Personal loans

Loan instalment

If you are thinking of borrowing money, and want to pay back a fixed amount a month then a personal loan is an option to consider.

Borrow from £1000 - £5000

What is a personal loan?

A personal loan is money borrowed by an individual in their own name. It is usually unsecured meaning that the personal loan is not secured against any asset. The money borrowed attracts interest and together with the initial amount lent, is paid back to the lender by the borrower over the term of the loan.

Personal Loans Diagram

Why a personal loan?

  • You might be able to borrow more than you can on a credit card
  • You can choose the repayment term of your loan
  • The interest rate is usually fixed and agreed upon before you sign up
  • You know how much you have to pay back each month, so making budgeting easier
  • You can consolidate debts into one personal loan, potentially reducing your overall outgoings

What to look out for

APR

Most lenders advertise the interest they charge for the loan as an APR (Annual Percentage Rate). The APR advertised is usually the representative APR. Just over half of people who apply for and are given a loan should get this rate, or better. Read our article about APRs and how to use them to compare personal loans.

Credit Rating

Lenders will consider your credit rating when you apply for your loan. If you have not borrowed money before and have no credit history then you will have what is termed a thin file. If you are a student or living at home and have no bills in your name, then you will probably fall into this category.  Take a look at our tips on how you can improve your credit rating.

If you have borrowed before then the lender will use a credit report to assess how much of a risk offering a personal loan to you will be. 

Loans by mal

Learn more about personal loans

Responsible Lender

Important: Only borrow as much as you can afford

When looking for a personal loan make sure you only look to borrow what you can comfortably afford to repay. Borrowing too much could lead to out of control debt.

Responsible lender

loans by mal is a responsible lender. We will only accept a loan application if we think you can afford to make the repayments. If we think that taking out a loan is going to cause you financial hardship or distress for any reason we will decline your application. Find out more about eligibility and application in our FAQs.

Looking for more information on personal loans?

Credit score

Everything you need to know about credit scores including how to improve yours

Top tips

Top tips from loans by mal designed to help you understand your options

Borrow from loans by mal

  • We make loan decisions on affordability and creditworthiness
  • Our loans have a maximum 24 month term
  • Before you sign the agreement you will always know what you will repay and the terms
  • Our personal loan calculator will provide you with an indication of monthly repayments

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