Looking for the best personal loans? You’re not alone- in fact, personal loans are fast becoming one of the most popular ways for people to access the money that they need, even if they have a bad credit score. Unlike payday loans, the best personal loans UK are often provided by banks and other financial institutions, taking a bit of the pressure off you as a borrower. Even if you’ve got a poor credit score, the best personal loans still offer reasonable interest rates, so that you don’t have to worry about how you’re going to pay it all back. What’s more, if you keep up with the repayments in a timely manner, you’ll actually end up boosting your credit score. That will help you to access better loans with even lower interest rates in the future, so a personal loan could end up actually working in your favor financially!
Of course, since these personal loans are fast becoming so popular, it’s no surprise to learn that there are a huge number of financial institutions offering them. Many of them claim to be the best personal loans in the UK, but how can you be sure you’re getting the best deal? Well, luckily for you, that’s where we come in.We’ve carefully examined a whole host of different offerings to come up with our list of the very best personal loan deals. Read on to find out just who the best personal loan providers are, and what makes their offerings so special. Don’t max out your credit card or take out irresponsible personal loans- instead,
You might be surprised to learn that a supermarket is offering one of the best personal loan deals, but it’s true- ASDA Money are one of the premier options. Why’s that? Well, pretty much all the main supermarkets in the UK have started to dabble in banking in the last decade or so. They need something to mark themselves out from traditional banks, and since they already make huge amounts of money with their main business, they can afford to give out better deals a lot of the time. ASDA Money don’t actually hand you the money themselves, but they will act as a go-betweento provide you with some of the best personal loan rates anywhere.
So far, we’ve seen how supermarkets are able to be some of the best personal loan providers, since they don’t operate in the same way as traditional banks. But they aren’t the only ones who are breaking the mold. Another exciting development in the world of personal loans is the idea of peer-to-peer lending, where investors stump up the money for borrowers, and then get a cut of the interest payments. Zopa were one of the very first to adopt this peer-to-peer model, and for over a decade they have been offering some of the best personal loan deals around. Their interest rates are positively tiny, with an average APR of just 3%. Of course, that depends on your own financial circumstances and the amount that you borrow, and you’ll also need to make a one-off payment of 1% on the loan that you take out. That being said, interest rates that low don’t come this low all too often, especially since you can choose repayment plans that last up to five years. That should be plenty of time to pay things off, making Zopadefinitely one of the best personal loan providers around today. It’s onwards and upwards for Zopa, too, as they plan on opening their very own UK bank in 2018, and offering borrowers an overdraft instead of having to take out personal loans. Watch this space, and you could find an even better solution to your needs than their existing great personal loans!
Hitachi Personal Finance
When you hear the name Hitachi, you probably think of their cars. However, Hitachi is actually a huge corporation with plenty of different branches, one of which- you’ve guessed it- offers some of the best personal loan deals around. Their loans are repayable for two to five years, so you’ve got plenty of time to repay them. Again, they offer remarkably low interest rates of a representative 3.4% APR, and that’s on their loans from between £5000-£25000. If you need a lower amount, then you could well find that you get an even better deal, so Hitachi Personal Finance is certainly a strong choice if you’re looking for the best personal loan providers.
Another supermarket this time- in fact, if you’re in search of the best personal loan providers, you really can’t go wrong with supermarket banks. Tesco Bank, though, are by far one of the most popular choices, for the simple reason that they offer some of the best personal loan deals. What’s more, they are among the most lenient of personal loan providers in terms of how long you can choose to pay off your loan- with Tesco Bank, you can select up to a whopping seven years, which is certainly a welcome option. This does mean that you’ll pay back more in interest in the long run, but it’s good news if you want to spread the cost to make things more manageable to keep on top of. Their typical APR for loans between £5000 and £7500 is a low 3.3%, too, making them one of the cheaper options out there for the best personal loans. In fact, we’d go so far as to say they are the best of the bunch! To know more about short term loans, please click here.