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Borrow Money

Borrowing money can be a helpful solution for managing unexpected expenses, consolidating debts, or funding significant purchases. Whether you need a small amount for short-term needs or a larger sum for long-term goals, understanding the available options ensures you make an informed decision that suits your financial situation.

How much would you like to borrow?
Representative 79.9% APR Rates from 12.9% APR to 1721% APR. The minimum Loan Term is 1 month. The maximum Loan Term is 36 months. Representative Example: £1,000 borrowed for 18 months. Repayment of 17 Months at £87.22 and final repayment of £87.70 The total amount repayable is £1570.44. Interest amounts to £570.44, an annual interest rate of 59.97%.

Ways to Borrow Money

There are several ways to borrow money in the UK, each suited to different circumstances:

1. Personal Loans

Personal loans allow you to borrow a fixed amount, typically ranging from £1,000 to £25,000, with fixed monthly repayments over an agreed period. These loans are ideal for planned expenses such as home improvements or consolidating debts.

2. Credit Cards

Credit cards provide a revolving line of credit that you can use as needed. They are suitable for smaller, ongoing expenses or emergencies. Many cards offer interest-free periods for new purchases or balance transfers.

3. Overdrafts

An authorised overdraft allows you to borrow money through your bank account up to a pre-agreed limit. Overdrafts are useful for short-term cash flow gaps but can be costly if not repaid quickly.

4. Short-Term Loans

Short-term loans provide small amounts, typically £100 to £1,000, for urgent financial needs. They are repaid over a few weeks or months and often come with higher interest rates.

5. Guarantor Loans

Guarantor loans involve a third party who agrees to repay the loan if you cannot. These loans are designed for individuals with poor credit.

6. Credit Union Loans

Credit unions are community-based organisations that offer fair and affordable loans. They are an excellent option for individuals with poor credit or those seeking smaller loan amounts.

Benefits of Borrowing Money

Financial Flexibility

Borrowing can help manage unexpected expenses, spread the cost of large purchases, or consolidate existing debts.

Access to Funds

Various borrowing options ensure you can access money quickly when needed.

Credit Building Opportunities

Making timely repayments can improve your credit score and financial standing.

Things to Consider

Interest Rates

The cost of borrowing varies depending on the loan type, lender, and your credit history. Always review the total repayment amount before committing.

Repayment Terms

Ensure the repayment schedule fits comfortably within your budget to avoid missed payments.

Responsible Borrowing

Only borrow what you need and can afford to repay to avoid long-term financial difficulties.

Frequently Asked Questions

How much can I borrow?

Loan amounts range from as little as £100 for short-term needs to £25,000 or more for personal loans. The amount depends on your creditworthiness and the lender’s terms.

What is the easiest way to borrow money?

For smaller amounts, credit cards or authorised overdrafts can be quick and easy. For larger sums, personal loans are a reliable option.

Can I borrow money with bad credit?

Yes, options such as bad credit loans, guarantor loans, or credit union loans are available for individuals with poor credit.

Are all borrowing options regulated?

In the UK, all legitimate borrowing options must be authorised by the Financial Conduct Authority (FCA), ensuring fair and transparent practices.