besavvi Personal Loan
Loan Amount
£2,000 to £10,000
Representative APR
11.4% APR
(£5,000 to £7,499)
Loan Term
2 years to 5 years
Bad Credit
-
Representative Example: The Representative APR is 11.4% APR (fixed) so if you borrow £5,000 over 4 years at a rate of 11.4% p.a. (fixed) you will repay £128.86 per month & £6,185.28 in total.
Evolution Money Personal Loan
Loan Amount
£1,000 to £15,000
Representative APR
17.6% APR (variable)
(£1,000 to £15,000)
Loan Term
1 year to 10 years
Bad Credit
-
This is an unsecured loan, but you must be a homeowner to apply as it is designed for homeowners who would prefer not to secure a loan against their property.
Representative Example: The Representative APR is 17.6% APR (fixed) so if you borrow £15,000 over 4 years at a rate of 17.6% p.a. (fixed) you will repay £412.98 per month & £19,823.04 in total.
1st Stop Homeowner Plus
Loan Amount
£1,000 to £15,000
Representative APR
18.2% APR
(£1,000 to £15,000)
Loan Term
2 year to 6 years
Bad Credit
no
This is an unsecured loan, but you must be a homeowner to apply as it is designed for homeowners who would prefer not to secure a loan against their property.
Representative Example: The Representative APR is 18.2% APR (variable) so if you borrow £5,000 over 5 years at a rate of 13% (variable) you will repay £137.84 per month and £8,645.40 in total. The total charge for credit is £3,270.40 which includes a processing fee of £375. The fee is included in your monthly repayments.
Moneyway Personal Loan
Loan Amount
£1,000 to £15,000
Representative APR
18.9% APR
(£12,001 to £15,000)
Loan Term
1 year to 5 years
Bad Credit
yes
Representative Example: The Representative APR is 24.9% APR so if you borrow £5,000 over 4 years at a rate of 22.46% p.a. (fixed) you will repay £158.73 per month & £7,619.04 in total.
Citrus Loans Personal Loan
Loan Amount
£500 to £20,000
Representative APR
22.5% APR
(£500-£20,000)
Loan Term
1 year to 3 years
Bad Credit
yes
This is a loan broker.
Representative Example:The Representative APR is 22.5% APR so if you borrow £3,000 over 2 years at a rate of 20.5% (fixed) then you will repay £153.38 per month & £3,681.05 in total.
Opal Loans Personal Loan
Loan Amount
£2,000 to £10,000
Representative APR
24.9% APR
(£2,000 to £10,000)
Loan Term
2 years to 5 years
Bad Credit
yes
Opal Loans offers a loan broking service. Please only apply if you are a home owner, aged 25 to 72, earning £15,000 per annum, and making regular payments to your mortgage.
This is a loan broker.
Representative Example: The Representative APR is 24.9% APR (variable). Borrow £5,000 and pay £191.99 a month for 36 months. The Total Interest Payable is £1,911.64. The Total Amount Payable is £6,911.64.
1st Stop Homeowner
Loan Amount
£1,000 to £15,000
Representative APR
39.9% APR
(£1,000 to £15,000)
Loan Term
2 year to 6 years
Bad Credit
no
This is an unsecured loan, but you must be a homeowner to apply as it is designed for homeowners who would prefer not to secure a loan against their property.
Representative Example: The Representative APR is 39.9% APR so if you borrow £4,000 over 3 years at a rate of 12% (variable) you will repay £179.65 per month and £6467.40 in total. The total charge for credit is £2467.40 which includes a processing fee of £120.
Trusttwo Guarantor Loan
Loan Amount
£1,000 to £7,500
Representative APR
39.9% APR (variable)
(£1,000 to £7,500)
Loan Term
13 months to 5 years
Bad Credit
-
A low cost Guarantor Loan with no late fees. You must be able to afford loan repayments & have a guarantor with good credit.
Homeowner and Tenant guarantors are accepted.
Representative Example: The Representative APR is 39.9% APR (variable) so if you borrow £1,000 over 2 years at a rate of 34.0% p.a. (variable) you will repay £57.99 per month & £1391.76 in total.
Suco Guarantor Loan
Loan Amount
£1,000 to £12,000
Representative APR
39.9% APR
(£8,000 to £12,000)
Loan Term
4 years to 7 years
Bad Credit
yes
Representative Example: The representative APR is 39.9% APR (fixed) so if you borrow £8,000 over 5 years at a rate of 39.9% p.a. (fixed) you will repay £279.20 per month & £16,752.00 in total.
UK Credit Ltd Guarantor Loan
Loan Amount
£1,000 to £7,500
Representative APR
42.9% APR
(£1,000 to £7,500)
Loan Term
1 year to 5 years
Bad Credit
yes
No upfront fees & fast online approval. Rates from as low as 39.9% APR fixed rate (max 59.9% APR) Quotes won't affect your credit history.
Your guarantor must be a homeowner.
Representative Example: The Representative APR is 42.9% APR (fixed) so if you borrow £4,000 over 4 years at a rate of 36.24% p.a (fixed) you will pay £158.90 per month & £7,627.20 in total.
TFS Loans Guarantor Loan
Loan Amount
£1,000 to £12,000
Representative APR
44.9% APR
(1,000 to £12,000)
Loan Term
2 years to 7 years
Bad Credit
yes
TFS Loans are a specialist Guarantor loan company, lending money for over 6 yrs. TFS offer loans up to £12,000, usually within 24-48hrs. Repay in affordable monthly installments.
Representative Example: The representative APR is 44.9% APR (fixed) so if you borrow £8,000 over 4 years at a rate of 44.9% p.a. (fixed) you will repay £307.33 per month & £14,751.84 in total.
Likely Guarantor Loans Unsecured Guarantor Loan
Loan Amount
£1,000 to £5,000
Representative APR
45.0% APR
(£1,000 to £5,000)
Loan Term
1 year to 5 years
Bad Credit
yes
Representative Example: The representative APR is 45.0% APR (variable) so if you borrow £5,000 over 2 years at a rate of 37.77% p.a. (variable) you will repay £299.96 per month & £7,198.98 in total.
Consollo Guarantor Loan
Loan Amount
£1,000 to £7,500
Representative APR
47.5% APR
(£1,000 to £7,500)
Loan Term
1 year to 5 years
Bad Credit
yes
No upfront fees & fast online approval with same day payouts available. Tenants accepted as guarantors up to £2,500.
Representative Example: The representative APR is 47.50% APR so if you borrow £2,000 over 3 years at a rate of 39.50% p.a. (fixed) you will repay £95.64 per month & £3,443.04 in total.
LendFair Ltd Guarantor Loan
Loan Amount
£500 to £5,000
Representative APR
48.0% APR
(£500 to £5,000)
Loan Term
6 months to 5 years
Bad Credit
yes
Representative Example: The representative APR is 48.0% APR (fixed) so if you borrow £2,500 over 3 years at a rate of 48.0% p.a. (fixed) you will repay £120.04 per month & £4,321.44 in total.
Savvy Loans Guarantor Loan
Loan Amount
£1,000 to £7,500
Representative APR
48.2% APR
(£1,000 to £7,500)
Loan Term
12 months to 5 years
Bad Credit
yes
Representative Example: The representative APR is 48.2% APR (fixed) so if you borrow £5,000 over 5 years at a rate of 48.2% p.a. (fixed) you will repay £193.76 per month & £11625.60 in total.
AvantCredit Personal Loan
Loan Amount
£500 to £20,000
Representative APR
48.5% APR
(£1,000 to £20,000)
Loan Term
1 year to 4 years
Bad Credit
yes
Fast funding within the same day of submitting the online application with rates starting at 19%. No arrangement or early payment fees & not required to have a guarantor or own a home.
Representative Example: The Representative APR is 48.5% APR (fixed) so if you borrow £3,000 over 1 year at a rate of 48.5% p.a. (fixed) you will repay £670.83 per month & £3670.83 in total.
BambooFinance Guarantor Loan
Loan Amount
£1,000 to £5,000
Representative APR
49.7% APR
(£1,000 to £5,000)
Loan Term
1 year to 5 years
Bad Credit
-
Representative Example: The representative APR is 49.7% APR, so if you borrow £2,600 over 3 years at a rate of 41% p.a.(fixed) you will repay £126.61 per month & £4,557.89 in total.
George Banco RateDropper Guarantor Loan
Loan Amount
£1,000 to £7,500
Representative APR
49.7% APR
(£1,000 to £7,500)
Loan Term
1 year to 5 years
Bad Credit
-
Tenants accepted
Representative Example: The Representative APR is 49.7% APR (fixed) so if you borrow £5,000 over 4 years at a rate of 49.7% p.a. (fixed) you will repay £207.93 per month & £9,980.64 in total.
Amigo Guarantor Loan
Loan Amount
£500 to £5,000
Representative APR
49.9% APR (variable)
(£500 to £5,000)
Loan Term
1 year to 5 years
Bad Credit
yes
Borrow between £500 - £5,000 in 24 hrs & no fees or credit scores. Over 160,000 customers approved, with a new customer approved every 10 mins.
Homeowner and tenant guarantors are accepted
Representative Example: The Representative APR is 49.9% APR (variable) so if you borrow £5,000 over 5 years at a rate of 49.9% APR p.a. (variable) you will repay £197.62 per month & £11,857.20 in total.
UK Trust Loans Guarantor Loan
Loan Amount
£1,500 to £5,000
Representative APR
49.9% APR
(£1,500 to £5,000)
Loan Term
1 year to 5 years
Bad Credit
yes
Your guarantor must be a homeowner.
Representative Example: The Representative APR is 49.9% APR (variable) so if you borrow £1,500 over 1 year at a rate of 41.16% p.a. (fixed) you will repay £154.60 per month & £1,855.20 in total.

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Can You Get an Unsecured Loan with Bad Credit?

by DanB from money.co.uk

Finding a loan if you have a poor credit rating can be difficult, especially if you don't want to risk your home or possessions. But there are options out there, and knowing what to look for will help you find the best bad credit unsecured loans.

Couple holding paperwork in lounge

If you're looking for an unsecured loan, bad credit, caused by missed payments or in some cases simply having not built a credit history yet, can seriously narrow your options.

But if you want to buy a new car, improve your home or consolidate some existing debts you may still need a loan to help you pay for it. The trick is knowing what to look for.

The cheapest loan options are usually secured loans, which use your home to guarantee the balance if you have built up enough equity. However not everyone has this luxury, and if you don't own your home or don't want to risk losing it you can opt for an unsecured loan instead.

With no collateral involved, these are based purely on the lender deciding whether or not you can repay it. The lender's affordability checks will cover what you earn, your monthly outgoings and your credit rating.

Even if you have a history of bad credit, you should still go about your personal loan comparison in the same way; however, your choice will be limited to specialist "bad credit loans". Here's how to get the cheapest bad credit loan:

How large a loan do you need?

How much you borrow will affect what companies will offer you a loan and the interest rates they charge, so decide how much you need before applying. This will stop you wasting time looking into unsuitable products and help you more accurately work out what each loan will cost you. Simply match your required loan to each lender's maximum / minimum borrowing figures.

How long do you need to repay the loan?

You can often choose the length of the term you repay your loan over. A longer period will make your monthly payments smaller and can sometimes come with a lower APR, but you'll probably pay more interest overall. So when you choose the term of your loan, make sure you can comfortably afford the amount you need to pay each month, while still keeping the term as short as possible.

Would you like the loan to be fixed or flexible?

A fixed loan allows you to pay the same amount each month, making it easier to plan your budget. If the loan provider supplies a loan repayment calculator, you should be able to work out how much the payments will be depending by specifying the amount and term. With a flexible loan you'll still owe that fixed monthly amount, however you may also be allowed to pay off the loan early or make overpayments.

Fixed or variable interest?

A fixed interest rate will give you the peace of mind of knowing exactly how much you need to pay each month, as the rate you pay will be guaranteed for the loan's entire term. Variable interest rates aren't guaranteed, so could go up or down. This could leave you needing to pay back more than anticipated and could even be the difference between being able to pay back the loan or not.

Are any fees charged?

Loans can often charge set-up fees as well as interest, so be sure to factor these in when you work out the total cost of the loan. These can include charges for early repayment or for getting the money to you on the same day. Many unsecured bad credit loans are sold through brokers, so make sure you check for their fees too.

Will you be eligible for the loan?

If your credit rating is already low, you won't want to make it worse, so apply for unsecured personal loans for bad credit with caution. If you apply for too many, this could make your credit rating worse, so try to stick with the companies that will be willing to lend to you and don't just apply to all companies in the hope that one will accept. Our article How to check your credit report can help give you an idea of where you stand.

As well as your credit rating, keep an eye on the terms and conditions for any other eligibility criteria the lenders have, such as your age, your residential status, that you have a current account and a regular income.

Homeowner guarantors

Many of the loans you find advertised will only be available if you have a guarantor to back you up. This means that while the loan is unsecured for you, your guarantor must agree to pay it if you miss your payments. Most lenders require your guarantor to be a homeowner; if both of you fail to pay the loan they could lose their home. So be sure to make sure your guarantor knows of the risks before your apply.

Compare unsecured loans for poor credit

Providers generally see unsecured loans as risky, as there is no collateral to recover their money from if repayments are missed. So unsecured loans for bad credit often have higher interest rates, which makes it even more important to look for the best deal you can find.

Our unsecured loans bad credit comparison will help you find the best interest rates, but when you decide on the right loan for you, make sure you consider its total cost by looking at the monthly repayments and fees. Combine this with looking for the amount you need, available for repayment over a period that suits you.