UK Credit guarantor loans calculator and 2020 review

UK Credit is a direct lender (not a broker) serving people who may have struggled with finances before and find it hard to get a loan on the high street. The guarantor that you apply with will need to have a good credit history. They don’t need to be a homeowner, but if they are, then UK Credit could offer preferential rates.

Guarantor loans from UK Credit

How much do you need to borrow? £

5000

How long do you need to borrow for?

3

years

Sort by:

Name	Product	Total Payable	Monthly Repayment	Representative APR	Link
UK Credit Limited Homeowner Guarantor Loan					Go to site View details	Representative example: Borrow £14,000.00 over 3 years at a rate of 29.9% p.a. (fixed). Representative APR 29.9% and total payable £20,426.40 in monthly repayments of £567.40.	Compare	loading Fetching your data...
UK Credit Limited Tenant Guarantor Loan					Go to site View details	Representative example: Borrow £6,000.00 over 3 years at a rate of 47.9% p.a. (fixed). Representative APR 47.9% and total payable £10,364.04 in monthly repayments of £287.89.	Compare	loading Fetching your data...

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What is a guarantor loan?

A guarantor loan has the extra security of a second person agreeing to pay any unpaid balance on the monthly repayments. This means that even people with a very low credit score could get access to a loan, and you could even improve your credit rating if they make all repayments on time.

Key features of a UK Credit loan

UK Credit’s rates are tailored to the applicants, and may vary from the advertised representative APR (which we use in the calculator above), however you can get a personalised quick quote with no impact on your credit rating at UK Credit’s site.

The loans don’t come with “application” or “product” fees, and because the interest rates are fixed, you’ll always pay the same each month, from the first to the last.

UK Credit doesn’t charge anything for overpayments of up to three times the regular payment. Overpaying will will shorten your loan term, rather than reducing the size of the monthly payments.

Am I eligible for a UK Credit loan?

UK Credit will consider people with very bad credit ratings, CCJs and past bankruptcies, however all applicants must:

• Be 18 to 70 years old when the loan is granted
• Be a UK resident with a valid bank account
• Be either employed, retired or self-employed, or on certain benefits
• Have no bankruptcies or IVAs in the last 12 months
• Not have a debt management plan currently
• Be able to make the payments

As well as this, it’s important that your guarantor is:

• Between 21 and 70 years old at the time the loan is granted
• A homeowner or a tenant in employment
• Without bankruptcies in the last six years
• Without debt management plans or IVAs in the last six years
• Able to make the payments if you can’t

How do I apply for a UK Credit loan?

1. Enter the amount you want to borrow and for how long on the UK Credit website. You’ll also need to say if your guarantor is a tenant or a homeowner.
2. You and your guarantor will then receive an application to fill in together.
3. After running a few checks, UK Credit will call you to run through some of the final details.
4. The loan will be paid into your guarantor’s account, and they can then transfer the funds to you.

Frequently asked questions

• What is a guarantor?

  A guarantor is someone who agrees to provide the security on a loan for a borrower. They do this by agreeing to take liability for any missed payments.

• How do I get the money from a guarantor loan?

  The money in a guarantor loan is paid to the guarantor’s bank account, who can then transfer the money to you.

• Can I pay off a UK Credit loan early?

  Yes, UK Credit can calculate an early settlement for you if you call its helpline. There is a charge of approximately 2 months interest, but depending on where you are on the loan, this can result in a dramatically reduced cost overall.

• Will my payments go up if interest rates rise?

  No, payments are fixed for the duration of the loan.

• Can my partner be my guarantor?

  Yes, UK Credit will consider spouses for guarantors as long as they can show they have an independent ability to pay the monthly repayments. For example, if they have a regular income paid into a non-joint account.

• Can I make overpayments on my loan?

  Yes, overpayments are free of charge for up to three times the regular loan amount, and because interest is charged daily, the quicker you pay off the less interest you have to pay overall.

• Can I top-up my loan?

  Yes, provided you’ve kept up with your repayments you can apply for a further advance. Approval will be subject to UK Credit’s assessment of your circumstances – primarily you’ll need to be able to afford the new repayment schedule. Your total borrowing with UK Credit can’t exceed that £15,000 maximum.

• What happens if I'm having difficulties repaying my loan?

  If you are struggling to make payments, call UK Credit as soon as possible. They will try to come to an arrangement with you, but if they can’t they may contact your guarantor for payment.

• Is UK Credit safe?

  Yes, UK Credit is regulated by the Financial conduct authority and have excellent reviews on TrustPilot.

• Can I get additional finance if I already have a UK Credit guarantor loan?

  Yes, UK Credit do consider existing customers for ‘top-up’ loans, but they will likely only accept people who have a good track record so far.