See your personalised rates
- Find lenders that can approve you
- Good and bad credit histories considered
- Fast funding with no hidden costs
Late repayments can cause you serious money problems. See our debt help guides.
As an apprentice, you may find you’re a bit strapped for cash. While an unsecured personal loan may be suitable if you’re looking to borrow as an apprentice, you may find it hard to be approved for a loan if you don’t have much employment history or are earning under a certain amount.
Thankfully, there are several other loan options for apprentices, especially if you can provide evidence that your role is eventually transitioning to a full-time, salaried position. While it may be better to borrow money from friends or family, this may not always be possible. In that case, you might want to explore these alternatives:
These are credit cards aimed at people with a poor credit score. The credit limits are lower and the interest rates higher than with traditional cards, but they do allow applicants to build their credit score with each timely repayment.
The government offers Advanced Learner Loans to help apprentices with the costs of learning at this level. Your eligibility for these loans isn’t based on your income and there are no credit checks involved. Instead, it’s based on your age, training provider, nationality and residency status. This is a good first step for apprentices who are looking for financial assistance.
Guarantor loans are when a guarantor agrees to pay off the balance of a loan if the applicant is unable to do so. If you have a guarantor to support your loan, lenders are more likely to loan to you.
If you need a loan to buy a car, try striking a deal with a dealership’s finance department. You’ll find that you’ll be forced to use the vehicle as collateral for failed repayments.
These short-term loans are easy to be approved for, but the interest rates are astronomical. Consider these a last resort once all other avenues have been explored.
It’s important to compare the loans on offer to find the most affordable deal for you. Check the APR (rate) on the loan and the term lengths available, and find a deal with the lowest rate that offers monthly repayments you can comfortably afford. The longer the term of the loan, the lower your monthly repayments, although you’ll pay extra in interest, so the overall cost of your loan will be higher.
Explore all of the options listed above and calculate the total payable among the best lenders. This will often be displayed prominently online. Aim to keep your total repayable as low as possible, while ensuring you’ll comfortably be able to meet your monthly repayments.
Government-backed loans tend to be the most favourable for applicants, although this is not always the case. Bear in mind that lenders tend to offer better rates if you’re willing to provide a guarantor or some sort of collateral to protect them in the case of missed repayments.
Your loan eligibility won’t necessarily be affected by the fact you’re an apprentice, but lenders do take into account your annual income, the reliability of your payments and your credit history.
If you can demonstrate a reliable annual income and a history of responsible borrowing, you may still be eligible for a traditional personal loan with a more favourable rate. If you can show evidence that your apprenticeship is likely to transition into full-time employment during the term of the loan, this could also support your application.
Most students have to operate on a shoestring budget, but when a financial shortfall hits, thankfully there are a number of options to consider.
Discover the most reliable means for migrants and international students to borrow money in the UK
If you have just started a new job, you could still be accepted for a personal loan. See how lenders compare and give yourself the best possible chance of being accepted.
Just because you don’t work a 40-hour week doesn’t mean you can’t get a personal loan. Find out what you need to apply online and what your options are.
finder.com is an independent comparison platform and information service that aims to provide you with the tools you need to make better decisions. While we are independent, the offers that appear on this site are from companies from which finder.com receives compensation. We may receive compensation from our partners for placement of their products or services. We may also receive compensation if you click on certain links posted on our site. While compensation arrangements may affect the order, position or placement of product information, it doesn't influence our assessment of those products. Please don't interpret the order in which products appear on our Site as any endorsement or recommendation from us. finder.com compares a wide range of products, providers and services but we don't provide information on all available products, providers or services. Please appreciate that there may be other options available to you than the products, providers or services covered by our service.