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Compare debt consolidation loans for bad credit

Compare consolidation loans for bad credit that could cut your monthly repayments down to just one even if you have a poor credit history.

7 results found, sorted by lowest representative apr. How we order our comparisons.
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Monevo Personal Loan
Loan amount
£1,000 to £35,000
Representative APR
10.6% APR (£15,000 to £19,999)
Loan term
1 year to 5 years
Monevo is a credit broker and not a lender.
Representative example: The representative rate is 10.6% APR (fixed) so if you borrow £15,000 over 5 years at a rate of 10.6% p.a (fixed) you will repay £319.57 per month and £19,174.37 in total.
Eligibility
false
75 years
18 years
£7,000
poor
See Deal
Before you continue...
Please make sure you meet the following criteria:
false
75 years
18 years
£7,000
poor
Accepty Personal Loan
Loan amount
£1,000 to £25,000
Representative APR
18.4% APR (£1,000 to £25,000)
Loan term
1 year to 5 years
Accepty is a credit broker and not a lender.
Representative example: The Representative rate is 18.4% APR (fixed) so if you borrow £10,000 over 5 years at a rate of 18.4% p.a (fixed) you will repay £248.58 per month & £14,914.80 in total.
Eligibility
false
85 years
18 years
poor
Before you continue...
Please make sure you meet the following criteria:
false
85 years
18 years
poor
Aspire Money Personal Loan
Loan amount
£500 to £25,000
Representative APR
30% APR (£13,001 to £25,000)
Loan term
1 year to 5 years
No upfront fees and can source loans that don't require a guarantor. Please only apply if you are aged 18 to 65.
Aspire Money is a credit broker and not a lender.
Representative example: The Representative APR is 58% APR (fixed) so if you borrow £5,000 over 36 months at a rate of 58% p.a (fixed) you will repay £260.26 per month & £9,369.36 in total.
Eligibility
false
65 years
18 years
poor
Before you continue...
Please make sure you meet the following criteria:
false
65 years
18 years
poor
1Plus1 Loans Guarantor Loan
Loan amount
£1,000 to £10,000
Representative APR
47.8% APR (£1,000 to £10,000)
Loan term
1 year to 5 years
Borrow £1,000 to £10,000, no hassle, fast payout. Bad credit and CCJs Accepted. Homeowner or tenant guarantor required.
Open banking access is required prior to payout to assess affordability.
Representative example: Representative 47.8% APR fixed. Based on a loan of £3,000 for 36 months at 39.7% p.a. Total £5,178.24 repayable at £143.84 per month.
Eligibility
18 years
£0
poor
Before you continue...
Please make sure you meet the following criteria:
18 years
£0
poor
Guarantormyloan Guarantor Loan
Loan amount
£1,000 to £10,000
Representative APR
48.9% APR (£1,000 to £10,000)
Loan term
1 year to 5 years
If you make 12 repayments in full & on time you will get a cash back reward equivalent to one repayment.
Guarantor must be a homeowner aged 21 to 75 years old.
Representative example: Representative 48.9% APR fixed. Based on a loan of £4,000 for 36 months at 48.9% p.a. Total £6,968.16 repayable at £193.56 per month.
Eligibility
18 years
£0
poor
Before you continue...
Please make sure you meet the following criteria:
18 years
£0
poor
Buddy Loans Guarantor Loan
Loan amount
£1,000 to £10,000
Representative APR
49.9% APR (£1,000 to £10,000)
Loan term
1 year to 5 years
Buddy Loans are the new, friendly guarantor lender. Borrow up to £10,000 with no fees and a friendly service. All poor credit considered.
Guarantor must be a homeowner, or a tenant with a good credit history, aged over 18 years old.
Representative example: The Representative APR is 49.9% APR (variable) so if you borrow £3,250 over 36 months at a rate of 41.16% p.a (fixed) you will repay £158.57 per month & £5,707.34 in total.
Eligibility
18 years
£0
poor
Before you continue...
Please make sure you meet the following criteria:
18 years
£0
poor
Everydayloans Personal Loan
Loan amount
£1,000 to £15,000
Representative APR
99.9% APR (£1,000 to £15,000)
Loan term
2 years to 5 years
No effect on your credit rating on initial application. No fees or charges. T&Cs apply.
Representative example: The Representative APR is 99.9% APR (variable) so if you borrow £3,000 over 2 years at a rate of 71.3% p.a (variable) you will repay £238 per month & £5,706 in total.
Eligibility
false
21 years
£15,000
poor
Before you continue...
Please make sure you meet the following criteria:
false
21 years
£15,000
poor

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Last updated: 29 July, 2020

Can you get debt consolidation loans for bad credit, UK wide?

Yes, consolidation loans for bad credit are available. A debt consolidation loan lets you pay off existing debts by paying them off with a single loan. With all your debts paid off, you only have to make one monthly repayment to repay the debt consolidation loan instead of several to different lenders.

When you apply for debt consolidation loans for bad credit, UK wide most lenders will check your credit record. The good news is that with consolidation loans, bad credit isn’t always a deal breaker. Some lenders are still willing to offer you a bad credit consolidation loan, even if you’ve had financial problems in the past.

But, with some consolidation loans, bad credit means you’ll have to pay higher interest rates. It could also mean that you’re not able to borrow as much.

Is consolidating debt a good idea?

It depends. Loans to pay off debt are a good idea if the payments are affordable, the loan has a lower interest rate, and it won’t take you much longer to pay off your debts.

With a debt consolidation loan, bad credit won’t always affect your eligibility. So it can be a good way to help you manage your money if the loan meets the criteria listed above.

Find out more about whether you should consolidate your debts.

What kinds of debt consolidation loans are available

Like most loans, debt consolidation loans come in to different types, secured and unsecured.

The type of loan you choose depends on two main factors:

  • Whether or not you're a homeowner

  • The amount that you need to borrow

secured debt consolidation loan is one in which your loan is secured to any equity you have in a property. These loans are thus only available to those who own a property.

The advantage of a secured loan is that you're more likely to be offered a lower interest rate on your loan and you may be able to borrow a larger amount. The downside is that if you're unable to keep up with repayments, you could risk losing your home.

With unsecured debt consolidation loans, you don't need to be a homeowner to be eligible for the loan. Your eligibility is based mainly on your credit history and whether you can afford to pay back the loan based on your financial circumstances. These are often referred to as personal loans and may be more difficult to be approved for, especially if you have bad credit.

However, that doesn't mean that you can't get unsecured debt consolidation loans with bad credit. You may have to pay a higher interest rate, or the amount you can borrow may be lower.

How to find the best bad credit loan for debt consolidation

While there isn't one best consolidation loans for bad credit, the best loans will let you pay off your existing debt for the lowest cost. They’ll also offer affordable monthly payments.

Here’s how to go about finding the best bad debt loans:

1. Work out how much you owe

Before you look for a bad credit consolidation loan, you need to check if there are any fees if you pay back your existing debts early. You’ll also need to work out the total of your existing debts. Bad credit consolidation loans can usually combine your debts from loans, overdrafts and credit cards.

2. Work out how much you can afford to pay each month

If you’re looking at debt consolidation loans for bad credit, you should draw up a budget to see how much you can afford to repay every month. It’s even more important to do this if you have bad credit, because you need to avoid further damage to your credit record.

3. Compare rates for loans that fit your criteria.

When you start looking for consolidation loans for bad credit, you should try to find the lowest rate possible. Ideally, you’ll want to borrow over the shortest time you can while keeping your monthly payments affordable.

You can use this comparison to search for bad credit debt consolidation loans from regulated lenders.

If you’re looking at credit card consolidation, then a balance transfer credit cards are a good option top pay off credit card debt.

Can I get a bad credit debt consolidation loan with no guarantor?

Are you looking for a debt consolidation loan? Bad credit? No guarantor? You could still be in luck. You don’t always need a guarantor for consolidation loans for bad credit.

But if you’re struggling to find a bad credit consolidation loan that works for you, you could think about finding a guarantor. Your guarantor would have to be willing to take responsibility for making your repayments if you couldn’t. This would make lenders more likely to give you a bad credit consolidation loan.

Does a debt consolidation loan look bad on your credit report?

Having a debt consolidation loan on your credit report isn't necessarily bad. It's likely better than having several credit cards and other debt. If a bank or provider does a hard credit check and sees that you've consolidated your debts with a loan, they'll understand your reasons for it.

In fact, what it'll really show is that you were approved for a loan, and if you're keeping up with repayments, it'll only help you improve your credit score going forward. This is why consolidating debts isn't a negative, it shows that you've taken steps to take control of your finances and manage your debt.

What alternatives are there to consolidation loans for bad credit?

Consolidation loans for bad credit are sometimes a good option. But there are alternatives if a bad credit consolidation loan won’t work for you or if you can’t get accepted for one.

You could think about getting a 0% balance transfer credit card. You could still consolidate your debts, and it would give you around six-12 months interest-free.

Alternatively, you could consider a second charge mortgage if you’re a homeowner. Although this would put the equity in your home at risk.

If you feel your debts are becoming unmanageable, talk to your lenders as early as possible. You might be able to negotiate lower payments over a longer period of time.

There are also various debt charities that you can speak to for support. They might be able to help you devise a debt management plan.

Debt consolidation loans for bad credit FAQs

No, you can choose which debts to pay off. However, if you keep any open you have to show you can afford to pay them back alongside any new loan.

No, it is usually paid to you and then you need to pay off each of your debts separately.

It depends on the type of loan you choose and the lender, for example you could borrow more than £100,000 with a secured loan.

You may be charged a fee and your credit record could be damaged. Here is what to do if you cannot pay back your loan .

About our loans comparison

Our comparison tables include providers we have commercial arrangements with. The number of listings in our tables can vary depending on the terms of those arrangements, as well as other market developments. They are all from lenders regulated by the Financial Conduct Authority. For more information you can also see how our website works.

We have commercial agreements with some of the companies in this comparison and get paid a commission if we help you take out one of their products or services. Find out more about how our website works. You do not pay any extra and the deal you get is not affected.

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