Compare Personal Loans

Compare a range of personal loans from UK lenders and check your eligibility* without impacting your credit score

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  • M&S Bank Personal Loan logo

    M&S Bank Personal Loan

    • Loan Type
      Unsecured
    • Representative APR
      2.8% APR
    • Available Amounts
      £1,000 to £25,000
    • Min / Max Terms
      1 to 7 years
  • Post Office Money Personal Loan logo
    Broker

    Post Office Money Personal Loan

    • Loan Type
      Unsecured
    • Representative APR
      8.1% APR (£3,000 – £4,999)
    • Available Amounts
      £1,000 to £25,000
    • Min / Max Terms
      1 to 7 years
  • Admiral Personal Loan logo

    Admiral Personal Loan

    • Loan Type
      Unsecured
    • Representative APR
      9.9% APR
    • Available Amounts
      £1,000 to £25,000
    • Min / Max Terms
      1 to 5 years
  • JN Bank Personal Loan logo

    JN Bank Personal Loan

    • Loan Type
      Unsecured
    • Representative APR
      12.9% APR
    • Available Amounts
      £1,000 to £15,000
    • Min / Max Terms
      2 to 5 years
  • Shawbrook Personal Loan logo

    Shawbrook Personal Loan

    • Loan Type
      Unsecured
    • Representative APR
      13.9% APR
    • Available Amounts
      £1,000 to £35,000
    • Min / Max Terms
      1 to 7 years
  • Zopa Personal Loan logo
    Peer To Peer

    Zopa Personal Loan

    • Loan Type
      Unsecured
    • Representative APR
      15.4% APR
    • Available Amounts
      £1,000 to £25,000
    • Min / Max Terms
      1 to 5 years
  • Fintern Personal Loan logo

    Fintern Personal Loan

    • Loan Type
      Unsecured
    • Representative APR
      18.8% APR
    • Available Amounts
      £1,000 to £7,500
    • Min / Max Terms
      1 to 3 years
  • My Community Finance Personal Loan logo

    My Community Finance Personal Loan

    • Loan Type
      Unsecured
    • Representative APR
      18.85% APR
    • Available Amounts
      £1,500 to £25,000
    • Min / Max Terms
      1 to 5 years
  • KOYO Personal Loan logo

    KOYO Personal Loan

    • Loan Type
      Unsecured
    • Representative APR
      24.9% APR
    • Available Amounts
      £1,500 to £12,000
    • Min / Max Terms
      6 months to 5 years
  • BetterBorrow Personal Loan logo

    BetterBorrow Personal Loan

    • Loan Type
      Unsecured
    • Representative APR
      27.1% APR
    • Available Amounts
      £1,000 to £12,000
    • Min / Max Terms
      1 to 5 years
  • LiveLend Personal Loan logo

    LiveLend Personal Loan

    • Loan Type
      Unsecured
    • Representative APR
      29.9% APR
    • Available Amounts
      £1,000 to £12,000
    • Min / Max Terms
      1 to 5 years
  • Oplo Personal Loan logo

    Oplo Personal Loan

    • Only available to homeowners
    • Loan Type
      Unsecured
    • Representative APR
      31.6% APR
    • Available Amounts
      £2,000 to £15,000
    • Min / Max Terms
      2 to 6 years
  • Lifestyle Personal Loan logo

    Lifestyle Personal Loan

    • Loan Type
      Unsecured
    • Representative APR
      49.9% APR
    • Available Amounts
      £1,000 to £5,000
    • Min / Max Terms
      1 to 5 years
  • 118 118 Personal Loan logo

    118 118 Personal Loan

    • Loan Type
      Unsecured
    • Representative APR
      49.9% APR
    • Available Amounts
      £1,000 to £5,000
    • Min / Max Terms
      1 to 3 years
  • Bamboo Personal Loan logo

    Bamboo Personal Loan

    • Loan Type
      Unsecured
    • Representative APR
      59.7% APR
    • Available Amounts
      £1,000 to £8,000
    • Min / Max Terms
      1 to 5 years
  • Likely Loans logo

    Likely Loans

    • Loan Type
      Unsecured
    • Representative APR
      59.9% APR
    • Available Amounts
      £500 to £5,000
    • Min / Max Terms
      1 to 3 years
  • Salad Money Personal Loan logo

    Salad Money Personal Loan

    • Only available to key workers
    • Loan Type
      Unsecured
    • Representative APR
      69.9% APR
    • Available Amounts
      £500 to £1,000
    • Min / Max Terms
      12 to 18 months
  • Minty Personal Loan logo

    Minty Personal Loan

    • Loan Type
      Unsecured
    • Representative APR
      98.1% APR
    • Available Amounts
      £1,500 to £3,000
    • Min / Max Terms
      2 years
  • Everyday Loans Personal Loan logo

    Everyday Loans Personal Loan

    • Loan Type
      Unsecured
    • Representative APR
      99.9% APR
    • Available Amounts
      £1,000 to £15,000
    • Min / Max Terms
      1 to 5 years

If you are thinking of consolidating existing borrowing you should be aware that you may be extending the terms of the debt and increasing the total amount you repay.

Our service is free of charge but we receive commissions from the providers we refer you to. This table is initially ordered by representative APR. You can use the options above the table to order it according to various criteria. You may be offered different rates depending on your personal credit rating.

Our comparison service features a selection of providers from whom we receive commission.

Monevo Logo

*Eligibility Service:

The loans eligibility service is fully provided by Monevo.  The data you supply is directly submitted to Monevo and is used to retrieve loan quotes from their panel of lenders.  By using their loans eligibility service you are agreeing to Monevo’s terms and conditions and privacy policy which can be found at Monevo.co.uk

Monevo.co.uk is a registered Trading Name of Monevo Limited which is an Appointed Representative of Quint Group Limited, and is entered on the Financial Services Register under reference number: 723672.  Quint Group Limited is authorised and regulated by the Financial Conduct Authority and is entered on the Financial Services Register under reference number: 669450.  Monevo Limited is registered in England and Wales (Company number 06511345). Registered office: Glasshouse, Alderley Park, Nether Alderley, Cheshire,SK10 4ZE.  Licensed by the Information Commissioners Office, (Registration number Z1498441).

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Information written by Joel Kempson Last updated on 31 March 2022.

What is a Personal Loan?

A personal loan allows you to borrow a sum of money that you will repay, with interest, over an agreed period of time.

Personal loans are available from traditional high street banks, online challenger banks and specialist lenders. They can be used for many different reasons, such as home improvements, holidays, weddings, debt consolidation and major purchases, such as a new car.

The amount you can borrow will depend on the provider you choose and your personal circumstances, with options ranging from the low thousands to the tens of thousands. Terms (the length of time you have to repay the loan) typically range from one to seven years.

» MORE: How to get a loan

Types of loans

Generally speaking, the two main types of loan are secured and unsecured.

Personal loans are unsecured loans as they are not secured against any property or possession. Because this increases the risk for the lender, interest rates can be higher than with secured loans and there will likely be a lower limit on how much you can borrow.

Examples of unsecured loans include:

  • Personal loans: These are offered by banks and alternative lenders. The amount you are offered and the term available will depend on your credit score and affordability checks, among other factors.
  • Peer-to-peer loans: Arranged through online peer-to-peer platforms, these involve members of the public lending to others who need access to funds.
  • Short-term loans: These are personal loans offered over short periods of time, usually up to a year. Loan amounts and terms are limited, and interest rates can be high.
  • Payday loans: These are extremely short-term loans, which are repayable, usually in one single payment within a month. High interest rates are commonplace.
  • Guarantor loans: Can be offered to those with poor credit ratings who have someone who will commit to repaying a loan if the borrower is unable to. Bear in mind that some lenders will require the guarantor to be a homeowner, which would make it a secured loan. However, this could put the guarantor’s property at risk should the borrower default on their loan.

Secured loans are often used to borrow larger sums of money over a longer period of time than with unsecured loans. Borrowers will put some property, usually their home, up as security, which reduces the risk for the lender.

» MORE: The differences between secured and unsecured loans

How do personal loans work?

When you apply for a personal loan, lenders will need to know a few personal details, including your income and employment status and how much you want to borrow. They will review this information and carry out a credit check to help them decide whether to lend to you.

If your application is approved, the lender will give you all the necessary information about your loan, including the interest rate, the repayment schedule and any potential fees, so you should make sure you understand these terms before agreeing to the loan.

Once your loan is approved, the money could be in your account relatively quickly, sometimes within a day. You will then be able to spend the money, making your monthly repayments to the lender over the agreed period of time.

What are the advantages and disadvantages of a personal loan?

As with any credit option, there are pros and cons to taking out a personal loan.

Advantages

  • You can pay for goods or services up front and spread the cost over a longer period of time.
  • You can apply for a loan and often receive the money relatively quickly.
  • You may be able to borrow money at a lower rate than some other options
  • Interest rates and monthly repayments will normally be fixed, so the amount you pay each month won’t change.

Disadvantages

  • A personal loan can have a higher rate of interest than some other finance options, especially if you have a less-than-perfect credit score.
  • It may not be the best option if you want to borrow only a small sum of money.
  • There is a limit to how much you can borrow.
  • Missed and late repayments will harm your credit score.

How can I compare loans?

Our personal loan comparison table highlights key pieces of information about different loans, which can help you to work out what the best personal loan is for you. By clicking through on the options, you can also complete a soft check to see whether you are eligible for a loan from various providers.

When you are ready to find a loan, some of the main points you need to consider are:

  • How much you can borrow from a lender.
  • The minimum and maximum number of months you have to repay.
  • If there are any early repayment charges or any other fees.
  • The APR (annual percentage rate).

Most of these are fairly straightforward, but the APR can be more complicated to understand.

The APR tells you the total cost of the loan, taking into account the interest on the loan and any compulsory fees.

All lenders have to show a loan’s APR to help consumers compare loans on a like-for-like basis, and to reduce the risk of someone getting caught out by hidden fees.

The APR makes it easier to compare and find the cheapest loans, as you don’t need to work out how different interest rates and lender fees will affect the overall cost of your loan.

What do I need to know before applying for a loan?

Before you get a loan you need to make sure you understand all the risks involved. You could harm your credit score if a lender rejects your loan application or if you don’t make repayments on time, so only apply for loans if you are confident that you will be successful and that you can comfortably afford the repayments.

Some loan providers will allow you to check your eligibility for a loan with a range of lenders before you formally apply through a soft credit check without affecting your credit history.

Also think carefully about how much you need to borrow and how long to borrow for. If you choose to repay the loan over a longer term, your monthly repayments may be smaller but you will pay more in total because of the added interest that will build up. If you choose a shorter term, you will pay less interest overall.

» MORE: Tips for applying for a personal loan

Personal Loan FAQs

What does representative APR mean?

Compared to the annual percentage rate (APR), which tells you the overall cost of a loan with fees and interest, representative APR is provided by lenders to show the APR that they expect at least 51% of successful loan applicants to get. It doesn’t mean that you will get this rate.

Lenders will set interest rates based on your own situation, and 49% of borrowers may get a higher rate than the advertised representative APR.

» MORE: APR explained

How can I get a cheap loan?

A cheap personal loan – in other words, a loan with a low interest rate and low fees – will be easier to get if you have a good credit score. The best loan rates are reserved for applicants with excellent credit scores, so working to improve your credit score before applying can help you to get a cheaper loan.

Repaying a loan over a shorter period of time can also make it cheaper, as you will pay less interest overall.

Who can get a loan?

UK residents over the age of 18 can get a loan, though lenders may set a higher minimum and maximum age limit. Beyond this, lenders will have their own lending criteria, such as a minimum income requirement, and will carry out their own credit and affordability checks to decide whether to approve a loan.

How much can I borrow with a personal loan?

Different lenders will have varying limits on how much and how little they will lend. Some lenders may offer borrowers unsecured personal loans of tens of thousands of pounds, while others may go as low as £1,000 or less. What your lender offers you will depend on how it caps its lending and how you fit its criteria as a borrower. Lenders will likely reserve upper limits for borrowers in a strong financial position. In other words, you can only borrow what your lender thinks you can afford to pay back.

You will typically be able to borrow more with a secured loan depending on the asset against which you are borrowing but since personal loans are unsecured, the limit will usually be lower.

How long can I borrow a personal loan?

Personal loan repayment terms typically range from one to seven years, but this can differ across providers.

Do I have to give a reason for a personal loan?

Some lenders may ask you what you intend to use the loan for, but not all. If you are asked, you should always be honest and say why you need the money. If a lender finds out that you have lied on your application, you may have to repay the loan and you could harm your chances of getting credit in the future.

What information do I need to give when applying for a loan?

When you apply for a loan, you will need to give the lender personal information including proof of your name and address, and your right to live and work in the UK.

You will also need to provide proof of your income, which the lender will use along with your credit score to make a decision on your application.

How can I check if I am eligible for a loan?

Some loan providers offer eligibility checkers, which you can use to see if you could be accepted for a loan without affecting your credit score. In the comparison table above, you can see if you qualify for certain loans by clicking the ‘Check Eligibility’ button.

Will applying for a loan affect my credit score?

Possibly, as when you apply for a loan, lenders will conduct a hard credit check, which will leave a mark on your credit history – though it won’t say whether you were rejected for a loan. If you have been refused a loan, try to improve your credit score before reapplying as several applications in a short time frame could affect your credit rating.

Only apply for a loan if you are confident you will be accepted. Checking your eligibility before applying, when you are simply asking for a quotation, will involve a soft search and can tell you if you might qualify for a loan, without affecting your credit score.

Do I need a good credit score to get a personal loan?

A good credit score will make it easier to get a personal loan and get the best interest rates. You may be able to get a loan with a poorer credit score, but the interest is likely to be higher than with the best personal loans.

There are several options that can help people who have poor credit access finance, including loans for bad credit, guarantor loans, or secured loans, although you should research these alternatives and check your eligibility before applying.

» MORE: Find loans for bad credit

Are there any alternatives to a personal loan?

A personal loan may not be the best option for every person or situation. Some alternative sources of credit include:

Can I cancel my personal loan?

Most personal loans are covered by the Consumer Credit Act 1974, which gives you the right to cancel your agreement within 14 days. You will then have 30 days to repay any money you have received.

If you want to cancel after this period and repay some or all of the loan early, you should contact your lender. You may need to pay early repayment charges to settle a loan before the end of the agreed term and you will have to pay any interest you owe as well as the balance of the loan.

Will the UK interest rate affect personal loans?

Interest rates in the UK are based on the Bank of England base rate. This rate determines how much financial institutions are charged to borrow money and can have an impact on what lenders then charge their customers.

However, if your personal loan is on a fixed rate, the rate of interest you are charged will not change during your repayment period. That means that if the Bank of England increases or lowers the base rate, your repayments will not change.

» MORE: How interest rates might affect your finances

Does the government offer personal loans?

If you receive benefits, you may be entitled to an interest-free loan from the government for certain payments. Budgeting loans and benefit advances might be available to some people who have sufficiently low savings in order to buy certain essential goods, such as food or clothes.

» MORE: Borrowing money while you are on benefits

About the author:

Joel Kempson is a personal finance expert and writer at NerdWallet. He has previously written for Money.co.uk and Uswitch, as well as being quoted in the Daily Express, The Mirror and The Sun. Read more

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