FAQs
How can I get a personal loan?
Use this comparison to find the cheapest loan that offers the amount you want to borrow. You can thenapply online, by phone or by post.
How much can I borrow with a personal loan?
Most personal loans let you borrow up to £25,000. However, how much you can borrow will depend on your income and your credit history. Some lenders will offer significantly more than that, for instance up to £50,000 is relatively common.
What does APR mean?
APR (Annual Percentage Rate) is the amount of interest you would pay across your loan’s total value over a year. This typically includes arrangement fees. Lower rates of APR mean lower monthly payments.
What happens if I miss a payment?
You may be charged a fee and pay more interest because you will owe money for longer. It could also impact your credit rating, making it harder and more expensive for you to borrow money in the future.
How long can I borrow for?
Most personal loans let you borrow between one and five years, but you may be able to borrow for longer.
Can I cancel my loan?
Yes, you have a 14-day cooling off period to cancel your loan. But you must pay back any money borrowed during that time, within 30 days of cancelling.
Are unsecured loans hard to get?
Yes and no. While the process of getting an unsecured loan is simple, and can be completed in a few minutes, there are some people who will be rejected if they fail to meet certain requirements or fail a credit check. There are easier loans to get approved for, however they tend to cost more.
Does an unsecured loan hurt your credit score?
Personal loans have three direct effects on your credit report. First, any formal application is recorded on your credit file. That means other lenders can see it, and making a lot of applications in a short space of time can be frowned upon. Second, your payment history is visible to others. That's great news if you pay up on time each month, but missing or being late with payments can negatively impact your score. Finally, if you apply for other forms of credit in the future, for instance a mortgage, any existing debts will be factored in when the provider calculates what repayments you can afford.
