StepStone Credit short term loans review February 2020

StepStone Credit offers a line of credit of up to £500 for a fixed period. Unlike traditional short-term lenders which require set monthly payments, you can withdraw and repay as much of your loan as you like, as often as you like, during your agreed term.

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StepStone Credit

StepStone Credit is a direct lender (not a broker) with a slightly different take on short term lending. Its credit facility offers instant and flexible access to money on the go, through its App or website. Subject to a credit limit, you’ll be able to decide how much to borrow and when to borrow it, without having to apply each time you need to borrow. Interest is charged only on the funds you’re borrow, on the days you borrow, so you could save money if you can afford to pay your loan back quickly.

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

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

How does StepStone credit hold up against the competition?

Table: promoted deals, sorted by total payable
Use the table 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 sets its own min/max loan amounts and terms, and its own eligibility requirements.

How much do you need to borrow?


How long do you need to borrow for?


Name Product Available Amounts Monthly repayment Total payable
Lending Stream Instalment Loan
£50 to £1,500
Representative example: Borrow £200 for 6 months at a rate of 292% p.a. (fixed). Representative 1,333% APR and total payable £386.61 in 6 monthly payments of £64.44.
Moneyboat Short Term Loan
£200 to £1,500
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.
Satsuma Short Term Loan
£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.
Savvy.co.uk Personal Loan
£300 to £3,000
Representative example: Borrow £1,000 for 12 months at a rate of 152.33% p.a. (fixed). Representative 352.7% APR and total payable £1,999.92 in 12 monthly payments of £166.66.
Sunny Loan
£100 to £2,500
Representative example: Borrow £100 for 8 months at a rate of 204% p.a. (fixed). Representative APR 567% and total payable £199.33 in 8 monthly payments of £19.93. You can repay this loan early.

Compare up to 4 providers

Please note: 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
Satsuma Short Term Loan
Savvy.co.uk Personal Loan
Sunny Loan

What is a line of credit?

A line of credit is an ongoing credit facility, with agreed limits. Examples include an overdraft or a credit card. Unlike a loan that’s issued as a lump sum and paid off over a fixed period, a line of credit can be accessed whenever you need it, and you can borrow as much or as little as you like, subject to an agreed maximum. You can also pay the money back when it suits you, subject to agreed minimum repayment conditions.

The advantage of a line of credit is that it’s there when you need it, and you only borrow what need for the time that you need it. This can work out cheaper than borrowing a lump sum over a set period. However, the disadvantage of a line of credit is that the ease and flexibility can lead you to borrow over longer terms than you might have otherwise, or even simply to borrow when you might not have otherwise.

Key features of a StepStone Credit facility

The StepStone Credit facility lasts for 3 months – after this point you’ll need to agree the facility with StepStone Credit again.

Product NameStepStone Credit Account
Available Amounts£200 to £500
New customer maximum£500
Loan termsto 3 months
Soft search eligibility check
Instant decision in most cases
Funding speedOnce you are approved for a loan, you can expect to have the line of credit available to you within 30 minutes.
Repayment period optionsMonthly
Default repayment methodContinuous payment authority
Additional repayment methodsOnline payment
Repay early at any point
Parent companyHymarc Ltd
FCA registration number683980
More Info

How does a StepStone Credit loan work?

  1. Apply for a line of credit with StepStone Credit by filling out the simple application form on the website. You will be asked to provide personal details as well as financial and employment information.
  2. StepStone Credit will ask for your internet banking details, so it can check your statements and ensure you can comfortably afford to make the repayments.
  3. Once you are approved for a loan and your account is opened, you can withdraw and repay funds up to your agreed limit as often as you like within your set term.
  4. At the end of the term, StepStone will make a final automatic repayment from your debit card for all of the outstanding balance owed. Once this balance has been successfully paid, your credit facility will be closed.

What are the eligibility requirements?

You should only apply for a loan through StepStone Credit if you are certain you can meet the repayment terms. You must also:

ResidencyUK resident
Minimum age18
Additional eligibility notesYou must have a UK bank account with online banking facilities.

As part of the application process, StepStone Credit will conduct a financial review including a real-time review of your bank account statement (by accessing your internet banking) which will help to determine if you can afford the repayments.

How do I pay back my loan?

Like most short-term loan providers, StepStone Credit will use a Continuous Payment Authority (CPA) to collect the final repayment from your bank account on your agreed date.

What is a Continuous Payment Authority (CPA)?

With a CPA you give a company permission to withdraw money from your account whenever it wishes, and to take payments of different amounts without consulting you. Many short-term lenders like StepStone Credit 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. If you do opt to cancel it, however, you should make sure that you still keep up with your repayment schedule by other means.

Early repayment options

Repay early at any point
Repaying early can reduce overall interest
Interest is only applied to days where funds are outstanding
More Info

Is high-cost, short term borrowing a good idea?

Short term loans offer a quick solution when you get into difficulty with your finances, but they are a very expensive method of borrowing. They should therefore only be considered as a last resort. Short term loans are unlikely to solve your money problems in the long term, and 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 absolutely essential? If you can defer a purchase then you could save yourself money in the long run. If you’re struggling to pay a bill, then try talking to your electricity, gas, phone or water provider to see if you can work out a payment plan. Read more about alternatives to payday loans at moneyadviceservice.org.uk.

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

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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