How we find you the cheapest loan:
- You can borrow £1,000 to £500,000 for 1 to 25 years.
- We can find you the best lender from over 500 loans.
- We only work with regulated and qualified financial advisors.
There are several reasons why you may have a bad credit rating. If you do have CCJ's or other credit problems, specialist companies will offer you a bad credit loan, although at a higher than average rate.
Having a bad credit rating doesn't mean you're a bad person. It also doesn't necessarily mean you're not financially astute. Your credit rating is based on two types of tests. The first is a credit assessment, usually done by one of two companies: Experian or Equifax. You should get your free Experian credit report online and see the information lenders see. If you are refused credit and you don't know why, you MUST do this - there are plenty of cases of people wrongly losing their credit status because of ex-partners or business complications that are totally unjustified.
A bank loan is what olden people would call a personal loan. These days, borrowing is much easier, and can be done in five minutes online. You don't have to go to a bank, in fact banks are often the last place to go in terms of price.
These days there are plenty more places than a bank to go for a bank loan. Supermarkets and online lenders all offer loans, and there are specialist lenders for flexible or bad credit loan products.
A bridging loan is a specialised loan. Usually a bridging loan is used to cover shortfalls between buying one property and selling another, or to cover businesses between funding tranches.
A bridging loan is a specialised type of loan taken out over a very short period of time. You will know already that a standard loan gives you the money now, and schedules repayments over a fixed term. The cost of the loan is quoted as an APR, the interest you'll pay across a year. A bridging loan is used in specific circumstances to cover a shortfall over a very short period of time. The best example is the process of moving house, where you wish to complete the contract on your new property before the money in your old property is freed up. This can be a huge sum but the term across which the bridge is required might be very short.
Big businesses have plenty of funding options, but for the small player a business loan from your bank is the only real option. Expect a better deal if you're committed enough to bet your house on your business success. Be sure to have a good business plan, and for cashflow shortages, consider factoring too.
A business loan is nothing like a personal loan. To begin with, most of the supermarket or direct lenders will not lend for business purposes full stop. Holidays and home improvements are their stock-in-trade, and business lending operates on very different criteria. Your first port of call should be a bank. Your building society is also likely to entertain lending to you for starting a business, but only if the loan is secured against your home.
Some car loan providers offer special deals like cheaper insurance or breakdown recovery. Other products to consider are personal purchase schemes or flexible borrowing products. And ensure that car purchase is tax effective in the first place.
Along with home improvements, buying a car is one of the most popular reasons for getting a loan. There are plenty of car loan special offers because cars are expensive and for most consumers buying a new car without a credit deal of some sort is impossible. The useful life of a car can predictably outrun the period of the car loan, so it's not a giant leap into the unknown in financial terms.
The career development loan scheme is a government-initiated lending system of convenient loans for vocational training. During the period of the loan, you will only pay off the interest. Once you are qualified and get a job, you can pay off the rest.
This is a slightly complicated area, because there are two types of career development loan.
The cheapest loan can be judged by the APR of the product, and also be sure to see if any benefits associated with the product make it more attractive. Ask about redemption penalties too as they could cost you dearly if you pay the loan off early.
Every lender will tell you they can offer you a cheap loan. But do they mean cheap in terms of monthly payments? That might just mean they'll spread the loan over a longer period than their competitors. You'll pay far more, but it'll feel like less. Perhaps they offer a low "typical" rate which might not be the rate you pay. Most lenders judge each case individually, and you may not be offered the best possible rate. The best rates are always reserved for larger sums, so if you need less than £5,000 it's highly unlikely you'll get the best deal.
With rates from 5% you can have a £2000 holiday for only £200 of borrowing fees. With such benefits, your overall choice of lending includes credit cards and flexible banking.
You would have thought that borrowing money was as simple as looking for the lowest possible APR. Often that's true, but there are other factors too. Here are a few pointers to getting a cheap personal loan.
A consolidation loan is a special type of loan usually secured against your home to help those seriously in debt to recover. By consolidating all your existing debts into one large sum; you can then spread it over a longer period in order to reduce your monthly repayments to help get out of debt.
The principle of a consolidation loan is simple. You bundle up all your existing debts, which might include credit cards, store cards and other loans into one simple loan. The new loan might be over a longer period, thereby reducing your monthly repayments. As store cards can have high interest rates, you might also end up paying a lower interest rate. On the downside, if your old debts have redemption penalties, just closing them down could add to the debt you need to fix.
A debt consolidation loan won't usually reduce your debts, in fact you'll owe more in the long run. This type of loan rather bundles up your existing debts into one lump sum, which you can then pay off over a longer period thereby reducing your monthly repayments to a more manageable level.
The principle behind a debt consolidation loan is that you put together all your existing debts in one large sum. This means the resulting debt is simpler to understand, the repayment will happen once a month rather than multiple times, you can clearly plan ahead and ideally the payments will be lower.
Flexible banking allows you to offset your borrowing against your savings. Flexible loans allow you to borrow within limits whilst only paying interest on the outstanding balance at each billing cycle. That's ideal for taking a break over Christmas or overpaying if you come into some money.
The flexible loan is a by-product of the trend towards flexible banking. It just happens that flexible banking makes the flexible loan a particularly useful product.
The more you can show you're in control of your finances, the better your chance of getting a freelancers loan. With so many people starting their own businesses, many lenders are starting to see entrepreneurs and freelancers as an opportunity not a risk.
Unfortunately, freelancers and the self-employed people fall into the same category as bad debtors in the eyes of many institutions. For many, a freelancers loan is a bad credit loan. The important question to ask is whether you have any proof of income. An accountant's certificate will ensure you a better deal but if you are self-certified you are liable to have some lenders turning you down.
A home equity loan is the honest term for a homeowner loan. The money you borrow is based on the equity you hold in your property. The amount you can borrow depends on the price you bought your property, the amount it's risen in value and the amount of the mortgage you have yet to pay off.
A home equity loan, also known as a home owner loan, is a secured loan based on the value of your property. You'll either have a mortgage or outright ownership of your home to be eligible and if you fail to keep up repayments, then you may lose your home. This is not a lending solution to be taken lightly, usually an unsecured loan is the answer unless you're borrowing quite a lot of money.
A home improvement loan is often cheaper because of the recognised increase in the value of your home. If you don't own your house, expect a standard loan deal to do the job but at a higher premium than a secured loan. At lower amounts, consider the benefits of payment holidays if you'd like a breather before paying.
Home improvements are one of the most popular reasons for getting a loan and it's usually easy to find a lender to give you the money. There are good reasons for this. They only apply to home owners, and chances are that your redecoration or extra building work will add to the value of the house. Home improvements are likely to cover 50% of their costs across the time they are in place in increased value in the property itself. Pop in a conservatory, swimming pool or extension, and you can usually bet the whole price of any home improvement loan will be covered.
If you own your home, you have plenty more home loan options than if you are renting. To improve your home with a secured loan, consider all the usual mortgage lenders; and expect a better rate than an unsecured product.
The term "home loan" can mean "mortgage" - a loan you take out to cover the cost of buying a house. It can mean a loan which is secured against your home such as homeowner loan and home equity loan. And in this context, a home loan is a loan you take out to cover either maintenance or decoration of your home. And more confusingly, the best rates are reserved for homeowners borrowing against the value of their home.
A home owner loan is only available to you if you own your property either outright or under a mortgage. The money you borrow is secured against the property. Fail to pay the instalments and you could end up losing your house. But if you're investing in home improvements, the increase in value of your house could mean you actually make a profit.
The home owner loan is the most common type of secured loan. Unsecured loans are fairly expensive in interest rates because the lender has given you money without security. A home owner loan will be cheaper, not just because it's usually for quite a significant amount of money, but also because the lender is taking less of a risk - the loan is secured against your home, and there's every incentive for you to pay up on time.
A homeowner loan is another name for a secured loan. This is a loan secured against your property. As you are providing security, it will usually be for a larger sum but at a lower rate of interest than unsecured loans.
Technically, a loan can be secured on any valuable piece of property, but in almost all cases it's your home which provides the security; hence the term "homeowner loan".
A loan is a good way to borrow money for things you might not ever afford to save up for. Along with mortgages, loans are a structured way to buy now and pay later; with rates currently between 5% and 12% for a secured or unsecured loan.
Most people think of loans in a very negative way - much more negatively than they think of overdrafts. Maybe it's because loans are associated with being short of cash.
One of the benefits of shopping for loans on the internet is the loan calculator. Instead of showing you lots of tables, you can get two quick answers immediately: "what will my monthly repayments be" for any permutation of loan, and "what can I afford" in monthly outgoings and repayments.
Don't sign up for a loan without playing with our loan calculator first. Because there are so many permutations of amounts and terms that otherwise a mass of tables is required to work a loan out.