. Now this isn’t entirely right as the 4% would be reducing each month so in the interest of being fair it probably is more like a 50% interest rate instead of 56%. However if you are late with a payment they charge you a fee of $38.50. Still exorbitant in any one’s world. 





Reality is that these finance companies are nothing more than Loan Sharks who prey on the financially weak and financially vulnerable. As a Pastor I look  in the bible to where the Prophet Amos was chastising the Nation of Israel for exploiting the poor whilst they enjoyed unprecedented prosperity. I wonder what Amos would say to Australia as a nation as we sit back and silently allow this exploitation of people in financial trouble.

Anyway that’s what I think.

You may also be interested to read some other blog posts about money that I have written:

Ps Peter Pilt

For the record: Global Care, the organisation I work for, runs several significant NILS operations.

If this Blog has been helpful, informative or inspirational to you, please feel free to share it on Facebook or Twitter. Email Subscriptions to my blog are welcome or you can contact me through Facebook (,  Twitter (@PeterPilt) or Insta (@PeterPilt). Have a great day.

Categories: Australian, Current Affairs, Financial

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34 replies

  1. Hey peter you underquoted wallet wizard. In your second photo it shows that loans under $2000 incur an application fee of 15% not just $45 as you have calculated. Therefore on $1000 loan the application fee would be $150!!! Plus the service fee is 2% p.m. ($20p.m) not $1.15p.w. (~$5p.m.).

    • My son got hooked into one of these loans. I had to bail hi, out as he couldn’t afford the repayments and charges an extra $68. So the government makes a big deal of banks not passing on a full interest rate cut but nothing about these leaches that passed on nothing. Who’s protecting these sharks? Some big business conglomerate that donates a lot of money to our pollies? The law really needs to be changed to protect some of the most vulnerable in our community.

  2. Absolutely agree. I can’t believe these companies (and similar smaller ones in my area) are legal. They are loan sharks. My brother in law got stuck in a similar loan back in the USA and it took him more than 18 months to pay back a small loan. Why? Because when you are in enough of a state of poverty to consider one of these loans, your income is too low to be able to afford the monthly repayments. These people are criminals acting as corporations under Australian law. Something needs to be done about this.

  3. I can’t imagine why people get sucked into using them. Just wait until you have enough cash to buy these things you feel you can’t go without. Well that’s my opinion anyway

    • It’s not just people who get sucked in. Some people are so desperate for help that they dont have a choice. Im short of getting 4 weeks rent together so i can put a roof over our heads. I lost everything i had a year ago so , yeah. I’m getting desperate enough to consider it.

      • Have you heard of the NILS Program. The No Interest Loan Scheme

      • Talk to your landlord and work out payment options. They should hopefully be glad to help and won’t charge interest – if they’re decent landlords.

      • The NILS that so-called expert Peter is referring to is only available to people who have a pension or health care card and CAN NOT be used for RENT or BOND.

        Wow Peter, you really know your stuff don’t you?

      • Steven, you are so passionate about this. Would be interested to know a little more about you. Do you work in the financial services industry?

  4. You have to wonder where the money comes from in the first place. Money laundering as a result of drug deals, outlaw motor cycle gangs profiting in drugs and getting rid of the money this way…….. I always wonder about this when I see their tv commercials

  5. Get a life Peter. I would have been stick in some pretty bad places without these companies you speak so poorly of. For some, life does not go to plan and emergency funds are required to live. So sick of people like you being so judgemental. In fact I find the fees on these loans transparent unlike other banks and lenders. Yeah fees are high but so is the risk. Grow a brain.

    • We agree on something Jeremy. Both of us are sick of judgemental people. Like for example I find you comments judgemental and hypocritical because you accuse me of being judgemental but can’t seem to see you are doing the very thing you accuse me of.

    • Oh Jeramy if you want to have a crap credit rating and live from week to week then go right ahead this guy is just warning others oh and who says get a life GROW UP MORON

  6. Thanks Peter, I appreciate your helpful insights and calculations (athough I had done the math recently myself too).

    It’s rare that someone goes to the effort of explaining things for the benefit of others, so thankyou again for your generosity and care – and your understanding and compassion for people who use these loans (such as me).

    Also thanks heaps for mentioning NILS – that looks like a lifeline for my family! Good other topics here too by the look of it, social analysis, biblical etc

  7. Basic maths is not your strong point. Perhaps you should employ an Editor for your writing

  8. I remember I needed a loan for a bond I had a single default on my rating under $300 I think. Not one credit provider would take a look at me I even had savings but that did not help I just got knock backs so I tried Cash Converters I applied for the $2000 I got a phone call the next day saying they will not give me the full amount but as quoted by the person on the other end we will see how you go with $1200 it got me out of a jam and helped with my credit rating this all happened in 2009 and I still use this company to this day and wallet wizard because they never gave me the full amounts but at least they gave me a go unlike the greedy useless banks I now have a large amount of savings and it has a lot to do with the companies mentioned and I now get calls from many banks offering all types of loans or ways of supposedly trying to make my life easier I just toy with them and tell them where to go and threaten to remove my savings. At the end of the day places like Cash Converters do help out a lot of people I think it all comes down to how people use the cash their is a high interest amount but at least they do take a look at your current situation and not just blow you off I will stay loyal to these companies just for helping me when I really needed it these kind of companies should get more acknowledgement for what they do do instead of having their names dragged through the mud I think everybody’s best option is to boycott banks altogether believe me when life has taken a beating to you and all hope is lost I can promise you no bank will take one look at you this is just my 2 cents.

  9. We are desperate thats why we go to them. They helped me when the fakan bank that ive been with for 20 years wouldnt help! I know its a lot of interest but everyone is different. Most of you have money to save because you get paid well but we are not all on that category. Be happy with what you’ve been blessed with. I have no issues with cash converters and wallet wizard because they helped me and my family when no one else can.

  10. As soon as you mentioned the bible, your article lost ALL credibility.

    These ‘loan sharks’ as you call them are regulated heavily. Their fees are transparent AND they MUST act responsibly when lending money. The people who complain have either had their loan application rejected or just want to have a whinge like you do.

    And something else Peter. No-one forces people to take out loans. There is a whole process people need to go through in order to have their loan assessed. As we are all adults, we need to take responsibility for our actions, so if we are caught in a financial bind and need to turn to one of these companies for a loan, then so be it. I’ve never heard of any of these companies you mention sending people bankrupt, however, major banks often do, or people lose their houses as a result. Mainly because the big banks have given people massive loans that they are unable to repay especially when the interest rates go up.

    These fast loan companies set it all out for an applicant. They will do a credit check and want to make sure that the person is able to pay their loan back. If the company believes, based on the information provided, that the person will struggle to pay back the loan, then they will NOT approve the application. Simple.

    People need to read all terms and conditions before they enter into ANY loan, not only these types. These small loans serve a purpose and people can apply for them if they want. People can make up their own minds if the loan is suitable for them or not. Simple.

  11. Hi Pete thanks for this, my wife is starting her make up course soon and it means alot to her considering she hasn’t worked or done anything for herself in the past 7 years due to staying at home. I’m glad I did a bit of research before hand. God bless.

  12. I have used wallet wizard and others a number of times. I am ex bankrupt try getting a loan with that over your head. These companies helped me get a start again and a credit rating. Why not check the big banks a $5,000 loan from the bank I have been with for 15 years quoted $11,052 in repayments over 2 years. So my point is get your facts correct jerk

    • So Bruce,

      Why exactly am I jerk…..Simply cause I have a different opinion to you?

      Or a different experience to you with Wallet Wizard?

      Not sure if that makes me a Jerk or you having some anger issues

  13. Who fucking cares. Gimmi da cash

  14. Hi Peter,
    You absolutely right, goverment should step in and closed web sites of these scamersand protect the public.
    I had recently applied with wallet wizard for small cash and have been rejected even working with full time job.
    Probably they assume loan money will be paid back sooner as they not planed.
    Also hiden costs and fees not advertised.
    Thanks Peter for your efort to help and inform public.

  15. Thank you, Peter,

    Thank you for the valuable information. I to looked at Wallet Wizzard some years ago and for a loan of $1000 before getting the money it had already escalated to $1250.
    The comments by Steven above who obviously works for a loan shark are a disgrace. and of course, as Steven eludes these are small loans basically that go under the banner and hit, the so many unfortunates that are desperate small fund wanters, not banks who don’t entertain such small amounts but these sharks who enjoy reaping those less fortunate.
    yes, there are regulations but are so unregulated as to be criminal.
    just looking at the amount of advertising on the TV you have to say they ( small loan operators ) are a significant advertiser to all TV channels and probably the most advertiser in the country other than and you’ve guessed it GAMBLING.

    Just by saying everything is in print when you apply but forget to tell you the wording your reading cost them
    millions in legal fees as a get-out clause’s to save their illegal practices.

    keep your guest moving forward

    Keith jennings

  16. Hi Peter, its too bad you cant get the message across to everybody. I loathe these bottom feeders, I have seen these sharks prey on the desperate. Unfortunately they are no different than drug dealers peddling to addicts, they know they are going to get return customers because they keep them in debt by their high interest no mercy loans. cheers Don

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