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Compare Personal Loans in the UK

Carla Soto
Updated Oct 5, 2022
Fact checked

We all have personal dreams we want to achieve. For some, it’s a second set of wheels or a flat makeover. For others, it’s a holiday trip to an exotic destination. The heart wants what it wants, as they say.

But oftentimes, such dreams come with price tags we may not be ready for. We may even need some financial help, especially if our budgets are stretched out already. Not to worry: that’s where a personal loan can come in to close the gap. There’s no need to close the door on your desires!

Use the personal loan calculator on this page to instantly calculate your monthly repayments over the course of the loan.

Terms from 1 to 10 years. Representative example: 5 year £10,000 loan with comparison rates from 2.8% to 49.9% APR would cost between £10,728 and £27,321, including fees. The interest can vary between £728 and £17,321.

The basics

In general, loans fall under either one of two types. The first type is a secured loan, where you have to provide security to the lender. (For example, your car or your house.) The lender will then provide a loan based on the value of the security.

An unsecured loan, meanwhile, doesn’t require any security. The lender provides the loan based solely on your credit profile, including your payment history. The better your credit profile, the higher the chances of loan approval. Unsecured loans tend to be more expensive than secured loans, though. This is because the lender charges more interest for the lack of security.

Personal loans are a kind of unsecured loan. As the name suggests, you can use them for almost any personal purpose or purchase. A new car, a home improvement, tuition, a wedding… you name it. You can even try consolidating your personal loans with other banks!

Keep in mind, however, that you can’t use personal loans for:

  • Business financing
  • Payments and investments related to land (such as house deposits)
  • Regular expenses (including rent, taxes and recurring bills of any kind)
  • Financial investments (like stock offerings)
  • Illegal or criminal activities

Loan features

Not sure yet how a personal loan entirely works? We’ve been there, so that’s okay! There’s quite a lot to understand about loans that can overwhelm you.

Let’s start first with the following key features of personal loans that you must know:

  • Loan amount: How much you actually need. This can range between as little as £1,000 to as much as £50,000.
  • Term: How long you have to pay the loan off. Normally, this is as short as 1 year to as long as 10 years.
  • APR: The interest rate, which calculates the total interest you have to pay.
  • Setup fee: Payment for your application, which can also be “product fee” or “arrangement fee”. Most lenders don’t charge this anymore, though some still do.
  • Repayment method: How you’ll be paying back your loan monthly. Usually, lenders ask for a bank account from which they’ll debit your payments.
  • Late payment fee: Lenders may charge you for missed or late payments.
  • Early repayment: If you have excess cash, you can make extra loan payments. You can even fully pay off your loan before the term ends! But if you do this, lenders may charge you up to 2 months’ interest.
  • Payment holiday: This is a break from loan payments, which some lenders allow. They’ll require you to meet certain conditions first, however.
  • Joint loan: Some lenders will allow you to apply for a personal loan with another borrower.
  • Top-up: Still need more cash after getting your personal loan? Most lenders offer this option. You can get a whole new loan with more funds, or another separate loan.

Calculate repayments

Loan Amount

£15,000

Term

3 months

Metro Bank

Metro Bank personal loans

EST Monthly Repayment
EST Monthly Repayment
3.90%
APR
EST Monthly Repayment
12 months
to 60 months
EST Monthly Repayment
£1,000
to £35,000
We’ve welcomed award-winning lender, RateSetter, into the Metro Bank family to bring our customers a personal loan that’s easy to apply for and simple to manage.
Danske Bank

Danske Bank personal loans (5,000 - 25,000)

EST Monthly Repayment
EST Monthly Repayment
5.50%
APR
EST Monthly Repayment
12 months
to 60 months
EST Monthly Repayment
£5,000
to £25,000
From home improvements to buying a car - a Danske Fixed Rate Personal Loan could help spread the cost. Plus, because we allow single and joint applications, you can apply with a partner or family member.
Bank of Ireland

Bank of Ireland personal loans (€20,000 – €65,000)

EST Monthly Repayment
EST Monthly Repayment
6.60%
APR
EST Monthly Repayment
12 months
to 60 months
EST Monthly Repayment
£2,000
to £65,000
Whether you’re looking for your new car, making home improvements, planning a fabulous wedding or just tidying up your finances, a loan from Bank of Ireland UK could help make your dreams come true.
Barclays

Barclays personal loans (15,000 - 24,999)

EST Monthly Repayment
EST Monthly Repayment
6.80%
APR
EST Monthly Repayment
24 months
to 60 months
EST Monthly Repayment
£15,000
to £24,999
When it comes to putting your plans into action, it’s personal. And with a personalised loan just a few clicks away, getting things moving could be simpler than you think. Get your loan rate before you apply – without it affecting your credit score.
Bank of Ireland

Bank of Ireland personal loans (€10,000 – €19,999)

EST Monthly Repayment
EST Monthly Repayment
7.30%
APR
EST Monthly Repayment
12 months
to 60 months
EST Monthly Repayment
£2,000
to £65,000
Whether you’re looking for your new car, making home improvements, planning a fabulous wedding or just tidying up your finances, a loan from Bank of Ireland UK could help make your dreams come true.
Leap

Leap personal loans (5,000 - 15,000)

EST Monthly Repayment
EST Monthly Repayment
8.00%
APR
EST Monthly Repayment
12 months
to 60 months
EST Monthly Repayment
£5,000
to £15,000
Our personal loans could allow you to refinance, consolidate your debts or put it towards doing more of what you love.
Bank of Ireland

Bank of Ireland personal loans (€2,000 – €9,999)

EST Monthly Repayment
EST Monthly Repayment
8.25%
APR
EST Monthly Repayment
12 months
to 60 months
EST Monthly Repayment
£2,000
to £65,000
Whether you’re looking for your new car, making home improvements, planning a fabulous wedding or just tidying up your finances, a loan from Bank of Ireland UK could help make your dreams come true.
Bank of Ceylon

Bank of Ceylon personal loans up to 5 years

EST Monthly Repayment
EST Monthly Repayment
9.25%
APR
EST Monthly Repayment
12 months
to 60 months
EST Monthly Repayment
£2,000
to £50,000
Get a step closer to your dreams and goals by availing our Personal Loans and meet your financial needs. You can avail a personal loan to meet unexpected expenses, a dream holiday, school or college fees, wedding expenditure, home improvement expenses or even purchase of consumer durables.
JN bank

JN bank personal loans (2,500 - 15,000)

EST Monthly Repayment
EST Monthly Repayment
9.90%
APR
EST Monthly Repayment
12 months
to 60 months
EST Monthly Repayment
£2,500
to £15,000
Tidy up your borrowing. Whether you’re looking to reduce the costs of ?borrowing, or simplify your finances, a JN Bank Personal Loan could help. And whatever term you choose, the rate's fixed so you can manage your monthly payments
RAC

RAC personal loans

EST Monthly Repayment
EST Monthly Repayment
9.90%
APR
EST Monthly Repayment
12 months
to 84 months
EST Monthly Repayment
£1,000
to £25,000
An RAC loan allows you to borrow up to £25,000 and pay back a fixed amount every month, over a set term. So, you can cover those big one-off expenses – like buying a car, home improvements, debt consolidation or a wedding. Whatever you need, the RAC could lend a helping hand.
Lending Works

Lending Works personal loans

EST Monthly Repayment
EST Monthly Repayment
12.90%
APR
EST Monthly Repayment
12 months
to 60 months
EST Monthly Repayment
£1,000
to £25,000
Whether you’re looking to buy a car, improve your home, pay for a wedding or simply take control of your finances, a flexible, low-cost personal loan from Lending Works could be the perfect one for you.
Bank of Beirut

Bank of Beirut personal loans < 10,000 USD

EST Monthly Repayment
EST Monthly Repayment
14.50%
APR
EST Monthly Repayment
12 months
to 72 months
EST Monthly Repayment
£2,000
to £50,000
The Bank offers a range of lending services and products to its private and corporate clients. These services include loans, overdrafts, discounting of commercial drafts and other Trade Finance related activities.
Bank of Beirut

Bank of Beirut personal loans (10,000 - 25,000 USD)

EST Monthly Repayment
EST Monthly Repayment
14.50%
APR
EST Monthly Repayment
12 months
to 72 months
EST Monthly Repayment
£2,000
to £50,000
The Bank offers a range of lending services and products to its private and corporate clients. These services include loans, overdrafts, discounting of commercial drafts and other Trade Finance related activities.
Bank of Beirut

Bank of Beirut personal loans > 25,001 USD

EST Monthly Repayment
EST Monthly Repayment
14.50%
APR
EST Monthly Repayment
12 months
to 72 months
EST Monthly Repayment
£2,000
to £50,000
The Bank offers a range of lending services and products to its private and corporate clients. These services include loans, overdrafts, discounting of commercial drafts and other Trade Finance related activities.
The Cooperative Bank

The Cooperative Bank personal loans

EST Monthly Repayment
EST Monthly Repayment
15.10%
APR
EST Monthly Repayment
12 months
to 84 months
EST Monthly Repayment
£1,000
to £25,000
We've worked with Freedom Finance to carefully select a panel of lenders with competitive rate loans.
Zopa

Zopa personal loans

EST Monthly Repayment
EST Monthly Repayment
15.40%
APR
EST Monthly Repayment
12 months
to 60 months
EST Monthly Repayment
£1,000
to £25,000
See your personalized loan rates in just 3 minutes so you know exactly what you could get. Our rates are often among the lowest out there. Checking your rates won't affect your credit score.
Clearly Loans

Clearly Loans personal loans

EST Monthly Repayment
EST Monthly Repayment
17.00%
APR
EST Monthly Repayment
12 months
to 240 months
EST Monthly Repayment
£5,000
to £100,000
We could offer you a second mortgage of between £5,000 and £100,000 if you are a homeowner in England, Wales, Scotland or Northern Ireland.
Evolution Money

Evolution Money personal loans

EST Monthly Repayment
EST Monthly Repayment
19.56%
APR
EST Monthly Repayment
12 months
to 240 months
EST Monthly Repayment
£5,000
to £50,000
We provide specialised secured loans. However, we do it differently. Evolution Money are specialists in offering bespoke affordable secured loans to their customers.
Monzo

Monzo personal loans (7,001 - 15,000)

EST Monthly Repayment
EST Monthly Repayment
22.20%
APR
EST Monthly Repayment
24 months
to 60 months
EST Monthly Repayment
£7,000
to £15,000
Ditch hidden fees, confusing terms and waiting around. Achieve your goals and feel in control with a Monzo loan.
Oplo

Oplo personal loans

EST Monthly Repayment
EST Monthly Repayment
27.80%
APR
EST Monthly Repayment
24 months
to 72 months
EST Monthly Repayment
£2,000
to £15,000
Our unsecured personal loans can help make your plans a reality, whether it’s home improvements, a holiday or the consolidation of existing debts.
Creation

Creation personal loans

EST Monthly Repayment
EST Monthly Repayment
28.90%
APR
EST Monthly Repayment
12 months
to 60 months
EST Monthly Repayment
£5,000
to £100,000
Providing helpful everyday finance. We’re the power behind some of the UK’s best known brands, providing a range of helpful everyday finance solutions giving you flexibility and control.
Everyday Loans

Everyday Loans personal loans

EST Monthly Repayment
EST Monthly Repayment
71.30%
APR
EST Monthly Repayment
18 months
to 60 months
EST Monthly Repayment
£1,000
to £15,000
Everyday Loans is a direct personal loans lender based in Bourne End, UK. We provide loans to suit all credit types of up to £15,000. Apply today for a quick decision.
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Minimum and maximum loan periods vary between 1 month and 10 years. APR varies between 2.80% and 71.30% p.a. Total interest repayments vary between £435 and £1,019 over the life of the loan. *APR is based on an unsecured loan of R£15,000 for a term of 3 years. WARNING: This APR is true only for the examples given and may not include all fees and charges. Different terms, fees or other loan amounts might result in a different APR. These rates can change without further notice. All rates quoted are per annum.

More on APR

APR is short for “annual percentage rate”, which lenders also call the “representative rate”. It determines the overall interest cost you pay on your loan, regardless of the term. It can mean the difference between a cheap personal loan and an expensive one.

The APR can either be one of two types: fixed or variable. With a fixed rate, you pay the same amount of interest until the loan ends. This clearly benefits borrowers who want to know how much they pay monthly. Furthermore, a fixed rate protects you from paying more when the market rate is high. Since fixed rates do not follow market rates, you’d still pay the same monthly interest.

Meanwhile, variable rates change the amount of interest you pay every year. Variable rates follow market rates, so you pay more interest when the latter is high. But the good news is, you pay less interest when the market rate is low. If you’re lucky, the market rate may become lower than fixed rates. Check with your lender to know what kind of personal loan interest rates they offer.

The soft search

You’ve finally decided that you’ll apply for the personal loan. But, you want to know beforehand if you’ll even be approved in the first place. What if you want to save yourself the trouble of applying in case you’re rejected?

There is a way to find out early on! Most UK-based banks and lenders offer an “eligibility check”, also known as a “soft search”. It’s an automated system that quickly reviews your credit profile held by credit companies. Furthermore, it can provide a loan quote based on this review. Just put in your personal details and the loan terms you want, and voila! You get a quote that’ll tell you if you should continue your application.

Through this, you can also get a better estimate of personal loan rates. You may not always get the rates lenders advertise, simply because each customer is different. For example, your rate may be higher if you have a history of missing payments. Knowing your APR beforehand through a soft search will better inform your decision to apply. (Please note that the soft search does not guarantee the rate it provides. At the end of the day, it’ll be the lender who determines this.)

The best thing about the soft search is that it doesn’t affect your credit score. You can request this with as many lenders as you like with no worries. The results will never be visible to other lenders. Think of it as doing your homework for your financial well-being!

The application process

Dreading all of the effort that comes with applying? It’s no longer as painful as you might first think. These days, most banks and lenders make the application process for their personal loans easy. It can be even as quick as ten minutes!

To start, you need to check if you qualify for the personal loan. Although most lenders have their own requirements, you’ll often come across the following:

  • 18 years of age or older
  • Permanent residence in the UK
  • Ownership of a UK-based bank account
  • No previous history of bankruptcy

After you clear the requirements, you’ll need to fill in a form with personal details. These relate to your identity, your address, your regular income, and your regular expenses. You can usually find the form itself on the lender’s website or mobile app. Do note, you may need to provide proof of the information you’ve filled in.

Once you submit your application, the lender will perform a full credit check on you. This is the standard loan review that affects your credit score, unlike the soft search. Other lenders will see the results of the full credit check once it’s done. This is why, before you hit that “Submit” button, you’re 100% sure about applying already.

Personal loan UK FAQs

Does applying for a personal loan affect my credit score?

Yes, it does. This is why, whenever possible, you should ask the lender first for a soft search quote. This gives you an idea if you should apply for the loan at all. In turn, you can maintain your credit score if the quote shows you shouldn’t apply.

Can I use a personal loan for a house deposit?

Most lenders in the UK offer £1,000 as a minimum. On the other hand, the maximum can go up to £50,000 for some of them. Do keep in mind that the amount you borrow affects the APR.

Can I take out more than one personal loan?

Certainly! This is called the “top-up”, which we already discussed earlier. However, you’ll have to pay more interest overall. The APR on the top-up may increase too, since the lender’s taking on more risk.

Where can I get a personal loan?

As a starting point, you can check out our personal loan comparison table above. It’ll show a list of personal loan providers in the UK. From high street banks to online banks, you can narrow down your choices.

Can a personal loan be used for business?

No, you can’t. This is yet another loan purpose most lenders won’t allow for personal loans. If that’s the intention, you may want to check out secured loans instead.

A final word

While it’s terrific to achieve your personal dreams, your bank accounts have to be ready. At the end of the day, a personal loan is a serious financial commitment. You should only apply when you know you can pay, and under ideal conditions. Also, make sure that the loan terms are most suited to your personal circumstances.

For the best personal loans, check out our personal loan comparison table, higher on this page. There, you’ll see a wide range of banks and lenders, and the terms each offers. From there, you can also visit their websites and research on more details. Remember this: an educated borrower is a sure winner.

Happy shopping!

Carla Soto
Carla Soto

Carla is a skilled copywriter at BestFind with a background in marketing and communications. She specializes in reviewing personal loan and finance products to help readers navigate the complex world of personal finance.

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