

Cut existing loan costs
Free calculator shows if you'll save by switching loans
Loan rates are near record lows right now, so if you took out a loan with a high APR in the past, you may now be able to save by getting a new loan to pay it off. This guide will show you how to find the best new deal, and features a unique loan-switching calculator so you can see if you'll save by switching.
Please note: This article is about unsecured loans, the type sold by most high-street lenders. The issues surrounding secured loans (where your home may be at risk) are even more complex. So this article is a secured loan-free zone.
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Here we'll take you through the three key steps to calculate how much you could save by effectively switching loans – using a new, cheaper loan to repay your existing, more costly one.
Step 1: Find out your settlement figure
- How much it would cost to pay off your loan right now
- What your exact monthly payments are
- How long your loan has left to go
The first is how much you'd need to borrow on a new loan to clear the existing one. It's the full debt plus any early settlement penalty charge (the maximum fee is two months' interest). This is called the settlement figure – you'll usually need to call your lender to get this.
See which loans you've the best chance of getting, in your own personal best-buy table.
Usually, applying is the only way to know if you'll be accepted for a loan. Yet that marks your credit file, affecting your ability to get future credit. To help, our tool uses a 'soft search' to find your chances of acceptance before applying.
Check your chance of acceptance
If you're looking for a loan, check out the best-buy rates below. We list loans by 'bands' as the rate you could get differs depending on how much you want to borrow.
Though, beware, all the top loans compared below and most in the eligibility checker are representative rates (some providers show guaranteed rates – we're working on adding more). This means only 51% of those accepted actually need to be given these rates. Depending on your credit score, you may pay a lot more.
As we warn above, while you should only borrow what you NEED, a peculiar quirk means you can sometimes pay less by getting a slightly bigger loan. Rates of loans under £3,000 are the most expensive, so always check if it's actually cheaper to borrow slightly more.
Specialist money transfer credit cards are also far cheaper than the loans below, if you can repay the full balance over 12-18 months.
Cheapest loans £1,000 - £1,999
LENDER | RATE (1-5 years or stated) |
CHECK ELIGIBILITY + APPLY |
---|---|---|
Important. Specialist money transfer credit cards are far cheaper than the loans below. Additionally, some can beat the rates below via our Loans Eligibility Calculator. The rates below are representative APRs, but you could be offered a lower personalised rate by a different provider depending on your circumstances. We've seen rates as low as 5.9% in this tier. | ||
Novuna Personal Finance | 9.8% rep APR (2-5 years) | Check eligibility |
Apply* | ||
AIB (NI) | 12.3% rep APR | Newbies must apply by phone (not in eligibility calc) |
AA | 13.4% rep APR (AA members, 1-3 years) 13.5% rep APR (non-members, 1-3 years) |
Check eligibility |
Apply* | ||
Bank of Ireland | 13.4% rep APR (1-3 years) | Check eligibility |
Apply* |
See all official APR examples.
Cheapest loans £2,000 - £2,999
LENDER | RATE (1-5 years or stated) |
CHECK ELIGIBILITY + APPLY |
---|---|---|
Important. Specialist money transfer credit cards are far cheaper than the loans below. Additionally, some can beat the rates below via our Loans Eligibility Calculator. The rates below are representative APRs, but you could be offered a lower personalised rate by a different provider depending on your circumstances. We've seen rates as low as 5.9% in this tier. | ||
Novuna Personal Finance | 9.8% rep APR (2-5 years) | Check eligibility |
Apply* | ||
JN Bank | 9.9% rep APR (£2,500-£2,999 only, 2-5 years) | Check eligibility |
Apply* | ||
AIB (NI) | 12.3% rep APR | Newbies must apply by phone (not in eligibility calc) |
Bank of Ireland | 13.4% rep APR (1-3 years) |
Check eligibility |
Apply* |
See all official APR examples.
Cheapest loans £3,000 - £4,999
LENDER | RATE (1-5 years or stated) |
CHECK ELIGIBILITY + APPLY |
---|---|---|
Important. Specialist money transfer credit cards are far cheaper than the loans below, provided you can get a credit limit big enough. Additionally, some can beat the rates below via our Loans Eligibility Calculator. The rates below are representative APRs, but you could be offered a lower personalised rate by a different provider depending on your circumstances. We've seen rates as low as 6.9% in this tier. | ||
AA | 8% rep APR (AA members) 8.1% rep APR (non-members) |
Check eligibility |
Apply* | ||
Post Office | 8.1% rep APR | Check eligibility |
Apply* | ||
Bank of Ireland | 8.1% rep APR | Check eligibility |
Apply* | ||
Novuna Personal Finance | 8.1% rep APR (2-5 years) | Check eligibility |
Apply* |
See all official APR examples.
Cheapest loans £5,000 - £7,499
LENDER | RATE (1-5 years or stated) |
CHECK ELIGIBILITY + APPLY |
---|---|---|
These rates are representative APRs, which means you may be accepted but offered a higher rate. However, if you go via our Loans Eligibility Calculator, certain lenders could offer you a guaranteed rate of 3.4% depending on your circumstances. | ||
Novuna Personal Finance | 3.4% rep APR (2-5 years) | Check eligibility |
Apply* | ||
Tesco Bank | 3.7% rep APR |
Check eligibility |
Apply* | ||
MBNA | 3.7% rep APR | Check eligibility |
Apply | ||
Sainsbury's Bank | 3.7% rep APR Must have a Nectar card |
Check eligibility |
Apply* |
See all official APR examples.
Cheapest loans £7,500 - £15,000
LENDER | RATE (1-5 years or stated) |
CHECK ELIGIBILITY + APPLY |
---|---|---|
These rates are representative APRs, which means you may be accepted but offered a higher rate. However, if you go via our Loans Eligibility Calculator, certain lenders could offer you a guaranteed rate of 2.8% depending on your circumstances. | ||
M&S Bank | 2.8% rep APR (1-7 years) | Check eligibility |
Apply* | ||
Tesco Bank | 2.8% rep APR |
Check eligibility |
Apply* | ||
Cahoot | 2.8% rep APR | Check eligibility |
Apply* | ||
Santander | 2.8% rep APR | Check eligibility |
Apply* |
See all official APR examples.
Cheapest loans £15,001 - £20,000
LENDER | RATE (1-5 years or stated) |
CHECK ELIGIBILITY + APPLY |
---|---|---|
These rates are representative APRs, which means you may be accepted but offered a higher rate. However, if you go via our Loans Eligibility Calculator, certain lenders could offer you a guaranteed rate of 2.8% depending on your circumstances. | ||
Tesco Bank | 2.8% rep APR | Check eligibility |
Apply* | ||
Cahoot | 2.8% rep APR | Check eligibility |
Apply* | ||
AA | 2.8% rep APR (AA members, 1-7 years) 2.9% rep APR (non-members, 1-7 years) |
Check eligibility |
Apply* | ||
Post Office | 2.9% rep APR (1-7 years) | Check eligibility |
Apply* |
See all official APR examples.
Cheapest loans £20,001 - £25,000
LENDER | RATE (1-5 years or stated) |
CHECK ELIGIBILITY + APPLY |
---|---|---|
These rates are representative APRs, which means you may be accepted but offered a higher rate. However, if you go via our Loans Eligibility Calculator, certain lenders could offer you a guaranteed rate of 2.8% depending on your circumstances. | ||
Tesco Bank | 2.8% rep APR | Check eligibility |
Apply* | ||
Post Office | 2.9% rep APR (1-7 years) | Check eligibility |
Apply* | ||
AA | 2.9% rep APR (AA members, 1-7 years) 3% rep APR (non-members, 1-7 years) |
Check eligibility |
Apply* | ||
MBNA | 3.1% rep APR | Check eligibility |
Apply |
See all official APR examples.
Important. Certain lenders offer personal loans up to £50,000, though it's a huge commitment, so think very carefully before getting such a large amount. Be VERY sure you can repay it.
If you do plan to borrow, first check with your own bank, as cheap rates for such large borrowing are often for existing customers only. If your bank can't help, next look at the cheapest open market rates.
Cheapest loans over £25,000
LENDER | RATE (1-5 years or stated) |
APPLY |
---|---|---|
Some can beat these rates via our Loans Eligibility Calculator. The rates below are representative APRs, but you could be offered a lower personalised rate by a different provider depending on your circumstances. We've seen rates as low as 2.8% in this tier. | ||
You need to be an existing customer to qualify for these loans | ||
First Direct |
£25k-£30k: 3.3% rep APR (1-8 years) | Apply (not in our eligibility calculator) |
£30k-£50k: 6.7% rep APR (1-8 years) | ||
NatWest/RBS/Ulster Bank | £25k-£35k: 5.6% rep APR (2-8 years) |
Check eligibility (NatWest and RBS) |
£35k-£50k: 6.9% rep APR (1-8 years) | Apply to NatWest*, RBS* or Ulster Bank | |
Halifax | £25k-£35k: 5.8% rep APR | Apply (not in our eligibility calculator) |
£35k-£50k: 6.8% rep APR | ||
The top open market loans | ||
Novuna Personal Finance | £25k-£35k: 4.9% rep APR (4-5 years) | Check eligibility |
Apply* | ||
Tesco Bank | £25k-£35k: 6% rep APR (1-3 years), 6.6% rep APR (4-5 years), 7.9% rep APR (6-7 years) | Check eligibility |
Apply* | ||
Sainsbury's Bank | £25k-£40k: 6.3% rep APR (2-5 years), 6.5% rep APR (6-7 years) Must have a Nectar card, not open to anyone self-employed |
Check eligibility |
Apply* |
See all official APR examples.
If the above doesn't work, you could combine smaller personal loans or remortgage, though that usually means extending the term, more interest and securing the debt on your home.

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Q&A: Cutting loan costs

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