Personal loans in the UK can be tricky. There are times when the interest rates are pretty high but there are also instances when it has hit an all-time low. This 2015, reports reveal that many lenders are planning to raise their interest rates on their personal loan products. With higher interest rates, the outlook doesn't look all that good if you're planning to borrow anytime soon. But it still shouldn't stop you from taking out a loan. There are still loan deals that offer competitive interest rates as low as 3.6% and we've compiled a list for you.
If you have good credit, chances are high that you are likely to get approved for the lowest interest personal loans. Having bad credit under your belt, on one hand, may be a different story. When you apply for the loans listed below, keep in mind that there is no guarantee that you'll avail the interest rate advertised. Depending on your credit score, rejections are always a possibility. Either way, here are the best loan deals with the cheapest interest rates for amounts from £7,500 up to £15,000:
- 1. At an interest rate of 3.6% for loan amounts from £7,500 and £15,000, M&S Bank is a good option. Loan term starts from one to five years and loan availability is only limited. To be eligible for this loan option, you must be of legal age, a resident in the UK and must have an income of more than £10,000 a year.
- 2. Another option which offers an interest rate at 3.9% is Sainsbury Bank. You can also borrow between £7,500 and £15,000 at repayment terms from one to seven years. You can an even lower interest rate at 3.8% if you can repay the loan within one to three years. The loan option is available for customers with a Nectar card.
- 3. HSBC also offers loan deals from £7000 up to £15000 at interest rate of 3.9% for repayment terms from one to five years. If you are an HSBC current customer, you are eligible to avail of this loan offer.
- 4. If you want loan offers beyond £15,000, you can inquire at First Direct. They offer loan deals at 3.9% for loan amounts from £7000 up to £25,000. This loan deal, however, is only available for current account customers with 1st Account with First Direct. Repayment terms for said loan option start from one year and may last up to seven years.
- 5. At 4% interest rate, Hitachi Personal Finance offer loan amounts from £7,500 up to £10,000 at repayment terms from two to five years.
- 6. Tesco Bank offers loan amount deals from £7,500 up to £15,000 at interest rate 4.1%. You can repay the loan for one or up to 10 years. It makes an ideal option for people who want a lower monthly repayment at a longer term than what other lenders offer.
- 7. Matching Tesco Bank's offer is The AA which offers loan deals from £7,500 up to £15,000 at similar interest rate of 4.1%. Repayment term starts from 18 months up to five years.