Low Interest Loans
Are you looking for low-interest loan options in the UK? Money Pig offers a multitude of low-interest loans such as personal loans, car loans, student loans, bad credit loans, etc… You can explore any of these options without worrying about being turned down due to a low credit score or your employment status. Our low-interest loans are available to everyone and with some useful tips that we are about to provide, you can easily structure your loan in a manner that your interest rates remain low.
This is possible when you do the necessary groundwork before borrowing a loan. You must always start by looking up for low-interest loans that are advanced for a longer duration. This helps reduce your monthly payments and increases your borrowing capacity, which eventually translates into higher savings. You can then invest your savings in equities or bonds, which adds up to your total income. If that sounds interesting and something that you want to do, then here’s everything you should know about low-interest loans.
Can You Get A Low Interest Rate Loan In 2022?
If you are searching for the best way to get a low interest rate loan in 2022, we wanted to give you a rough idea of the rates that you can expect across-the-board.
This will allow you to see the average rates and it will help you to work out what you should be looking at.
The easiest way to work out your loan rate and repayments is to use the APR. APR stands for annual percentage rate; this is essentially a charge for your borrowing.
You can also use this to search for loans or credit cards and compare the different rates. If you find that something is underneath a representative APR, this normally means that over half of the people that took a loan managed to get the same rate as advertised. Although, it does mean that if you see a representative rate that you might not get the same rate depending on your situation.
For some figures that will help you as rough guidelines as to what to expect they are as follows in the UK:
the average APR for a personal loan of £5000 is 7.87%, for a loan of £10,000 it is 3.48%.
As you can see above this is a really good indicator of how the loan rate is affected depending on how much you borrow. With a short-term loan you will normally not get a low interest rate, and this is because of the money borrowed over a shorter period will have a higher rate. The other thing to bear in mind is your personal circumstances, you can check out Experian and also our article on how to check your credit score. This will help you work out how a loan company will see you and how it may affect the rate that you get for your loan.
Low-Interest Loans | FAQs
- How to choose the best low-interest loans?
- Where can I get a low-interest loan?
- Does Money Pig offer unsecured low-interest loans?
- How can I apply for Money Pig's low-interest loans?
- Will applying for a low-interest loan affect my credit score?
- How much application or processing fee does Money Pig collect?
- How can I qualify for low-interest loans?
- Do you offer personal loans that charge a low-interest rate?
- Do you offer car loans with low-interest rates?
- Can I get a low-interest loan to consolidate debts?
- Can I get low-interest loans without a guarantor?
- How does my credit score affect my prospects of availing low-interest loans?
- How do I compare low-interest loans?
- What if I miss repayment of a low-interest loan that I borrowed from you?
Money Pig’s lenders offer several types of loans that charge low-interest rates, which includes student loans, personal loans, car loans, bad credit loans, same day loans, and long-term loans. So, if you wish to borrow a low-interest loan, you need to choose one based on your credit history and repayment capability.
Next, you need to borrow a loan for the shortest duration possible, as that would help keep your interest rates low. However, if your income does not allow you to do that, consider borrowing one that offers a fixed rate of interest. That would help keep your interest rates low because unlike APRs, fixed interest rates are only calculated on the amount that you borrow.
Another easy way to keep your interest rates low is by borrowing as little as you can. Most people tend to borrow more than they need, especially in the case of personal loans. The more amount you borrow, the more interest you end up paying — with that in mind, try to limit your borrowings.
Many direct lenders claim to offer low-interest loans or zero-interest loans but do so only for a short duration. That period is called the introductory period, but the fees charged after the expiry of the introductory period is usually much higher than what our direct lenders offer. So, for any reason, if you fail to repay the loan within that introductory period, you may end up paying more than you anticipated. So, when you are offered very low-interest rates or interest-free loans, you need to confirm the duration for which the interests remain zero or low.
At Money Pig, we bring you a host of direct lenders that have high ethical standards. With multiple options at your disposal, you are not at the receiving end. However, when you borrow from a bank or a financial institution, you are largely dependent on that particular organization, which then dictates the terms and conditions to you. To overcome this, we partner up with several direct lenders willing to negotiate a deal with you. So, when you put in your low-interest loan application, we connect you with the one most likely to approve your application. Also, the direct lender would be shortlisted based on the interest rates you are willing to pay for the loan, and your current credit history, which is verified through a soft credit check.
Money Pig’s network of direct lenders offers all types of loans, including unsecured low-interest loans. However, we must admit that we do not offer the loan directly to you but are a one-stop solution for anyone looking for any type of loan. So, with just one application, you gain the power to review low-interest loan offers from several direct lenders. In fact, quite a few direct lenders withing our network offer unsecured low-interest loans even to those with a bad credit score. We facilitate this to help such persons get back on their feet as the economy continues to crumble.
If there’s something that’s making you think twice then you must know that all our direct lenders are legitimate. We know this because we do the legwork for you and ensure that these direct lenders are approved and licensed by the Financial Conduct Authority (FCA). However, we recommend that you confirm the same on the FCA register. Our direct lenders offer competitive interest rates and exit clauses that can help keep interest rates low. However, as the final terms and conditions offered to every borrower varies on factors like their age, credit history, repayment capability, etc… we recommend that you clarify the essential clauses before entering into the loan agreement.
To be eligible for a low-interest loan, you must be a UK citizen who has completed 18 years of age and is eligible to enter into a contract. If you meet those criteria, then you can be sure that your credit history or employment status won’t create a roadblock. Also, you must have a source of income through which you would repay the loan that you wish to borrow. Although we do not stress on having full-time employment, we would require you to have a steady source of income. You can be sure that we won’t turn you down if your income comes from part-time employment or remote employment. Your credit history need not be too high as you can always apply for a bad credit low-interest loan, just in case your finances aren’t doing great at the moment.
You can apply for Money Pig’s low-interest loans through its website. You can do this by filling out a quick online application form, with a clear mention of your requirements. We receive hundreds of applications daily but respond to them as quickly as possible and facilitate the loan through our wide network of direct lenders. Once you put in your low-interest loan application, we then find you the best deals and help you get the most out of your borrowing. Our goal is to help you discover the right options and transact with ethical and renowned professionals in the financial sector.
Unless you apply with Money Pig, your loan application could very well hurt your credit score, and here’s why. The FCA has laid down guidelines for all financial services providers to run a mandatory credit check before advancing a loan. There are two types of credit checks that can be done — hard credit check and soft credit check. Most premier banks and financial institutions run a hard credit check during the application process. So, if your low-interest loan application is rejected then the credit agency is intimated about it. Consequently, that would impact your credit score because a loan rejection isn’t a very positive action.
However, Money Pig adopts an entirely different approach, and we partner-up only with those direct lenders that are willing to process applications based on soft credit checks only. Since there would be no hard credit checks during the loan application process, that’s not going to adversely impact your credit score. Moreover, Money Pig’s loan approval rate is very high as we always manage to find a direct lender willing to lend a loan to most of our applicants. So, when you apply for a low-interest loan through Money Pig, you can be sure that it won’t affect your credit score.
Money Pig runs on a unique business model, and unlike its competitors, does not collect any loan application or processing fee from loan applicants. So, all our services are absolutely free for those who wish to apply for a loan from our network of direct lenders. If you are wondering how we run the show, then we do so by collecting a small commission from the direct lender. This is to ensure that the borrower is not burdened with any type of application or processing fees. While you are already struggling with your finances, we do not wish to add salt to injury by collecting any type of fee from you. However, if you receive a call from someone claiming to be from Money Pig and asking for a fee, then we urge you to report it. Money Pig does not collect any type of fee from applicants, nor do any of its employees.
Yes, we do offer personal low-interest loans, which can be borrowed for any purposes. Also, we have other loans designed for specific purposes that you can consider borrowing. A few to mention include loans to consolidate debts, car loans, student loans, and bad credit loans. However, if a personal loan is something that you are keen on, then we won’t disappoint you.
Some of our direct lenders offer very attractive interest rates on personal loans and can further lower it when you borrow a larger sum or request for a longer repayment period. You must however not get carried away by these tempting offers and end up with debts that you cannot repay. So, make it a point to only borrow as much as you truly need. Also, we recommend that you plan a shorter repayment period, which may spike up your monthly payments, but would finally translate into lower interest rates.
Yes, Money Pig’s lenders do offer car loans, but most of our customers prefer to buy their cars with our other short-term loan options such as personal loans and student loans. These are low-interest loans that let you own the car sooner than you otherwise would. With these loans, you get the ownership of the car soon after paying its price to the car dealer.
That makes it one of the most preferred methods of buying a car. On the other hand, if you bought a car with a car loan, then the ownership would lie with the lender until you repay the entire loan amount. This is often perceived to be a roadblock for anyone who wishes to sell the car during the loan period and buy a new one. However, if you want to pick a low-interest car loan to avoid car ownership and the maintenance costs that come with it, then we could facilitate that as well.
Yes, we can help you get a low-interest loan to consolidate your existing debts and start afresh. Most people choose this option when they have multiple unsecured loans. Since most unsecured loans charge higher interest rates, this sort of arrangement turns out to be more profitable. Moreover, since the lender has nothing to forfeit in case of non-repayment, they usually allow prepayment of unsecured loans. However, what you may not know is that prepayment of those loans may attract a penalty fee. So, have a word with your existing debtors in this regard. Also, we strongly recommend that you maintain all such communication in writing, preferably over emails.
Once you are confident that consolidating your debts would prove to be a profitable option, fill out our online loan application and submit it. We’ll then get back to you with the best deals from direct lenders willing to offer you a low-interest loan to consolidate your debts. While some of our direct lenders may require security for such loans, we also have those who would be willing to offer unsecured low-interest loans. So, remember to specify the type of loan you need — secured loans or unsecured loans to consolidate your debts and we’ll get back to you with those very offers.
Yes, Money Pig’s direct lenders offer several low-interest loans that do not require a guarantor. We know that sometimes it can be impossible to get someone to back you up as a guarantor and therefore we connect you with direct lenders willing to advance loans without that criterion. So, if that was holding you back from applying through Money Pig, then don’t let that come in your way. Money Pig is focused on offering low-interest loans through ethical direct lenders having flexible loan approval criteria.
You can apply to borrow from Money Pig regardless of your credit score, but when you have a good credit score, you are in a better position to negotiate a low-interest loan. Nevertheless, the bad credit loans advanced by our direct lenders offer competitive interest rates, which are best in the industry. So, although your current credit score would impact the interest rates that you are offered, we do offer other useful options. So, the impact is not as severe as it would be if you dealt with a bank or a financial institution.
Usually, leading financial institutions offer low-interest loans only to those with an excellent credit history. In fact, loan applications from those with bad credit scores are often rejected, and those with mediocre credit scores are asked to furnish one or more guarantors. Money Pig does not put you through direct lenders who have rigid eligibility criteria.
All our lenders are flexible and offer loans to those with all types of credit scores. However, if at any point you feel that you are paying a higher interest rate, then we recommend that you try to repay your loan as quickly as possible. This would reduce the overall interest that you would have to pay but be sure to do this only when you can afford higher monthly repayments.
When you compare low-interest loans, there are a few things that you must watch out for. You don’t want to fall prey to the many illegitimate and unethical lenders ready to trick you into the wrong deal. So, start by confirming the legitimacy of the offers that you wish to compare. You can do this by verifying the names of the potential lenders in the online FCA register. This step is required to confirm that all the offers come from licensed and legitimate direct lenders. Those applying for a low-interest loan from Money Pig need not worry about this because we make it a point to partner-up only with FCA licensed direct lenders.
With that out of the way, you need to classify the low-interest loan offers depending on the type of interest rates offered — APRs or fixed interest rates. To keep your interest rates low, we recommend that you choose loans that calculate fixed interest rates. As APRs calculate interest rates based on the loan amount borrowed along with loan processing fees, it's higher. Again, repaying your loan quickly is the key to keeping your aggregate interest low. However, this works only when you are confident about not missing out on repayments.
Another way to get low-interest loans with a bad credit score is by finding someone with an excellent credit score, who is willing to stand by you as a Guarantor. By negotiating on the basis of the Guarantor’s goodwill, you should be able to get a low-interest loan. However, this sort of flexibility may not be offered to you by banks and other leading financial institutions. Such organizations do not process applications that come from individuals with bad credit scores.
Money Pig’s direct lenders do things differently and may be willing to negotiate on this basis. Also, our lenders offer favorable early repayment clauses when you furnish a guarantor with a good credit score. Besides that, our direct lenders also offer several unsecured loans that do not require you to furnish a Guarantor. So, the choice is yours and whichever one you choose, Money Pig would do all that it can to provide suitable financial assistance.
In accordance with the best practices followed by all financial service providers in the UK, our direct lenders regularly report the borrower’s actions to the credit agencies. This includes prompt payments, delayed payments, and defaults or non-payments. Accordingly, that impacts your credit score and therefore we recommend that you clarify the exact terms and conditions such as exit clauses, penalty clauses, number of late payments permitted to you, and other critical clauses that may have a direct impact on your credit score.
Also, we recommend that you work out favorable terms with regards to late or delayed payments. So, if you find yourself in a tight spot then this should give you some time to arrange funds. Also, our direct lenders are licensed by the FCA and adhere to the guidelines and best practices laid down for direct lenders and financial services providers. So, even in the worst scenario, our direct lenders would follow the debt administration procedures and guidelines laid down by the FCA.
Money Pig’s direct lenders bring you exciting low-interest loan options. To get the best deal, Apply Now.