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Published 30 April 2024
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Abound Loans Review: Bad Credit Loans Pros, Cons & Features

Abound specialises in offering loans to people who may not qualify for standard personal loans. Find out about the features of an Abound loan, as well as its pros and cons.

Many or all of the products and brands we promote and feature including our ‘Partner Spotlights’ are from our partners who compensate us. However, this does not influence our editorial opinion found in articles, reviews and our ‘Best’ tables. Our opinion is our own. Read more on our methodology here.

Abound loans: at a glance

Abound offers unsecured personal loans and considers applicants who may not have a good credit history. It will look at your income and spending habits, as well as your credit history, before deciding whether to offer you a loan.

If you apply for a loan from Abound, you may need to wait two days before getting a decision. But, once approved, you should get the money in your account on the same day.

Even though you need to pay a non-refundable loan fee, you won’t need to pay any additional interest or charges if you pay off your loan early, which isn’t always the case with other lenders.

Nerdy Tip: As with any loan, it’s sensible to only borrow what you need and pay it back as quickly as possible, based on what you can comfortably afford to repay each month. Before applying for a bad credit loan, you must consider your alternatives and whether you could keep making the payments if an unexpectedly high bill landed on your doorstep or you lost your job, for example. Missing payments will make an already bad credit score worse.

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Abound Personal Loan

4 NerdWallet's ratings

1 to 5 years

£2,000 to £10,000



Representative APR 25.8%. Based on a loan of £2,000 over 36 months at an interest of 20.2% p.a. (fixed). Monthly repayments of £77.60. Total amount payable £2,793.60 (includes £130 fee).

  • Must be aged 18 or over.
  • Must have at least one UK bank account.
  • Must not have unresolved defaults or CCJs.

NerdWallet has partnered with Monevo who will check your eligibility.

Late repayments can cause you serious money problems. Consolidating multiple debts into one loan can extend the term of your borrowing and increase your cost of borrowing. 

Important information: Neither the review or star ratings considered lending rates, and therefore does not reflect how much it costs to borrow from these lenders. Loans for bad credit consumers can come with very high interest rates. Always check and compare a lender’s rates against others on the market when considering a bad credit loan. The rate you are offered will be dependent on your circumstances, loan amount and term, and may differ from the advertised rate. If you have poor credit, only borrow if it is necessary and you can comfortably afford repayments.

Abound loans pros & cons


  • You may not need to pay any additional interest or charges if you settle your loan early.
  • Abound could pay your loan into your account on the same day your application is approved.
  • There are multiple ways to contact Abound for help and support.


  • Abound charges a non-refundable loan fee, which is added to your total loan balance.
  • It could take up to two working days to get a decision on your application.
  • You can’t get a joint loan.

The pros and cons featured here are chosen by us based on a combination of our expert opinions from our research of the bad credit loans market and an exclusive survey of UK consumers conducted on behalf of NerdWallet UK in February 2023 to identify the features of bad credit loans that people feel are most important. They are not the only product features and restrictions that you should consider. You should align them to your personal circumstances. Information was correct at the time of publication but may have changed since. Rates have NOT been considered in our review of this product.

Abound loans overview

Abound lends to people who may not be eligible for a loan from a mainstream lender. It claims to look at the overall financial situation of an applicant before making a decision, not just their credit score.

You can borrow between £2,000 and £10,000 from Abound to cover things like emergency expenses or a larger necessary purchases, such as a car.

Abound charges a non-refundable arrangement fee that is added to what you borrow. You will pay interest on it and pay it back through your monthly payments. However, if you want to pay off your loan early, you won’t need to pay any further fees or interest charges that other lenders may apply.

Amount borrowable£2,000 to £10,000
Term lengthOne to five years
Time to get a decisionUp to two working days
Time to receive funds once approvedSame day
Customer supportPhone, live chat, email, text

Before applying for a loan, it’s worth using a loan eligibility service. This can help you to see your chances of getting a loan from different lenders, without affecting your credit score. Make sure you check that it only uses soft searches and how many lenders it compares.

Where Abound loans stand out

You can currently pay off your loan early without facing any charges

Many of the lenders we’ve reviewed will charge several days’ interest if you want to pay off your loan before the end of the agreed term. But Abound doesn’t apply these charges and will only charge interest up until the date that you repay the loan.

You could get your money on the same day of approval

Once your application is approved, Abound says it can transfer the money to your account on the same day. This means you shouldn’t be waiting too long before you can access your loan.

Where Abound loans fall short

It can take two days to get a decision

While you could get your money soon after approval, it could take up to two days to find out if your application is approved. This is longer than some other lenders, with some lenders able to offer you a decision within minutes.

Abound charges a loan fee

Abound charges an arrangement fee on its loans. This is non-refundable (unless you withdraw from the loan agreement within 14 days) and rather than paying this upfront, you repay it through your monthly repayments. The fee, along with the interest rate, will be included in the annual percentage rate (APR) you receive. This allows you to compare the total cost of an Abound loan with loans from other lenders.

You can’t pay by direct debit

You can only repay a loan from Abound via a continuous payment authority (CPA). Unlike many other lenders, Abound doesn’t give you the option to pay by direct debit. CPAs and direct debits work similarly, but a direct debit is taken directly from your bank account, while a CPA authorises the lender to take payment via your debit card.

What type of loans does Abound offer?

Bad credit loans

Abound says that while it takes credit history into account, it doesn’t look at credit scores and you don’t need a long credit history to qualify for a loan. Instead, Abound uses bank transaction data to understand your overall financial situation.

This means that you may be able to get a loan from Abound if you don’t have a good credit history and find it difficult to get a loan from other lenders. But the decision will depend on your individual circumstances because Abound will still run a credit check and other affordability checks to make sure you can repay the loan in full.

Always think carefully before applying for a loan, especially if you have a bad credit score, as an application will be recorded on your credit history and could affect your score.

And, if you are eligible for a loan, consider whether borrowing money is the best course of action for you. Especially as loans for bad credit come with higher interest rates, it may make more sense for you to improve your credit score or get professional advice from a debt charity, for example.

» MORE: Compare bad credit loans

Joint loans

Abound doesn’t offer joint loans. You can only apply for a loan as a single applicant.

Other lenders may be able to offer you a joint loan, but always check if you are eligible before applying.

Am I eligible for an Abound loan?

For Abound to consider your loan application, you need to:

  • Be aged 18 or over.
  • Be a UK resident with an address in the UK.
  • Have an account with a bank, building society or credit union that’s been open for at least three months and has open banking access.
  • Not have any unresolved county court judgments (CCJs) or defaults.

If you have a CCJ, an individual voluntary arrangement (IVA), a debt relief order or some other default on your credit history, but it is now resolved, Abound may consider your loan application.

However, it will still conduct credit and affordability checks and only approve your application if it believes you can afford to repay the loan alongside your other expenses.

Abound loan features review

Abound has similar features to other bad credit loans. However, it doesn’t apply interest charges if you pay off your loan early, which isn’t the case for many other lenders.

Making payments

You repay an Abound loan in monthly instalments. But, while many lenders allow you to pay by direct debit, you have to make payments to Abound via a continuous payment authority.

This means that you make payments from your debit card, instead of directly from your account. It works in largely the same way as a direct debit, as Abound will still automatically take the agreed payments from you each month.

When you apply for a loan, Abound will choose a date for your payments based on what day it thinks will work best for you. But you can ask to change this if you would prefer a different date.

You can also request a change to your payment date during the loan term. But make sure you check if it will affect the amount of interest you pay.


Abound doesn’t charge any fees if you make an overpayment. You can make a one-off additional payment or ask to increase the amount of your regular monthly repayments.

By making overpayments, you can pay off your loan quicker and reduce the amount of interest you pay overall.

Whether you have a loan from Abound or another lender, It’s always worth checking if there are any limits to the amount you can overpay.

Paying off a loan early

If you want to pay off your Abound loan before the end of the term, you can do so without paying any fees or extra charges.

Many lenders will apply interest charges if you want to settle your loan early, in line with what is allowed by the Consumer Credit Act. However, Abound doesn’t apply these charges, and will only charge interest up until the day you repay the loan in full.

» MORE: Paying off a loan early

Additional borrowing

If you have made at least six of your agreed monthly payments, you may be able to request to borrow more from Abound.

This involves a new loan application, and Abound will run its usual checks to see if you can afford to borrow more on top of your existing loan repayments.

Customer support

You can manage your loan via your Abound online account. But, if you need further help, you can contact Abound by phone, text, live chat or email.

Because Abound is an online-only lender, there is no option to visit a member of the customer support team in person.

Customer ratings

On Trustpilot, Abound has a rating of 4.9 stars based on over 5,000 reviews.

Abound is not one of the lenders that have been rated by the review site Fairer Finance.

This information is correct as of 8 April 2024.

Help if you’re struggling with debt

Late repayments can cause you serious money problems. Consolidating multiple debts into one loan can extend the term of your borrowing and increase your cost of borrowing. 

If you are struggling with debt, you can seek advice from a debt advice service, such as:

Abound loans FAQs

How long do Abound loans take to pay out?

Once approved, Abound could pay out your loan on the same day. But it could take two working days for Abound to decide on your application.

Is Abound a regulated lender?

Abound is a trading name of Fintern Limited, which is authorised and regulated by the Financial Conduct Authority.

Review methodology

At NerdWallet UK, we base our reviews and our ‘Best’ pages on the results of surveys we undertook about what was important to people who use these products. This allows us to look at products impartially of any commercial arrangements we have and fairly rate the products on the same set of criteria.

Best means our ‘Best’ and is based only on what products we have aligned to our surveys, which form the basis of our reviews and ratings. This means that there will be other products on the market that we have not included in our ‘Best’ pages. Best does not mean it’s best for you, nor does it mean the ‘cheapest’.

Our reviews may display lenders’ rates. This additional information has not been included in our evaluations but is still very important when choosing a product. Rates offered can depend on circumstances, amount and term. Always check details before proceeding with any financial product.

Product details reflect the information that was available at that time but may have changed since. We strive to give you a review on as many products as possible, but there will be products not included on the market. The review is our opinion, but it does not constitute advice, recommendation or suitability for your financial circumstances.

While we try to provide you with accurate information, the providers can change the terms of their products at any time, therefore it is advisable to check the terms before you proceed.

You can view our full review methodology here.

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