Get a £30,000 loan with the best rate

The key to finding the best deal for you is to understand and explore your options. As you can see from the table below, doing so could save you thousands of pounds in the long run.

If that doesn’t sound like you, then you may wish to consider a secured loan. A secured loan requires you to put up a possession – normally a property – as collateral for the loan. If you already have a mortgage, you’d effectively be applying for a second charge mortgage. This is where a lender is next in line (after your mortgage provider) to recoup any losses they might incur if you failed to repay your loan, from the value in your property.

If you don’t already have an idea of your credit score, services from the likes of Experian, Equifax and TransUnion (formerly Callcredit) will give you an idea of your credit score at no cost to you. These services will give you a sense of whether you’re likely to be accepted for a £30,000 loan. If your credit score is poor, you could focus on building it up a bit before applying for a loan (interest rates are almost always tailored to the individual). After all, multiple application for credit could harm your score further.

Should I just remortgage?

It’s certainly an option. Remortgaging is a popular way to get hold of a big lump sum, and in today’s climate of competitive introductory mortgage rates followed by less-competitive ongoing rates, remortgaging every few years is a smart thing to do anyway.

The loan illustrations above demonstrate that spreading loan repayments over, say, 20 years means low monthly instalments but a much, much higher overall cost. That may be a moot point if you’re super-organised and you always pay off as much of your mortgage as you can afford to each month, but if you’re more inclined to just let your mortgage tick along, it could make for a very expensive £30,000 loan.

How can I get approved for a £30,000 loan?

There are a few key things you’ll need to do to give yourself the best chance of being approved for a £30k loan. These include:

• Pick a loan term that gives you affordable monthly repayments. Opt for the shortest loan possible, while ensuring the monthly instalments would be affordable given your income and outgoings.
• Make sure the purpose for your loan is sensible. If you say you plan to buy £70,000 of cryptocurrency, then surprise surprise, lenders will probably run for the hills. But “debt consolidation” or “home improvements” are probably more likely to be seen as sensible options in lenders’ eyes.
• Check the lender’s eligibility criteria. Although the ways lenders make decisions can be a bit of an unknown, they’re all usually upfront about a few simple rules that they stick to. For example some lenders won’t consider applications from self-employed applicants (harsh, we know), while others might stipulate minimum and maximum ages for applicants.
• Complete your application honestly and correctly. If your application says one thing, but your credit file says another, that’ll likely create a hurdle.
• Get to know your credit file. Although you might not be able to increase your credit score overnight, it’s good to know what lenders are seeing when the search your file. And some improvements can happen relatively quickly – like getting yourself on the electoral roll, or fixing any inaccuracies.
• Use a good broker or loan-matching service. These can check your eligibility with multiple lenders in one fell swoop – saving you time and hassle (and hopefully money too).

Can I get a £30k business loan?

There are specialist lenders for businesses, and it’s likely you’ll need to go through them if you’re pumping money into one, as most personal loans explicitly prohibit the use of loan funds to support a business.

Compare £30,000 business loan options