David Allan

Experly compared by David Allan

Products Updated May 5, 2018

Unsecured Debt Consolidation Loans

If you are looking for a personal loan to consolidate your existing debt then we can help. We have a range of low rate unsecured loans from a range lenders. Search from our panel of lenders to see who is offering the best rates and offers today.

This calculator will give you an idea of costs. The exact amount and APR payable will be provided from the lender subject to credit and affordability checks.

Your monthly payment will be:

£136.90

Interest on this loan will be:

£714

Annual Percentage Rate (APR):

3.7%

Total repaid will be:

£8,214
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All credit types
Rated 4.9/ 5

Norton Finance Why?
Why?

This provider is our Expert’s Choice in its category as it won tops marks for the following.

  • TRUST
  • VALUE
  • EXPERTISE & KNOWLEDGE
  • CUSTOMER SERVICE

Learn more about how we review and assess the providers here on Lending Expert.

Loan Amount
£500 - £35,000

Representative APR
3.1%

Loan Term
2 - 5 years

Loan Type
Personal Loan Broker

Status
Homeowners & Tenants

Norton Finance are a personal loans broker who search their panel of lenders to find you the best deal possible. They will find you the cheapest loan that matches your credit rating and circumstances. Their service is free of charge and will not effect your credit rating.

Representative Example

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Good Credit
Rated 5/ 5

Zopa Why?
Why?

This provider is our Expert’s Choice in its category as it won tops marks for the following.

  • TRUST
  • VALUE
  • EXPERTISE & KNOWLEDGE
  • CUSTOMER SERVICE

Learn more about how we review and assess the providers here on Lending Expert.

Loan Amount
£1,000 - £25,000

Representative APR
3.1%

Loan Term
1 - 7 years

Loan Type
Peer to Peer Lender

Status
Homeowners & Tenants

Zopa directly match people looking for a personal loan with people looking to invest. It's their way of making money simple and fair. Since 2005 Zopa have approved a staggering £2.92 billion in loans.

Representative Example

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All credit types
Rated 4.7/ 5

AA Loans

Loan Amount
£1,000 - £25,000

Representative APR
3.1%

Loan Term
1 - 7 years

Loan Type
Personal Loan

Status
Homeowners & Tenants

The AA don’t just keep cars on the road, they can keep your finances running just as smoothly aswell. Whether it’s a new purchase, a holiday or getting some help to manage your existing debt the AA is here to help.

Representative Example

Available via broker only
All credit types
Rated 4.8/ 5

RateSetter

Loan Amount
£500 - £35,000

Representative APR
3.9%

Loan Term
2 - 5 years

Loan Type
Peer to Peer Lender

Status
Homeowners & Tenants

Rate Setter is a peer-to-peer lender offering personal loans from £500 - £35,000 over 2 to 5 years. Loans available to both tenants and homeowners. Money could be transfered into your account within just a few days.

Representative Example

Available via broker only
All credit types
Rated 4.5/ 5

Lending Works

Loan Amount
£1,000 - £25,000

Representative APR
7.9%

Loan Term
1 - 5 years

Loan Type
Peer to Peer Lender

Status
Homeowners & Tenants

Lending Works is a peer to peer lender that connects people that want to invest their money with borrowers who want to get a better rate on their personal loan. Loans available from £1,000 to £25,000 over 1 -5 years.

Available via broker only
All credit types
Rated 4.5/ 5

Shawbrook Bank

Loan Amount
£1,000 - £35,000

Representative APR
12.9%

Loan Term
1 - 7 years

Loan Type
Personal Loan

Status
Homeowners Only

Shawbrook Bank is a direct lender offering personal loans to applicants who are 21 or over and homeowners. Loans for debt consolidation, home improvements or to puchase a car can be arranged up to £35,000. Apply online today within just a few minutes.

Representative Example

Available via broker only
All credit types
Rated 4.6/ 5

Evolution Money

Loan Amount
£1,000 - £15,000

Representative APR
26.82%

Loan Term
1 - 5 years

Loan Type
Personal Loan

Status
Homeowners Only

Evolution Money provide loans to homeowners who are looking to borrow a maximum of £15,000 over 1 - 5 years. Loans can be used for any legal purpose such as home improvements, debt consolidation, a wedding or to buy a new car.

Representative Example

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Poor Credit
Rated 5/ 5

Uk Credit Why?
Why?

This provider is our Expert’s Choice in its category as it won tops marks for the following.

  • TRUST
  • VALUE
  • EXPERTISE & KNOWLEDGE
  • CUSTOMER SERVICE

Learn more about how we review and assess the providers here on Lending Expert.

Loan Amount
£1,000 - £10,000

Representative APR
39.9%

Loan Term
1 - 5 years

Loan Type
Guarantor Loan

Status
Homeowners & Tenants

Trusted, simple guarantor loans from £1,000 to £10,000. With the help of a friend or relative to guarantee your loan UK Credit could get you the cash you need.

Representative Example

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Poor Credit
Rated 5/ 5

Avant Credit Why?
Why?

This provider is our Expert’s Choice in its category as it won tops marks for the following.

  • TRUST
  • VALUE
  • EXPERTISE & KNOWLEDGE
  • CUSTOMER SERVICE

Learn more about how we review and assess the providers here on Lending Expert.

Loan Amount
£1,000 - £20,000

Representative APR
42.5%

Loan Term
1 - 5 years

Loan Type
Poor Credit Lender

Status
Homeowners & Tenants

AvantCredit offers online unsecured personal loans of £1000 to £20,000 from 12 - 60 months with fixed monthly payments. AvantCredit understands that people have a less than perfect credit history and a guarantor is not required and you don't need to be a homeowner.

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All credit types
Rated 5/ 5

Trust Two Why?
Why?

This provider is our Expert’s Choice in its category as it won tops marks for the following.

  • TRUST
  • VALUE
  • EXPERTISE & KNOWLEDGE
  • CUSTOMER SERVICE

Learn more about how we review and assess the providers here on Lending Expert.

Loan Amount
£500 - £10,000

Representative APR
43.8%%

Loan Term
1 - 5 years

Loan Type
Guarantor Loan

Status
Homeowners & Tenants

With Trust Two you could borrow up to £10,000, in your own name, by asking a relative or friend to guarantee that you'll repay it. Apply online and, once you and your Guarantor are approved, on average you'll have the money within 3 days.

Representative Example

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Poor Credit
Rated 4/ 5

Everyday Loans Why?
Why?

This provider is our Expert’s Choice in its category as it won tops marks for the following.

  • TRUST
  • VALUE
  • EXPERTISE & KNOWLEDGE
  • CUSTOMER SERVICE

Learn more about how we review and assess the providers here on Lending Expert.

Loan Amount
£1,000 - £15,000

Representative APR
93.6%

Loan Term
2 - 5 years

Loan Type
Poor Credit Lender

Status
Homeowners & Tenants

With everyday loans, you're more than just your credit score. Here at everyday we look at your credit future, not just your credit history. As such even if you have bad credit now or you've had a poor credit score in the past, we may be able to help.

Representative Example

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All credit types
Rated 5/ 5

Choice Business Loans Why?
Why?

This provider is our Expert’s Choice in its category as it won tops marks for the following.

  • TRUST
  • VALUE
  • EXPERTISE & KNOWLEDGE
  • CUSTOMER SERVICE

Learn more about how we review and assess the providers here on Lending Expert.

Loan Amount
£1,000 - £10,000,000

Representative APR
3.1%

Loan Term
1 - 35 years

Loan Type
Finance Brokers

Status
Homeowners & Tenants

Choice loans can arrange a wide range of business finance solutions for business of all sizes. Services include business loans. Crowdfunded business Loans, Short term unsecured business loans, Merchant cash advance, Pension led business finance, Overdraft alternatives, Asset finance, Asset backed loans, Invoice finance, Commercial mortgages.

Property finance is available for residential, commercial, property development, overseas property, bridging loans and buy to let mortgages.

By consolidating your existing debts into a larger loan repaid over a long term could make the monthly repayments more manageable.

What are unsecured debt consolidation loans?

Consolidating your debts

Consolidating your debts

If you are in the position where you have a number of debts that are perhaps from credit cards, store cards or other loans, you might be finding it tricky to keep track of them all and make sure that all of the payments are being made on time. It doesn’t take much to forget about a couple of payments and your credit score can plummet fairly rapidly if you fail to pick up your payments again. So an unsecured debt consolidation loan is one that you take out in order to pay off some, or maybe even all, of your other debts so that you only have to make one single payment each month. This then makes it easier for you to manage, and much less likely to miss a payment.

Where can I get debt consolidation loans?

You can get unsecured debt consolidation loans from a wide range of lenders, many of them mainstream. Therefore if you have missed a couple of payments it is worth looking for a consolidation loan sooner rather than later so that you still have access to the best products on the market.

Pros and cons of using debt consolidation loans

Clearly the biggest pro is that you bring all of your debts together in one place so they become much easier to manage. Not only do you only have one payment to think about, your total monthly repayment is also like to be less than if you pay all of the debts separately. With a longer term consolidation loan you are also likely to be paying a lower interest rate, which can be as low as around 5%, than other debt types, particularly store cards and credit cards. However you will need to take into account any early repayment fees that are associated with your current debts.

Loan calculator – how much will it cost?

Use the calculator to see how much your debt consolidation loan will cost, what the repayments are and the overall interest you’ll pay on the loan.

This calculator will give you an idea of costs. The exact amount and APR payable will be provided from the lender subject to credit and affordability checks.

Your monthly payment will be:

£136.90

Interest on this loan will be:

£714

Annual Percentage Rate (APR):

3.7%

Total repaid will be:

£8,214

One potential disadvantage of having a consolidated loan over a longer period is that you may end up paying more in interest over the term of the loan than if you have left them all separate. However having one loan that you can reliably pay every month will keep your credit score healthy, while lots of debts that you may miss payments on by accident will not be good for your credit score.

What to note when considering a debt consolidation loan

As with any type of loan you will have to do some research to make sure that you are making the right move and that will allow you to select the right product for you. You will need to calculate the total loan that you need and then you will need to look at the interest rates that this will attract. There are different interest rates associated with different loan amounts and sometimes is can be worth taking out a little more in order to benefit from the lower interest rate, but make sure that you remain disciplined in order to benefit most from the deals that are on offer to you.<

 

We are independently reviewed by our verified customers and web users:
Rating: 4.6 / 5 with 26 votes

Lending Expert is a credit broker and comparison website, we're not a lender.

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