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Ferratum short-term loans review

Ferratum provides fast and flexible short-term loans of between £50 and £1,000 (£400 for new customers) that you can repay over terms from 7 days to 4 months.

Operating in 25 countries, Ferratum is an online direct lender of short-term payday loans, and is authorised and regulated in the UK by the Financial Conduct Authority.

Ferratum’s aim is to provide simple and transparent short-term loans without any hassle, through a speedy process – borrowers can expect a decision within a few minutes of application, 7 days a week, and funds are sent using the Faster Payments Scheme (a banking initiative that aims to reduce payment times) in less than 2 hours.

warning icon Warning: Late repayment can cause you serious money problems. For help, go to moneyadviceservice.org.uk.

warning icon Please note: High cost short term credit is unsuitable to support sustained borrowing over long periods and would be expensive as a means of longer term borrowing.

Key features of a Ferratum loan

Ferratum offers two different loan types: the MicroLoan and the PlusLoan.

Borrow
(new customers)
Borrow
(existing customers)
Repay over
MicroLoan£50-£400£50-£5001 month
PlusLoan£300-£700£300-£1,0002-4 months

Features that are common to both the MicroLoan and the PlusLoan:

  • Quick quote.
    Ferratum will give you a decision in just a few minutes, telling you exactly what you will have to repay in total before you agree to the loan.
  • Fixed, high rates.
    With interest charged at 0.8% of the loan amount every day, realistically this is an expensive method of borrowing.
  • Fast access to funds.
    Ferratum aims to deposit the money in your bank account within just 2 hours. After your first loan has been repaid, it is possible to reapply by text.
  • Early repayment.
    You can repay your loan at any time. Early repayment is recommended where possible as it will save you money in interest.
  • Flexible repayment dates.
    Work out a repayment schedule based around your next payday.

How do Ferratum’s loans hold up against the competition’s?

If you’ve been on the Ferratum site and have estimated the cost of a loan, you’re probably going to want to shop around to see if you’re getting a good deal. You can use the buttons below to estimate the cost of the loan that you have in mind. We compare loans from a range of popular short-term lenders. Remember that each lender has its own minimum and maximum loan amounts and terms.

How much money do you need to borrow?


How long do you need to borrow over?


Name Product Available Amounts Monthly repayment Total payable
£50 to £800
Representative example: Borrow £200 for 6 months at a rate of 292% p.a. (fixed). Representative 1333% APR and total payable £386.61 in 6 monthly payments of £64.44.
£300 to £800
Representative example: Borrow £400 for 4 months at a rate of 255.5% p.a. (fixed). Representative APR 939.5% and total payable: £597.48 in 4 payments of £149.37.
£150 to £5,000
Representative Example: Borrow £350 for 6 months at a rate of 220% p.a. (fixed). Representative 651.4% APR and total payable £605.55 in 6 monthly payments of £100.93.
£100 to £1,000
Representative example: Borrow £400 for 6 months at a rate of 259.33% p.a. (fixed). Representative APR 947% and total payable: £750.78 in 6 monthly payments of £125.13.
£50 to £1,000
Representative example: Borrow £250 for 74 days at a rate of 292% p.a. (fixed). Representative APR 1300.5% and total payable: £398.00, in 1 payment of £74.00 and 1 payment of £324.00.
£300 to £1,000
Representative example: Borrow £500 for 5 months at a rate of 292% p.a. (fixed). Representative APR 1,297% and total payable: £867.05 in 5 instalments of £173.41.
£100 to £1,000
Representative example: Borrow £480 for 9 months at a rate of 133.1% p.a. (fixed). Representative 535% APR and total payable £959.04 in 9 monthly payments of £106.56.
£50 to £200
Representative example: Borrow £80 for 29 days at a rate of 292% p.a. (fixed). Representative APR 1281.8% and total payable: £98.56, in 1 payment of £98.56.

Compare up to 4 providers

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

We compare payday/short-term loans from

Lending Stream Instalment Loan
Moneyboat Short Term Loan
On Stride Personal Loan
Peachy Loan
QuickQuid Short Term Loan
QuidMarket Short Term Loan
Satsuma Short Term Loan
247Moneybox Payday Loan

Is a payday loan a good idea?

Payday/short-term loans are a very expensive method of borrowing and may not solve your money problems in the long term. They aren’t a good idea for borrowing over longer periods, or for sustained borrowing. Before you apply for a short-term loan, make sure you have considered other options carefully. Is the expenditure that you’re planning essential? If you can defer a purchase then you could save yourself money in the long run. Read more about alternatives to payday loans at moneyadviceservice.org.uk.

How does a payday/short-term loan from Ferratum work?

  1. Decide on the size of loan you require and when you can realistically pay the money back.
  2. Complete the simple four-step application process, providing your personal, contact, employment and financial details.
  3. Ferratum will run credit/affordability checks and within seconds should be able to determine if you’re eligible for a loan and the size of that loan.
  4. Once approved, your loan is usually credited to your bank account within one hour, but can take a little longer in busy periods. Repeat customers can apply for a new loan by text.

Your loan can then be repaid in two ways:

  • Ferratum uses a Continuous Payment Authority (CPA) to collect your repayments on the due date or monthly instalment dates you have chosen.
  • You make a bank transfer to Ferratum, or repay any amount by telephone.

What is a Continuous Payment Authority (CPA)?

With a CPA you give a company permission to withdraw money from your account on a regular basis.

CPAs differ from a 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/short-term lenders will use a CPA to collect your repayments. You can cancel this at any point by either consulting with your loan provider or your bank.

What are the eligibility requirements?

To be eligible for a Ferratum loan, you must meet the following criteria.

  • Employed, with a regular income
  • UK resident
  • 18 or over
  • UK bank account and debit card
  • You must agree to a credit check
  • You must have a mobile number and email address

Did you know?

In 2015 the Financial Conduct authority (FCA) capped interest and fees on all high-cost short-term credit loans at 0.8% per day.

They additionally capped all default charges at £15 and the total cost (interest, fees) of loans at 100% of the original sum. This means you’ll never have to pay more than double the amount borrowed.

Frequently Asked Questions

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*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.

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