Please note: High-cost short-term credit is unsuitable for sustained borrowing over long periods and would be expensive as a means of longer-term borrowing.
Compare £100 short-term loans
Need £100 to cover an unexpected shortfall? Compare rates from a range of short-term lenders.
Sometimes things don’t always go to plan and unexpected costs can pop up. If you need a small amount of cash for a short period then a short-term loan is one way to bridge the gap. There may be other options however, and moneyadviceservice.org.uk is a good place to find alternatives.
If your application for a payday loan is accepted, funds can usually be transferred to you within a day. The amounts on offer are generally smaller, and rates higher, than those provided by banks. The loans also generally come with much shorter repayment periods as they’re designed to be a short-term helping hand, not a long-term solution.
We compare payday/short-term loans from
Is high-cost, short-term borrowing a good idea?
Payday/short-term loans are a very expensive method of borrowing and are not a good idea for borrowing over longer periods, or for sustained borrowing. They may not solve your money problems.
Before you apply for a payday or short-term loan, make sure you’ve considered other options. Is the expenditure that you’re planning absolutely essential? If you can defer a purchase then you could save yourself money in the long run. If you’re struggling to pay a bill, then why not talk to your electricity, gas, phone or water provider to see if you can work out a payment plan? Read more about alternatives to payday loans at moneyadviceservice.org.uk.
What you need to know about a £100 short term loan
Short term loans are designed to help you out you when unexpected costs (perhaps a vet bill or car repairs) arise. They should not be used as a solution to long term financial problems and you should look to pay them off as soon as possible.
Some key features of a £100 short term loan
- High interest rates. Interest rates on £100 loans are typically very high compared to other forms of borrowing. Rates are legally capped, but at an eye-watering 0.8% a day. On a £100 loan, that’s £5.60 a week.
- Short repayment periods. Payday/short-term loans are generally designed to help tide you over for a couple of weeks or months. Some lenders will let you borrow for longer, which will result in lower monthly repayments, but remember that if you borrow for longer you’ll normally pay more in interest overall.
- Quick access to funds £100 loans can often be approved and sent to you within a few hours to a day. However, for some lenders the whole process could take a couple of days.
- Early repayment. It is normally possible to repay part or all of your loan early at any time, and in doing so, save money in interest. You should check that this is the case before taking out a short-term loan.
- Paid back by CPA. Short term and payday loans are typically paid back using a Continuous Payment Authority (CPA) but you can sometimes opt to pay by direct debit or manually.
Benefits and drawbacks of a £100 short term loan
You should only apply for a £100 payday/short-term loan if you’re certain you can meet the repayment terms. While the eligibility requirements may vary depending on each individual lender, you’ll generally need to meet the following criteria:
- Be aged 18 or over.
- Be a UK resident.
- Hold a bank account.
- Have an email address and mobile number.
- Have a regular income.
What is a Continuous Payment Authority (CPA)?
A CPA is a recurring payment in which you give a company permission to withdraw money from your account on a regular basis.
CPA differs from direct debit because they give the company being paid the ability to withdraw money from your account whenever they wish, and to take payments of different amounts without consulting you. Most payday loan companies will use CPA to collect your repayments, however you can cancel this at any point by either consulting with your provider or your bank.
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