A good night’s sleep is crucial for a healthy life, so a good bed is crucial, too. But beds don’t come cheap. Find out whether a personal loan could help you sleep easy.
There is nothing quite like your own bed – unless it’s causing you discomfort. If you have a broken or misshapen bed, it may be affecting your health in more ways than you think. Getting a good night’s sleep has been proven to improve health and wellbeing.
Buying a new bed can be expensive. But there are several options that could help you out, one being a personal loan. Continue reading to learn how you can find the right personal loan for you and your bed.
Compare personal loans for your new bed
You should always refer to your loan agreement for exact repayment amounts as they may vary from our results.
Warning: late repayments can cause you serious money problems. See our debt help guides.
How can I finance a new bed?
There are several different loan options available to help you afford a new bed.
- Personal loan. A personal loan is when you borrow money from a specialist lender, and pay back the sum over an agreed period of time, in monthly instalments. Meaning you can pay for your new bed upfront using the money you receive from your loan provider, and then pay back your loan in small amounts over a fixed period.
- Credit card. If you purchase your new bed with a credit card, you can spread the amount over an extended period of time, with a certain amount needed to be repaid every month. You may wish to consider a card offering a 0% interest free period. If you have bad/no credit history, you should consider a credit builder credit card This card is specifically designed for people with bad or no credit rating, and whilst the terms are less favourable, you will get all the perks of a credit card.
- In-store finance. Many bed companies offer in-store finance, which allows you can spread the cost of your new bed over a series of weeks or months. You can choose a payment plan for your new bed that suits you, with some companies offering a 0% interest period.
Key features of personal loans at a quick glance
- Loan terms. The terms can include the loan duration as well as interest rates and repayment plans.
- Loan amounts. The amount of money that you are allowed to borrow.
- Get a personalised quote. This will give you an indication about the terms in which a provider will lend you money, and will have no bearing on your credit rating.
- Price matching. Some providers offer a price guarantee to match or beat offers from other providers.
- Monthly repayments. You will be able to repay your loan in monthly instalments.
- Repayment holidays. This is an agreed period with your lender, perhaps either one or two months, where you will not have to make repayments. However, interest will still build up.
- Quick decisions. Providers will usually make a fast decision about whether they will lend you money or not.
- Access to funds. You are able to get access to all the funds upfront.
- Fees. You may incur extra costs, such as interest or late payment fees.
- Perks. With some loans, there may be special benefits such as a 0% interest period.
- Overpayments. If you wish to pay off your loan sooner than agreed, making overpayments is the way to do it. With most companies, overpayments will not incur a penalty so long as you remain within the overpayment limit. It is important to check the small print of your loan before you make an overpayment.
- Early repayment. For many loans, you will incur a penalty and additional costs if you repay your loan in full earlier than expected.
How should I compare different loans for beds?
To effectively compare loans, you will need to focus on the important features of each loan and how they differ from one another. We have listed some characteristics for you to consider below:
- Loan amount. The amount that you can borrow will differ between lenders, so make sure you have a value in mind when choosing your loan.
- Interest rate. There are some loans available that are interest-free, which will save you some money. If the loans you are considering are not interest-free, make sure you take the interest rate into consideration.
- Fees. You may be required to pay upfront or ongoing costs that will add to the cost of your loan.
- Eligibility criteria. Whilst you may be eligible for some loans, you may not meet the criteria for others.
- APR. The Annual Percentage Rate is designed to provide consumers with an annual summary cost for the loan, including any setup fees and interest. Different loans will have different APRs, but it is important to remember that they are only representative, and your costs may be more expensive.
- Loan terms. The length of the loan period may differ between providers, as well as the terms and conditions of taking out the loan.
- Overall cost. As well as the loan amount, you should also take into consideration any setup costs and any interest.
- Early repayment. Although you may find yourself in a position to pay off your loan early, some loans and finance agreements charge extra costs if you repay your loan too early.
Am I eligible for a personal loan for a bed?
You should only apply for a personal loan to finance your new bed if you are absolutely certain that you can meet the repayment terms; otherwise you will face additional costs and it may impact your credit rating.
To apply for a personal loan, you will need to meet the following criteria:
- You are over the age of 18.
- You will be no older than 70 when the loan term finishes.
- You have been a UK resident for over 3 years.
- You have a regular income above £12,000.
- If you are self-employed, you have been so for over 2 years.
- You must have a good credit rating, with no history of bankruptcy or County Court Judgements.
- You hold a UK bank or building society account that is able to pay direct debits.
How can I apply for a loan?
If you have decided that a provider’s loan is right for you, simply fill in the application form for the loan via their website. You will need proof of the following:
- Your ID
- Your address details for the past 3 years.
- Your current income and employment details in the form of payslips and bank statements.
The bottom line
Don’t dread bedtime because you can’t afford to replace your broken bed. There are several options available for you to choose from in order to finance that new bed. A personal loan is one of these, and means you can spread your costs into small monthly instalments over a fixed period.
Frequently asked questions
*Disclaimer: The offers compared on this page are chosen from a range of products whose details Finder has access to track; they don't represent all the products available in the market. Unless indicated otherwise, products are displayed in no particular order or ranking. The terms "best", "top", "cheap" (and variations) are not product ratings and are subject to our terms of use. You should consider seeking independent financial advice and consider your personal financial circumstances when comparing products.
