Which personal loan
is best for you?

How much do you want to borrow?

£

For how long?

months

You would like to borrow £3,000 over 24 months

The table below has been updated, with the cheapest lending option at the top.  Please use the Visit Site buttons to apply, or re-enter loan information for another comparison.

A personal loan is perhaps the closest form of borrowing to the classic image of a financial product. This type of loan has been available in one form or another for thousands of years, and is offered by just about every bank. It’s also one of the most flexible loans, with almost every purpose considered by lenders. Loans are typically made for between one and seven years, and borrowing typically ranges from £1000 to £25,000. Many other types of loan, such as car loans or bad credit loans, are often in reality simply rebranded personal loans advertised for specific purposes.

What does representative APR mean?

APR is a measure of how much the loan will cost you each year based as a percentage on the loan amount. Those with good credit histories and circumstances, such as those who are on well paid permanent contracts and have no debts, will usually be offered the typical APR rates, while those whose circumstances are not quite as good are likely to receive offers somewhat higher than the advertised rates. The rates advertised must be offered to at least half of those accepted for the loan. Lenders vary massively on how different non-typical APRs are from the advertised rates. While some will increase the rate only marginally, others will exploit the borrowers lack of options and offer APRs many times the advertised rate.

Is there any advantage in sticking with my bank?

Sometimes banks reward loyalty with better rates. As your own bank has a better idea of how you manage your money and how much you have available for repayments than another lender relying solely on your credit profile and the information you provide, they can sometimes offer a better rate. However their rates are rarely better than those advertised, so you should not assume that your bank will always be cheapest. It is best to apply for the loan with the lowest rate you can reasonably expect to be offered before using your own bank as a final resort if you are declined by several cheaper lenders. Sometimes banks only lend to their own customers, although in this case setting up a new current account or switching to them is a worthwhile consideration.

Should I go for a longer term loan or pay back quicker?

The key choice when making a loan decision is affordability. Taking out a loan with repayments that you struggle to afford might leave you in more debt if you are faced with fees for missed payments, or are forced into other forms of borrowing. Nevertheless, you do not want to be paying back your loan longer as the interest you pay will be more. Striking a balance between the two is a good idea – giving you both the security that you will be able to pay back your loan, while ensuring that you aren’t needlessly paying interest. If you come into more money unexpectedly, you can usually pay back your loan early in part or in full for a small fee.

Should I just pick the lender offering the best rates?

Getting excellent customer service is often worth more than a fraction of a percentage point. If you run into financial difficulties, knowing that your lender is flexible can make a real difference. Similarly having a low early-exit fee if you come into some money can cut the cost of borrowing substantially. Don’t just look at the representative APR, but select a lender on the entire package.

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Warning: Late repayment can cause you serious money problems. For help, go to moneyadviceservice.org.uk.

ProviderLoanRepayment: £3,000
over 24 months
Representative APRTermUser Reviews
MinMaxMinMax
Sainsbury's Bank
£1,000
£25,000
£129.74
3.6%
12
Months
60
Months

Rated 4.3 / 5 by
by 322 users

Read Reviews

Representative Example:
Annual Interest Rate (fixed) is 3.60% p.a., with representative 3.6% APR based on borrowing £10,000 and repaying over 60 months with 60 monthly repayments. Monthly repayments of£182.11 with total amount repayable of £10,926.60.

Tesco Bank
£1,000
£25,000
£130.41
4.1%
12
Months
120
Months

Rated 4.5 / 5 by
by 321 users

Read Reviews

Representative Example:
Borrow £3000 over 60 Months. Monthly repayment amount of £140.61, Representative APR 12.2%, Total amount payable £3374.64

M&S Bank
£1,000
£25,000
£130.41
4.1%
12
Months
60
Months

Rated 4.4 / 5 by
by 295 users

Read Reviews

Representative Example:
Loan amount £5,000, 36 Monthly payments of £150.67. Representative APR 5.5%. Total amount repayable £5,424.12.

Hitachi Personal Finance
£2,500
£25,000
£130.41
4.1%
24
Months
60
Months

Rated 4.5 / 5 by
by 285 users

Read Reviews

Representative Example:
Loan Amount £5000, Loan Period 36 Months, Monthly Payments £150.46, Interest Rate 5.4% APR Representative, Total Amount Payable £5416.56

Cahoot
£1,000
£20,000
£130.54
4.2%
12
Months
60
Months

Rated 4.5 / 5 by
by 293 users

Read Reviews

Representative Example:
Loan Amount £8000, Loan Period 36 Months, Monthly Payments £236.62, Interest Rate 4.2% APR Representative, Total Amount Payable £8518.32

Santander
£1,000
£20,000
£130.68
4.3%
12
Months
60
Months

Rated 4.4 / 5 by
by 285 users

Read Reviews

Representative Example:
4.3% APR Representative. Loan amount £10,000 for £185.32 per month over 60 months. Total amount repayable £11,119.20. Rate of interest per annum 4.3% fixed.

Barclays
£1,000
£35,000
£130.68
4.3%
24
Months
60
Months

Rated 4.5 / 5 by
by 265 users

Read Reviews

Representative Example:
Loan Amount £8000, Loan Period 60 Months, Monthly Payments £150.73, Interest Rate 4.9% APR Representative, Total Amount Payable £9043.69

AA
£1,000
£25,000
£130.68
4.3%
18
Months
60
Months

Rated 4.5 / 5 by
by 278 users

Read Reviews

Representative Example:
£7,500 over 60 months at a fixed interest rate of 4.3% per annum would result in a representative APR of 4.3% APR monthly repayments of £138.86 and a total amount payable of £8,331.60

Zopa
£1,000
£25,000
£131.35
4.8%
24
Months
60
Months

Rated 4.5 / 5 by
by 256 users

Read Reviews

Representative Example:
A loan of £7,500 over 3 years will cost you £223.77 per month. The APR is 4.8%. The total cost after 3 years is £8,055.56, which includes £425.56 interest at 3.6% fixed and a £130.00 fee. The total amount of credit is £7,630.00.

Yorkshire Bank
£1,000
£25,000
£131.48
4.9%
12
Months
60
Months

Rated 4.5 / 5 by
by 239 users

Read Reviews

Representative Example:
On an assumed loan amount of £7500 over 60 months Rate of interest - 4.9% per annum (fixed). Total amount of credit - £7,500 Representative 4.9% APR. Total amount payable - £8,459.14 59 monthly repayments of £140.99 and a final payment of £140.73

Royal Bank of Scotland
£1,000
£25,000
£131.48
4.9%
12
Months
60
Months

Rated 4.4 / 5 by
by 252 users

Read Reviews

Representative Example:
Borrow £8,000.00 over 2 years Representative 4.9% APR Interest rate 4.90% p.a. (Fixed) will cost £350.22 per month Total amount payable: £8,405.28

Clydesdale Bank
£1,000
£25,000
£131.48
4.9%
12
Months
60
Months

Rated 4.5 / 5 by
by 236 users

Read Reviews

Representative Example:
On an assumed loan amount of £7500 over 60 months Rate of interest - 4.9% per annum (fixed). Total amount of credit - £7,500 Representative 4.9% APR. Total amount payable - £8,459.14 59 monthly repayments of £140.99 and a final payment of £140.73

Ulster Bank
£1,000
£25,000
£133.50
6.4%
12
Months
84
Months

Rated 4.5 / 5 by
by 224 users

Read Reviews

Representative Example:
Borrow £7,500.00 over 5 years Representative 6.4% APR Interest rate 6.4% p.a. (Fixed) will cost £145.76 per month Total amount payable: £8,745.60

Natwest
£1,000
£25,000
£133.50
6.4%
12
Months
60
Months

Rated 4.5 / 5 by
by 228 users

Read Reviews

Representative Example:
Borrowing £7,500.00 over 5 years at Representative 6.4% APR and Interest rate 6.40% p.a. (Fixed) will cost £145.76 per month, with a total amount payable of £8,745.60.

Lloyds Bank
£1,000
£25,000
£133.50
6.4%
12
Months
60
Months

Rated 4.5 / 5 by
by 244 users

Read Reviews

Representative Example:
Borrowing amount of £6,000, 48 Months Loan duration, £156.33 monthly repayments, 11.43%(fixed) rate of interest p.a., 12.0%Representative APR, £7,503.64 Total amount payable

Post Office
£2,000
£25,000
£134.86
7.4%
12
Months
84
Months

Rated 4.5 / 5 by
by 259 users

Read Reviews

Representative Example:
Representative 7.4% APR Annual Percentage Rate of charge – this shows the overall cost of borrowing, taking into account the term, interest rate and other costs.. Based on a loan amount of £7,500 over 48 months at an interest rate of 7.2% p.a. (fixed). Monthly repayment £180.22. Total amount payable £8,650.56.

Whilst we make every effort to ensure that the information is up to date, you should always confirm the terms of the offer with the product provider.



5 most recent personal loan reviews

Review of Natwest

My personal loan from NatWest was planned in advance because I like to do plenty of research before committing to something as important as a building extension. I wanted to make sure the loan would be possible and that it was at a competitive rate before I started employing architects and builders. I was in regular contact with our local branch's loan adviser and they finally sorted out a very good loan for me and once that was agreed I got on to the job of planning this extension. We'd already had the go ahead from the local council so it was all systems go once that all important loan was finalised. Sometimes it's best to deal with your own bank for such an important loan and I am pleased that I entrusted NatWest with my loan.

Review posted by Wayne Crouch, Plymouth

  • Customer Service
  • Flexibility
  • Ease Of Use
  • Value For Money

Review of Natwest

Hubby works abroad a lot and most of the day to day finances are left to me so when we decided we wanted to get a loan to pay for a new kitchen I was more than qualified to find the right loan. I made a big show of scouring the internet for competitive loans but I always hoped to get the loan through our own bank if they were quoting a competitive enough rate. I am delighted to say NatWest were and I've just had the loan finalised and the money deposited into our account. Now the one task I am 100% qualified to deal with is the planning of our new kitchen and hubby won't be getting any say in the design of a room he hardly steps foot in unless its to raid the fridge after a night out with his pals!

Review posted by Mrs Janet Walker, Luton

  • Customer Service
  • Flexibility
  • Ease Of Use
  • Value For Money

Review of Natwest

Even though there are loads of lenders to choose from when you are looking for a personal loan it doesn't necessarily mean it will be a straightforward process and I've found that out myself. That's why I have ended up going to my ow bank for this loan even though I found loads of different lenders advertising lower rates. In my particular circumstances the advertised rate was nothing like the rate I got quoted and I soon discovered that once these lenders start programming in your personal details and do their credit history and affordability checks that rate changes and invariably rises. So I decided to go back to NatWest who I have been banking with for over 20 years and just asked them to give me their very best quote for the loan amount I needed. It was as good and in some cases better than all the others so I went with it and I am very glad I did. My loan is sorted and I can manage the repayments online. Thank you NatWest!

Review posted by Gayle Anderson, Islington

  • Customer Service
  • Flexibility
  • Ease Of Use
  • Value For Money

Review of Ulster Bank

Thanks to the great loan Ulster Bank have just sorted out for us my wife is very happy that we can start planning our only daughter's wedding. The date is set for June of next year and we didn't really expect things to happen as fast as they have because our daughter only got engaged last weekend. We thought we'd have plenty of time to save up at least some of the money for it. No problems now because Ulster Bank were great at sorting out this initial loan for us which will give us the money needed to sort out the important stuff like the reception and all that involves which has to be booked quite a way in advance unlike our wedding when we had a spread at the local pub after the church! But that's how they do things these days and we wanted to make sure our daughter didn't miss out on the wedding of her dreams and thanks to Ulster Bank she won't have to.

Review posted by Kenneth Boyle, Belfast

  • Customer Service
  • Flexibility
  • Ease Of Use
  • Value For Money

Review of Ulster Bank

I told the loan adviser at my local Ulster Bank branch that I wasn't too keen on the rates they were advertising for their personal loans and she assured me that as a longstanding ufirstgold customer I would be eligible for a much lower rate than the 6.4% they were currently quoting on their website. I took her word for it and applied for a loan online. It didn't take too long for me to see she was telling the truth and not just reeling me in with false promises. I got a very decent 5.5% rate in the end and I am very pleased with the overall loan package they have put together for me. It comes with that good rate and very affordable monthly repayments which is really all I was looking for with this loan. Thanks Ulster Bank and keep up the good work.

Review posted by Eamon White, Lisburn

  • Customer Service
  • Flexibility
  • Ease Of Use
  • Value For Money


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