Loans online - Find a personal loan that suits you

Knowing how much you need to borrow, for how long, and whether a secured or unsecured loan is the most appropriate for you, will make finding a personal loan easier. There are so many companies offering loans online, it can seem difficult to know where to start, so focus on lenders who offer the type of loan you're after. The main types of lenders in the marketplace are:

• Banks
• Building societies
• High street and online finance companies
• Loan brokers
• Telephone based lenders

It is important to shop around and compare interest rates and loan products to make sure you get the right loan for you. The following resources can provide a good place to start:

• high street advertising
• magazines
• newspapers

In all cases lenders are obliged under the terms of the Banking Code (2008) to provide a Summary Box of information outlining applicable charges and interest rates for their personal loan products, so consumers can make an informed decision before they take up an offer.

Here's an example of a summary box for an unsecured personal loan:

Summary Box Term	Unsecured Personal Loan Example
APR (Annual Percentage Rate)	Typical 8.0% APR If successful, the interest rate you will pay is based on your personal circumstances and the amount you choose to borrow.
Interest rate ranges	Loan size range £7,500 - £14,950 From % 8.0% To % 16.0% Representative APR 8.0%
Interest charging information	The interest charged is added to the total loan at the beginning of the loan term. The charge is calculated by applying the agreed rate to the loan balance on the basis that you will be paying part of the loan each month, over the chosen term. This results in a larger amount of interest being attributed in the early months of the agreement than in the later months. The interest rate applicable to your agreement will be fixed for the life of the loan.
Repayment information	The first monthly payment is payable 30 days from the date you receive the loan funds, unless you chose to change the monthly payment date. Other monthly payments are payable on the same date each month until the loan and all the interest and any other sums due are repaid. Payment holidays and deferred payments at the start of the loan are not permitted.
Repayment period	12 - 60 months in monthly intervals.
Amount of loan available	£7,500 - £14,950 in £50 intervals
Application/arrangement fee	Not applicable
Other fees	Not applicable
Default fees	Late Payment Fee £15 Monthly Arrears Fee £20 Default Notice £40
Early settlement	We will determine your settlement date and any rebate of interest to which you are entitled in accordance with the Consumer Credit (Early Settlement) Regulations 2004. If the agreement is for a term of one year or more, we may charge you one month’s interest to cover the cost of setting up your loan.

Most personal loan interest rates are advertised as APRs, however, not all lenders calculate their APR the same way, so for a true comparison look for the TAR (Total Amount Repayable) and/or the monthly repayment amounts to see exactly what the loan will cost you. 'Best-buy' tables published in the media are helpful in that they compare products whose APR rates are based on the same terms and conditions.

It also pays to find out about differing lending criteria and additional loan features by phoning or emailing lenders, some good questions to ask are:

• Can you take repayment holidays?
• Are there any fees if you want to make additional payments onto the loan?
• What would the initial payment be and what will the regular payment amounts be?
• What will the total cost of the loan be, including interest and charges?
• Do they offer loan repayment protection insurance in case you are unable to make your repayments in the event of sickness or loss of income due to redundancy, and if so how much will it be?

Most lenders including high street Banks have online sites you can use to search and compare personal loan products. Alternatively if you don't know which lender you want to use, just doing a search from your home page, for example typing in "unsecured personal loans" will bring up several links for you to investigate. Doing a search online for "personal loan brokers" will also provide several links to online companies who specialise in helping people to get personal loans.

There are also personal loan comparison sites available which enable you to type in what you need and they generate the best loan products for your circumstances. You may also get an indication of the likelihood of being approved in some cases. We've included links to some independent personal loan comparison sites here for you to start your search:

www.beatthatquote.com/loans Compare Loans: Personal Loans, Secured Loans, Consolidation Loans.

www.moneyextra.com/loans/ Compare unsecured, secured and consolidation loans.

Download the Personal Loan PDF Guide here - see our other free PDF guides here

Guide Contents

What are personal loans?
Managing your personal loan
Secured Loans - Unsecured Loans - Types of Loans
Loans Online - Find a loan that suits you
Apply for a loan
Personal Loan - FAQ's
Where can I go to get more personal loan help?

main menu << previous page   next page >>