Lendable Loans: What UK Borrowers Need to Know

A Practical Guide to Lendable Loans in the UK

Navigating personal finance can be daunting, especially when it comes to borrowing. Lendable offers quick, digital personal loans to UK consumers, but understanding the details is essential before proceeding. This guide explores how Lendable loans work, who they’re suitable for, and what to consider before applying.

Who Should Consider Lendable Loans?

Lendable loans are designed for UK residents seeking straightforward personal loans, either for consolidating debts, funding home improvements, or covering unexpected expenses. If you value a simple online application and quick decisions, Lendable may appeal. However, they may not suit those with poor credit or those seeking specialist or business lending.

Key Terms: APR, Fixed Rates, and More

Annual Percentage Rate (APR): The APR represents the yearly cost of borrowing, including interest and standard fees. Lendable’s advertised rates vary based on your credit profile.

Fixed Interest Rate: Lendable loans offer fixed rates, meaning your monthly repayments remain constant throughout the loan’s term.

Loan Amounts and Terms: Lendable typically offers loans from £1,000 to £25,000, with repayment terms between 1 and 5 years.

Eligibility: Lendable assesses creditworthiness, income, and other factors to determine eligibility and rates. Applications do a soft credit check initially, so your credit score isn’t impacted unless you proceed.

Repayment: Repayments are monthly and include both principal and interest.

What Loan Options Does Lendable Offer?

Lendable specialises in unsecured personal loans. Here’s a closer look at their offerings:

• Loan Amounts: From £1,000 to £25,000

• Repayment Terms: 12 to 60 months

• Purpose: Debt consolidation, home improvements, large purchases, or unexpected costs

• Application: Entirely online, with a soft credit check for quotes

• Decision Speed: Decisions often within minutes; funds may be transferred the same day if approved

Lendable does not offer secured loans. All borrowing is unsecured and based on your credit profile. No face-to-face meetings are required, and the process is streamlined for digital convenience.

Costs, Impacts, Returns, and Risks

• Interest: The fixed APR you are offered depends on your credit rating and loan amount. Expect rates to range widely, typically from 6% to 49.9%.

• Fees: Lendable may charge an origination fee, deducted from the loan amount. Always check the representative example before applying.

• Repayment Impact: Missing repayments can damage your credit score, incur late fees, and make future borrowing harder.

• Early Repayment: You can repay early without penalty, saving on interest.

• Risks: Borrowing more than you need or can afford increases financial risk. Defaults may lead to legal action and long-term credit damage.

Eligibility and Requirements

To apply for a Lendable loan, you typically need:

• To be aged 18 or over

• To be a UK resident (with a UK bank account)

• A regular income

• A good credit history (not suitable for those with recent bankruptcies or severe defaults)

• Access to online banking for verification

Lendable will verify your identity, credit profile, and affordability before making a final offer.

How to Apply: Step-by-Step

1. Visit the Lendable website

2. Enter your desired loan amount and term

3. Complete the online application form

4. Receive a personalised quote (soft credit check)

5. Review your offer and terms

6. Accept the offer if suitable

7. Provide any additional documentation

8. Receive funds (often same day)

Pros and Cons of Lendable Loans

Pros:

• Quick, digital process with rapid decisions

• Soft check for quotes (no initial impact on credit)

• Fixed, predictable monthly repayments

• No early repayment penalties

Cons:

• Rates can be high for weaker credit profiles

• Not suitable for those with very poor credit

• Fees may apply (check before applying)

• Limited to personal, unsecured loans only

Things to Watch Out For

Before committing to a Lendable loan:

• Compare the APR with other lenders and products

• Read all terms and conditions, especially regarding fees and missed payments

• Borrow only what you need and can comfortably afford

• Check your credit score beforehand

Remember: A loan is a long-term commitment. Missing payments can have serious consequences for your financial health.

Alternatives to Lendable Loans

• High street banks: May offer lower rates to strong applicants

• Credit unions: Community-focused and often more flexible

• Peer-to-peer (P2P) lending: Other fintech options may have competitive rates

• 0% purchase credit cards: Useful for smaller, short-term borrowing

• Overdrafts: For very short-term needs, but check fees and limits

Each alternative comes with its own eligibility criteria and risks, so compare carefully.

Frequently Asked Questions

Q: Will applying for a Lendable loan hurt my credit score?
A: The initial quote uses a soft credit check, which doesn’t affect your score. If you proceed, a hard check is performed.

Q: How quickly can I get the funds?
A: Often within the same day of approval, depending on your bank.

Q: Can I repay my loan early?
A: Yes, without penalty. You’ll only pay interest up to the date of repayment.

Q: What if I miss a payment?
A: Lendable may charge late fees and report missed payments to credit agencies, impacting your score.

Q: Are there fees?
A: An origination fee may apply. Always check your quote’s details.

Q: Can I get a loan with bad credit?
A: Lendable is best for those with fair to good credit. Approval is less likely for poor credit applicants.

Q: Is the process entirely online?
A: Yes, including verification and signing.

What to Do Next

Compare your Lendable quote with alternatives, and review your monthly budget to ensure affordability. If borrowing aligns with your financial goals, proceed with your application. Otherwise, consider seeking independent financial advice or exploring other lending options.

Disclaimer

This article is for informational purposes only and does not constitute financial advice. Loan terms and eligibility are subject to change. Always read the full terms and conditions before applying. Seek independent advice if you are unsure whether a loan is right for you.