How to choose the right loan

A small change to your loan term could make a difference to the rate we offer.

For example, borrowing for 37 months instead of 36 could give you a lower interest rate.

We have different rates for different loan amounts. In some cases, borrowing more could mean you pay back less.

Depending on the rates you're offered, for a 4-year loan, you could borrow:

• £4,950 at 14.3% per annum and pay back £6,426.24, or
• £5,000 at 7.9% per annum and pay back £5,817.12.

In this example, you'd save £609.12 by borrowing £50 more.

Each loan amount has its own interest rate range. This is the highest rate and the lowest rate we may charge. The interest you’re charged on your loan will sit somewhere in this range.

We’ll confirm your interest rate during your application.

There are 2 ways you can check different term lengths and loan amounts to help you choose the right loan for you.

Even a small change can make a big difference to the overall cost of the loan so it's worth checking.

Our loan calculator can give you an idea of how much you would need to pay back over different lengths of time.

But this is only a rough estimate. We'll still need to check your individual circumstances to give you a personalised quote.

After you answer some questions to get your personalised offer, you can change your term length and loan amount to see if you can get an offer with a better interest rate.

You can get a new quote as many times as you need without impacting your credit rating. And you always have the option to return to your original quote if you preferred that one.

A loan might not always be the best way to borrow the money you need. Here are 3 other options to consider.

An arranged overdraft is often used for short-term borrowing, emergencies and unforeseen costs.

A credit card is often used for short-term borrowing and spreading your repayments. 

If you have a Nationwide mortgage and are looking to borrow over £5,000, you can apply to borrow up to 90% of the value of your home.

The interest rate you pay may be lower than on an unsecured loan, but you may pay this back over a longer time. This may make the total cost of your borrowing more.

Think carefully before securing other debts against your home. Mortgages are secured on your home. You could lose your home if you do not keep up payments on your mortgage.