Get approved for a £30,000 loan with the best rate

For most us, £30,000 would be a game-changing amount, but it's a big commitment for both borrower and lender. It's likely to involve borrowing over a longer term, and it may require security.

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Think carefully before securing other debts against your home. Your home may be repossessed if you do not keep up repayments on your mortgage or any other loan secured on it.

Whether you’re consolidating debt or planning home improvements, a £30,000 lump sum could have a dramatic impact on your life. But with a loan of this size, even a small difference in interest rate can make a big impact on the overall cost – especially if you’re borrowing over a longer term. So it’s important to find a loan with the best terms for your needs.

Should you get a secured or unsecured loan?

Most lenders offering unsecured loans have an upper limit of £25,000, but you don’t have to look too far to find a lender willing to lend up to £30,000, or in a few rare cases, £50,000. These tend to be the big high-street banks, although some supermarket banks do stretch to £30,000.

To borrow such a large sum without putting up any security is going to require excellent credit, however. And those big banks may additionally insist that you’re already an existing customer if you want to borrow £30,000.

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.

Comparison of loans

Table: sorted by representative APR, promoted deals first
Name Product Total Payable Monthly Repayment Representative APR Link
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Representative example: Borrow £10,000.00 over 3 years at a rate of 3.4% p.a. (fixed). Representative APR 3.4% and total payable £10,524.24 in monthly repayments of £292.34.
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View details
Representative example: Borrow £10,000.00 over 3 years at a rate of 3.4% p.a. (fixed). Representative APR 3.4% and total payable £10,524.24 in monthly repayments of £292.34.
View details
Representative example: Borrow £10,000.00 over 3 years at a rate of 3.9% p.a. (fixed). Representative APR 3.9% and total payable £10,601.64 in monthly repayments of £294.49.
View details
Representative example: Borrow £10,000.00 over 3 years at a rate of 2.9% p.a. (fixed). Representative APR 2.9% and total payable £10,447.20 in monthly repayments of £290.20.
View details
Representative example: Borrow £10,000.00 over 3 years at a rate of 3.2% p.a. (fixed). Representative APR 3.2% and total payable £10,493.64 in monthly repayments of £291.49.

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Please note: You should always refer to your loan agreement for exact repayment amounts as they may vary from our results.

Late repayments can cause you serious money problems. See our debt help guides.

Table: sorted by overall cost for comparison (representative APRC)
Updated December 7th, 2019
Name Product Maximum LTV Loan amounts Loan terms Overall cost for comparison
65%
£10,000 to £500,000
3 to 35 years
3.9% APRC
65%
£10,000 to £2,500,000
3 to 25 years
4% APRC
65%
£10,000 to £500,000
3 to 25 years
4.1% APRC
65%
£10,000 to £500,000
3 to 25 years
4.1% APRC
70%
£10,000 to £500,000
3 to 35 years
4.2% APRC
70%
£10,000 to £2,500,000
3 to 25 years
4.3% APRC
65%
£10,000 to £500,000
3 to 35 years
4.4% APRC
75%
£10,000 to £350,000
3 to 35 years
4.6% APRC

Compare up to 4 providers

Overall representative example
If you borrowed £40,000 over a 14-year term at 8.8% p.a. (variable), you would make 168 monthly payments of £461.49 and pay £77,530.32 overall, which includes interest of £33,040.32, a broker fee of £3,995 and a lender fee of £495.00. The overall cost for comparison is 11.3% APRC representative.

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 below 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.

Loan illustrations

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.

Interest rate of 5% fixed p.a.Interest rate of 10% fixed p.a.Interest rate of 15% fixed p.a.
5 year loanMonthly: £566.14
Overall: £33,968.22
Monthly: £637.41
Overall: £38,244.68
Monthly: £713.70
Overall: £42,821.87
10 year loanMonthly: £318.20
Overall: £38,183.59
Monthly: £396.45
Overall: £47,574.27
Monthly: £484.00
Overall: £58,080.58
20 year loanMonthly: £197.99
Overall: £47,516.81
Monthly: £289.51
Overall: £69,481.56
Monthly: £395.04
Overall: £94,808.85

What if it’s for a business?

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

How to compare £30,000 loans

  • Rate. The rate offered may not be equal to the representative APR advertised. Lenders only need to offer this to 51% of customers, so you may end up being offered a higher rate if you’re deemed not as creditworthy as others.
  • Total payable. The total payable consists of the capital owed plus the total interest payments.
  • Term length. The best lenders will offer you a wide range of term lengths. The longer your term, the more you’ll shell out in interest charges.
  • Fees. A few lenders still charge one-off set-up fees on personal loans. Consider this as well as your total payable.
  • Eligibility. The criteria you’ll need to meet to even be considered for a loan approval. Read these rules before you apply.

We show offers we can track - that's not every product on the market...yet. Unless we've said otherwise, products are in no particular order. The terms "best", "top", "cheap" (and variations of these) aren't ratings, though we always explain what's great about a product when we highlight it. This is subject to our terms of use. When you make major financial decisions, consider getting independent financial advice. Always consider your own circumstances when you compare products so you get what's right for you.

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2 Responses

  1. Default Gravatar
    JohnSeptember 19, 2018

    I was wondering if you could contact me about lending £30000 to pay car, phone and other extra bills so it helps myself and my family to budget better and save more for a mortgage.

    • Avatarfinder Customer Care
      johnbasanesSeptember 20, 2018Staff

      Hi John,

      Thank you for leaving a question.

      You are currently communicating with finder, we are a comparison website that assists users on the contents of our pages. I understand that you wish to apply. On the page that you are on, kindly review and compare your options on the table displaying the available providers. Once you have chosen a particular provider, you may then click on the “Go to site” button and you will be redirected to the provider’s website where you can proceed with the application or get in touch with their representatives for further inquiries you may have.

      Before applying, please ensure that you meet all the eligibility criteria and read through the details of the needed requirements as well as the relevant Product Disclosure Statements/Terms and Conditions when comparing your options before making a decision on whether it is right for you. Hope this helps!

      Cheers,
      Reggie

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