A personal loan in the UK is an essential financial aid used during a financial emergency or when you find yourself in a situation requiring funds you might not have planned for. Luckily, there’s no shortage of lenders offering personal loans, varying from traditional banks to online loan platforms.
Finding the right low-interest loan option requires a clear understanding of your need, knowing how to look for the right loan for your situation, and knowing your capability to repay it.
This will also help determine what interest rate will serve you best. So, make your decisions wisely and then look for the right loan with the lowest possible internet rate for your individual situation.
When looking for a personal loan, it’s imperative to know and compare loans based on interest rates, APR, other fees, charges, etc., of various banks, lenders and financial institutions, and that process can be very cumbersome.
Chances are you might get lost. So, here’s a handy list of the best personal loans in the UK with low interest rates laid out for you to help make your decision-making process a lot simpler.
Here’s a table comparing various personal loans and their specifications, including interest rates, APR, loan amount range, tenure, eligibility criteria, etc.
Lendable provides fast loans at fair rates. They let you check your rate before applying for a loan without affecting your credit score. Simplicity, speed, and transparency are their core values. They create a platform that uses data and technology to streamline personal finance and make it more user-friendly. With Lendable personal loans, there’s no need to stand in line at a branch or get caught in hold cycles on busy customer care hotlines. Neither is there any need to fill out protracted forms or deal with paper-based applications.
Representative Example: Assumed borrowing of £7,500.00 over 36 months at 26.8% APR representative. Monthly cost of £294.04. Total amount repayable of £10,585.55. Interest rate of 21.7% p.a.(fixed) and total fees of £435.00.
BetterBorrow specialises in getting you the quickest of quotes on the interest rate and APR on your personal loan. It’s straightforward to apply for a loan with them. There’s no place for messy paperwork or long forms in their processing. A quick and easy loan designed by BetterBorrow loans gives you a better borrowing experience. Once you’ve decided on their loan, applying takes just five minutes, and you’ll have your money in two hours. Your loan can be fully managed online.
Representative Example: 27.3% APR Representative based on a loan of £5,000, repayable over 42 months at an interest of 23.7% pa (fixed). Monthly repayment of £178.12. Total amount payable £7,480.93. Our representative APR applies to loans from £1,000 to £12,000, for terms of 12-60 months.
Created by the British Bank Chetwood, LiveLend believes in the optimum use of technology for the best customer experiences and product innovation. Getting a quote from LiveLend doesn’t affect your credit score, and they offer some of the lowest interest loans for good credit profiles. The technology used by LiveLend loans enables them to provide service levels and product innovation that would not be possible using traditional methods. Their online system provides a proactive, helpful and personable approach to their clients.
Representative example: 25.7% APR Representative based on a loan of £5,000, repayable over 42 months at an interest of 25.7% pa (fixed). Monthly repayment of £174.65. Total amount payable £7,335.28 Our representative APR applies to loans from £1,000 to £12,000, for terms of 12-60 months.
Lending Works has evolved to Fluro for loan customers. Introducing Fluro personal loans, where borrowers can expand their access to managing loans, get real interest rates, and manage loans in their own way. Whether it’s for home renovation, a big purchase or consolidating loan, You can complete the easy application process in 3 minutes and your approved loan will be in your account in within 24 hours. Plus, they allow you to make overpayments at no extra cost.
Representative example: Assumed borrowing of £7,500.00 over 48 months at 16.9% APR representative. Monthly cost of £211.47. Total amount repayable of £10,150.38. Interest rate of 15.7% p.a.(fixed) and total fees of £150.00. Available for loan amounts between £5,000 – £25,000.
Apply online within minutes and get an instant decision on your loan application. Shawbrook offers fixed rates upfront, which are guaranteed. Their service is quick, and their team is efficient and helpful to borrowers. Through strategic partners and directly to consumers, Shawbrook offers personal loans. They make quick, fair credit judgments with clear pricing using effective procedures, human monitoring of underwriting, and cutting-edge technology.
Representative Example: for comparison purposes, 14.7% APR Representative based on a loan of £10,000 repayable over 60 months (five years) with an interest rate of 14.7% p.a. (fixed). Monthly payment of £231.62 total amount repayable £13,896.65.
Zopa was the first to work as a peer-to-peer lending company. In 2020, they got a full banking license. They offer credit cards, deposit accounts, and bank loans at legitimate interest rates for various purposes. They closed their peer-to-peer platform in December 2021.
For the past 16 years, Zopa loans has been a driving force in finance. They established the first peer-to-peer (P2P) lending business in 2005, giving their clients access to loans designed for practical investments supported by cutting-edge technology.
Representative example: A loan of £10,000 over 5 years will cost you £255.50 per month at a representative 19.9% APR.The total cost after 5 years is £15,329.80, which includes £5,329.80 interest at 19.9% fixed and a £0 fee. The total amount of credit is £10,000.
Representative example: Borrowing £2,000 over 24 months at Representative 39.9% APR and Interest rate 39.9% p.a. (fixed) with monthly repayments of £116.07 and a total amount payable of £2,785.68.
Representative example: If you borrow £3,00.00 over 24 months. Rate of interest 47.73% per annum (fixed). Representative 59.7% APR. Total amount payable £4,711.38 of which £1,711.38 is interest. 23 monthly repayments of £196.31 and a final payment of £196.25.
Representative Example: Representative APR 99.9% (fixed). Based on a loan of £3,000 over 24 months at an interest of 71.3% p.a. (fixed). Monthly repayments of £237.75. Total amount payable £5,706. Maximum APR: 299%.
Loans2Go is also a friendly lending platform that prefers quickly passing loan applications. They decide in seconds about the loan. And they can complete the procedures in 15 minutes. Loans2Go aims to serve every customer fairly and provide them with the knowledge and support they need during the term of their loan agreement.
Representative example: If you borrow £550 over 18 months at a flat rate of 180% per annum (fixed) with a representative 770% APR you will make 18 monthly payments of £113.06, repaying £2,035.08 in total.
118118 Money loans provide personalised financial solutions at affordable interest rates. They offer credit cards and pre-approved personal loans, taken by more than a million people every year. Before you fill out a full application for one of their unsecured loans, the eligibility checker of 118118 loans will tell you whether or not you qualify without affecting your credit score. 118118 Money loans accept applications from people who have not-so-impressive credit histories as well.
Representative Example: Representative APR 49.9%. Based on a loan of £2,000 over 24 months at an interest of 41.2% pa (fixed). Monthly repayments of £123.64. Total amount payable £2,967.43. Maximum APR: 79.9%.
The personal loans offered by the post office come with legitimate interest rates and APRs. You can get the loan approved within 24 hours in most cases, provided you fill in all the information correctly in your application form. The tenure for post office personal loans is flexible – Starting from 1 year to a maximum of 7 years. And you can borrow anything between £1,000 and £25,000. There is a facility for paying off your loan early. However, they charge you 58 days’ worth of interest if you make early payments.
Note: Post Office loans are provided by Bank of Ireland, and Post Office works as a credit broker for such Personal Loans.
Representative example: Based on a loan amount of £4,000 over 36 months at an interest rate of 14.9% p.a. (fixed). Monthly repayment £136.65. Total amount repayable £4,919.47.
Representative example: If you borrow £10,000 over 5 years at a Representative rate of 5.1% APR and an annual interest rate of 4.9845%, you would pay 60 monthly installments of £188.64. The total charge for credit will be £718.40 and the total amount payable will be £10,926.00.
Lending Stream loans can be your perfect alternative to a payday loan with good APR and flexible tenure. They send cash to your bank at lightning speed if you are applying for a short-term loan and your application gets approved. They don’t base approval heavily on your credit history. Lending Stream loans encourage access to short-term finance that you can use when you need it. Often, it can be highly beneficial. Additionally, they work on the principle that short-term financial issues do not necessarily indicate that someone has credit.
Representative example: At a Representative APR of 1333%, if you borrow £200 over 6 months at 292.0% p.a. (fixed), you would owe 6 equal repayments of £64.44. You will repay £386.61 in total. .
My Community Finance offers community-backed personal loans. Their loans are quick and easy to get. Plus, you get access to the network of ethical lenders and credit unions.There is a membership structure for each credit union in the Community Finance Network.
Representative example: A loan of £4,500 to repay over 48 months. Representative 23.30% APR. Each month you’ll pay: £139.66. Your total repayment over 48 months will be: £6,703.57. This includes £2,203.57 interest at 23.30% pa (fixed) and no fees.
The Money Platform offers short-term personal loans at lower interest rates while providing total security and anonymity. Its loan application process is swift and user-friendly. The Money Platform is a peer-to-peer lender, which simply implies that you can borrow money from regular savers for a reduced interest rate rather than a bank or a payday lender. Banks and payday lenders charge more for loans than Money Platform loans.
Representative example: A loan of £500 to repay over 6 weeks. Representative APR rate of 839.20%. You will be paying one payment to pay off your loan. Your total repayment after 6 weeks will be: £647. This includes £147 interest at 255.5% per annum.
Wagme Loans offer flexible repayment and process your loan online within minutes. You get short-term loans starting from £50, £100, £250, £500 to £5,000, which is convenient when you need a small amount. Wagme loans provide quick loans with a maximum one-month term for people and enterprises with immediate cash flow problems. Only borrowers whom they believe can swiftly repay their loans receive their extremely selective lending. Instead of extending the line of credit, it is their objective to encourage consumers to make prompt repayments.
Representative Example: Amount of credit: £1,200 for 18 months at £90.46 per month. Total amount repayable of £1,628.28 Interest: £428.28. Interest rate: 49.9% pa (variable). 49.9% APR Representative. Rates from 45.3% APR to 1721% APR.
QuidMarket loans offer short-term personal loans directly provided by the lender. These short-term loans are better than payday loans. They are easily manageable and are available to you for a longer tenure. Before you sign the loan agreement, the fees of QuidMarket loans are clearly displayed. They value every customer’s privacy and never disclose information without consent.
Representative example: Borrow £300 for 3 months / Interest payable £154.37 / Total amount payable: £454.37 in 3 instalments / 3 payments of £151.46 / Representative 1297.6% APR / Interest rate 292% per annum (fixed) / Maximum APR 1625.5%.
Oplo Personal loans are available for any type of expense. They also offer home loans. This platform believes in investing in a person’s prospects rather than history. With Oplo Finance, you could borrow from £2,000 to £15,000 of potential powering cash, for a variety of reasons, and spread your repayments across 24 to 72 months. Oplo Personal loans can make life’s big purchases possible!
Representative example: If you borrow £6,915 over 47 months at a Representative rate of 30.8% APR and an annual interest rate of 13.92% (fixed), you would pay 46 monthly instalments of £240.33 and one final payment of £240.33. Total amount payable £11,295.71 with an acceptance fee of £395.
CashFloat Finance loans provide other types of loans like payday loans and personal loans. They are one of the UK’s top direct lenders of unsecured credit. Their financial solutions are fast, simple, and flexible. CashFloat customers will have the opportunity to take out larger loans with longer terms. People with fair credit scores might use these loans to break the cycle of payday loans. CashFloat finance loan loans can offer greater financial relief than taking out many modest payday loans to cover short-term financial needs.
Representative example: Borrow £700 for 6 months. 1st monthly repayment of £168.45, 4 monthly repayments £224.60, last monthly repayment of £112.20. Total repayment £1,179.05. Interest rate p.a. (fixed) 185.39%. Representative APR 611.74%. Daily interest is capped at 0.793%. Rates between 295.58% APR and a maximum APR of 1294%.
DotDot loans try to support less-than-perfect credit scores as much as possible. They work 24/7 to approve loans fast and don’t charge any hidden costs. Their UK-based customer service team is super-efficient. We understand that unexpected costs need to be resolved quickly, therefore their loans are designed to be as convenient as possible. You can apply for a DotDot loan in just 5 simple steps, and borrow between £100 and £1000, subject to affordability. You can choose to repay your loan in regular instalments over 3 to 9 months, depending on how much you borrow.
Representative example: Borrow £250 over 6 months with monthly repayment of £133.65. Total amount payable £400.95. Interest rate 284.76% p.a. (fixed). 1228.67% APR Representative.
Drafty loans are the line of credit direct lenders. They don’t charge a fee to process your loan and support your profile even with bad credit. A pre-approved loan from them won’t affect your credit score at all. Drafty loans and lines of credit are flexible, user-friendly substitutes for loans, overdrafts, and credit cards. You are still eligible to apply for them even if you have bad credit. If they accept your application, they’ll establish a credit limit, and you can withdraw funds only up to that limit.
Representative example: Representative 89.7% APR. Based on drawing your full approved credit limit of £1200 and repaying in 12 monthly payments at an Annual Interest Rate of 65.7%(Fixed). Total repayable is £1,627.05.
Fair Finance has a bouquet of financial solutions, including business funding, payment gateway solutions, risk management consultation, investment guidance, crypto consultation, loan assistance, etc. They provide a variety of financial services and solutions made to cater to the needs of those who are economically disadvantaged. Fair Finance loans collaborate with other businesses and organisations wherever it is practical to achieve their objectives.
Representative example: Borrow £500 over 6 months. Total repayment including interest and fees is £737.40. Monthly instalments of £117.90 and a one off 6% administration fee of £30. Interest (fixed) is 249% per year with a representative 341.41% APR.
Fast Loan UK is a financial institution that provides swift loans to fulfil daily requirements. They offer flexible repayment tenure and provide complete support during loan processing. The organisation as a whole follows ethical and socially acceptable policies and practices. These are the main factors influencing the mission of Fast Loan to be the UK’s most socially conscious short-term lender. For us, this is placing the demands and interests of the consumers at the centre of our business practices.
Representative example: If you borrow £500.00 over 16 weeks at a Representative rate of 766.18% APR and an annual interest rate of 151.4% (fixed), you would pay 4 monthly installments of £183.59. The total charge for credit will be £234.36 and the total amount payable will be £734.36.
Fintern Loan is now Abound! Through Abound’s Easier applications, you can apply for a loan directly on their website using your phone or laptop without downloading anything. Removing jargon as much as possible, they deliver a clear message with enough information, whether it’s your first loan with them or not. Also, the new platform Abound allows them to make more decisions with better rates.
Representative Example: £2,000 loan repayable over 36 months. 36 monthly payments of £76.75. Rate of interest 24.8% p.a. Representative 24.8% APR.
Koyo loans consider more than just your credit score. They also look at your bank data and prospects to decide upon your eligibility for the loan. Their personal loan calculator helps you determine the tentative interest rate for your loan. They offer loans in the £1,500 to £12,000 range. The first lender powered by Open Banking in the UK is Koyo. Their creative strategy enables them to provide loans at competitive rates based on the spending patterns of the borrower rather than just what the credit reporting bureaus say about them.
Representative example: If you borrow £6,000 over 48 months, at 29.9% Representative APR and an Interest rate of 26.45% pa (fixed), you would repay 47 monthly payments of £202.49 and a final payment of £202.22. Total amount payable £9,719.25.
Awarded as the best personal loan provider in 2020 by Moneyfacts, Virgin Money loans sends money to your account within 2 hours or maximum by the end of the next day after approval. Their application process is simple, and interest rates are fixed. Their commitment to excel in prompt disbursal of loans makes Virgin Money loans a reliable financial tool when you need money urgently for a medical emergency or a special occasion in your life.
Representative example: If you borrow £7,500 over 5 years, at 6.9% Representative APR and an Interest rate of 6.9% pa (fixed), you would repay 5 years payments of £147.45. Total amount payable £8,846.69.
Personal loans by M & S Bank are easy to manage as they come with fixed monthly repayments over a specified period. They check your eligibility within seconds to help you make your decision faster. You don’t need to pay any arrangement or set-up fees to get Marks and Spencer loan. You can borrow any amount in the range of £1,000 to £25,000 for a period of 12 to 84 months.
Representative example: If you borrow £75,000 over 60 months, at 2.8% Representative APR and an Interest rate of 2.8% pa (fixed), you would repay 60 monthly payments of £133.98. The Cost of Credit would be £538.80. Total amount payable £8,038.80.
Metro Bank loans are low-rate personal loans. RateSetter is their exclusive partner for online personal loans. Their interest rates and fees are generally legitimate and depend on your credit profile. A quick and simple online Metro Bank personal loan application process could provide you with the boost you need, whether you want to make some home improvements, consolidate your debt into one low monthly payment, or purchase your next vehicle.
Representative example: If you took out a loan of £10,000 over five years at a fixed interest rate of 8.2% per year (8.9% APR representative), your monthly repayment would be £205.62 and your total repayment amount would be £12,337.20. This includes a fee of £93.
Organizing a major occasion or purchase? It all adds up, whether you’re planning home upgrades or purchasing a new family vehicle. The solution may be a Sainsbury’s Bank loan. Sainsbury’s Personal loans offer loans with low APR and flexible repayment terms. They don’t charge an application fee but process your loan with speed and accuracy.
Representative example: You could borrow £10,000 over 60 months with 60 monthly repayments of £188.20. The total amount repayable will be £11,292.00. Representative 5.00% APR, annual interest rate (fixed) 5.00%.
TSB Bank loans process the application the same day but not without getting your approval on a personalised quote. They offer an exclusive facility to take a break from repayment. However, your overall interest will increase. You get a lot of freedom with TSB loans. Apart from getting a break on your repayment, you can do a part payment whenever you want. The personalized quote you get before applying provides you with a clear picture of your repayment.
Representative example: If you borrow £7,500 over 5 years at a Representative APR of 5.9% and an annual rate of 5.79% (fixed) you would pay £144.27 per month. Total amount repayable is £8,656.20.
They offer attractive APR on personal loans of a higher amount. You can quickly get a quote from NatWest Bank before applying for a loan without disturbing your credit profile. Their borrowing terms are friendly and affordable. NatWest loans are quick, easy, and highly rated. You find a quotation without affecting your credit score. NatWest Bank loans received independent 5-star ratings from Defaqto and Moneyfacts for their “Unsecured Personal Loan” in 2021 and 2022, respectively.
Representative example: If you borrow £10,000 over 60 months at a Representative APR of 5.9% and an annual rate of 5.9% (fixed) you would pay £192.17 per months. Total amount repayable is £11,530.20.
Halifax Bank loans are here to help you if you are 18+ and a UK citizen. Of course, there are other criteria you need to fulfil to get a loan, but they’ve certainly made it easier for an eligible candidate to get a personal loan. You can use Halifax loans for various purposes – For loan consolidation, wedding expenses, home improvement, car purchase, or holidays. You are free to use them wherever you require.
Representative example: If you borrow £10,000 over 48 months at a representative rate of 6.3% APR and an annual interest rate of 6.13% (fixed) you would pay 48 monthly repayments of £235.42. The total amount payable will be £11,300.16.
Barclays offers a provisional loan limit even before you borrow if you have a current account with them. You can check how much you are eligible for on their website. Their approval is based on the applicant’s credit history, application credentials, and financial circumstances. Barclays’ personal loans are provided to you based on your financial circumstances, application completion, and borrowing history. Thus you get an amount that you can easily afford to pay back.
Representative example: If you borrow £10,000 over 60 months at a representative rate of 8.9% APR and an annual interest rate of 8.9% (fixed), you would pay 60 monthly instalments of £205.44. The total amount payable will be £12,326.40.
Apart from the chance to check your loan eligibility without affecting your credit score, Lloyds Bank also allow you to choose your repayment term and loan amount. You get a Lloyds bank loan between £7,500 and £25,000 over 1 to 5 years at 6.4% APR. Benefits from Lloyd’s Bank include flexible payments and quick money transfers to accounts.
Representative example: You could borrow £10,000 over 48 months with 48 monthly repayments of £235.86. Total amount repayable will be £11,321.28. Representative 6.4% APR, annual interest rate (fixed) 6.22%.
Here, you get a revolving line of credit up to £2500. After passing the affordability checks, you can borrow this amount whenever you need it. You can pay the minimum amount every month if you can’t pay more. Moreover, you can use your Tappily account’s credit whenever you like once you’ve applied for one and have some available. You won’t have to submit an application each time you want to borrow money from them.
However, for the time being Tappily has stopped lending. We will update this section as soon as we have a new update regarding Tappily Loans.
Representative example: You could borrow £700 over 75 days with. Representative 49.7% APR, annual interest rate (variable) 25.5%.
Selfy loans are here to help budding enterprises to realise their dream. They offer exclusive credit facilities to self-employed, sub-contracting professionals. They also try to revive your bad credit situation and not deny a loan based on that. If you’ve had issues in the past, Selfy loans can still help you. They are a direct loan lender that specialises in helping independent contractors and self-employed people. If you haven’t yet built up enough trading history to be accepted by other lenders, You might still get self-employed loans from SELFY Loans.
Representative example: If you borrow £3.000 over 24 months at a Representative rate of 99.9% APR and an annual interest rate of 71.3% (fixed), you would pay 24 monthly installments of £238. The total charge for credit will be £2,706 and the total amount payable will be £5,706
Morses offer cash loans from £300 to £1000. You can check which amount you are eligible for online. They are open in their communication with no hidden fees and allow easy management of your loan. Morses Club is a provider of Morse doorstep loans. With manageable weekly instalments, their loans are created with the needs of our customers in mind. We are one of the biggest home credit providers in the UK, and we take great satisfaction in providing a warm, attentive level of service.
Representative Example: £400 loan repayable over 39 weeks at £18.96 per week, Rate of interest 113.46% p.a fixed; Representative 498.34% APR, Total amount payable is £739.44.
Salad Money delivers affordable personal loans to NHS workers and public sector employees. It’s a social sector organisation that protects NHS workers from high-interest credits such as payday loans. Salad Money believes that there should be other factors taken into consideration when granting loans to important employees. Application is quick and simple with them. The funds will be in your account within 24 hours after approval.
Representative Example: Representative APR 69.9%. Based on a loan of £1,000 over 17 months at an interest of 54.19% p.a. (fixed). 17 monthly repayments of £82.64 and a final repayment of £26.09. Total amount payable £1,430.97. Maximum APR: 69.9%.
1Plus1 Guarantor Loans was founded in 2013 for those people who have poor credit and those who needed it the most and were having a very tough time getting loans at reasonable rates. We didn’t think that was just. You get a guarantor loan with a bad credit rating as well if you match the affordability criteria and get a creditworthy guarantor. 1Plus1 loans are perfect for supporting you when your credit ratings are messed up, but you need money.
Representative example: If you borrow £3000 over 36 months at a Representative rate of 47.8% APR and an annual interest rate of 39.7%, you would pay 12 monthly installments of £143.84. The total charge for credit will be £2178.24 and the total amount payable will be £5178.24
Evolution Money offers secured loans customised according to their borrower’s needs. They are a member of the Darwin Group of Companies. Its customer service and simple and quick application process are well-known among its customers. Credit checks are not the only consideration for providing Evolution loans. They concentrate on you instead. In order to discover a personal secured loan for you, they take the time to learn about your individual circumstances and to talk about your present financial condition.
Representative Example: Loan Amount: £30,000.00, Loan Term: 180 Months, Interest Rate: 21.24% PA (variable), Monthly Repayments: £622.51, Total Amount Repayable: £112,052.80. This example includes a Product fee of £3,000.00 (10% of the loan amount) and a Lending fee of £675.00.
Lending Works is one of the leading peer-to-peer lending platforms which connects a borrower to many lenders. You get the loan amount disbursed in your bank account within 48 hours with Lending Works Loans and applying for a loan at lending works only takes a few minutes. Lending Works personal loans are hassle-free and offers actual rates. You can take them for multiple purposes – for debt consolidation, a major purchase, a life event, home improvement, etc. And your credit score won’t be affected if you’re merely browsing for a quote.
Representative example: Borrow £1,000 over 12 months at 12.9% APR representative. Monthly repayments of £87.68 and total amount payable of £1052.15. Interest of 4.5% p.a. (fixed) and total fees of £27.50. The rate you are offered may differ from the representative APR shown and will be based on your personal circumstances, loan amount and repayment term.
Representative example: If you borrow £2,000.00 over 24 months at a Representative rate of 59.9% APR and an annual interest rate of 59.9% (fixed), you would pay 24 monthly instalments of £131.05. The total charge for credit will be £1,145.20 and the total amount payable will be £3,145.20.