Case study: Borrower needs to borrow £1,600 and can afford to make monthly payments of £85/pcm. Ensure you borrow only what you need and what you can afford.
Three of the market leading Guarantor loans compare as follows;-
Borrow £1,600 repay over 30 months – £85.04/pcm
COST – £951.20
Nearest sum to ensure £1,600 as needed is £1,750 over 36 months – £85.38/pcm
COST – £1328.68
Nearest sum to ensure £1,600 as needed is £2,000 over 36 months – £91.88/pcm
COST – £1307.68
So borrowing exactly what is needed from LendFair is £377.48 Less than with Amigo, or £356.48 less than UK Credit, and yet the quoted APR from all 3 is as follows; LendFair APR – 48.9%, Amigo 49.9% and UK Credit 42.9%.
Of course if you borrow the amount that the lender wants you to borrow the results are different, but this is often more than you need or want and over a longer period. So being LendFair we urge you to shop around and find the best deal tailored to YOUR needs and look at both affordability and the real cost over the life of the loan. Remember, LendFair never charge you fees and we rebate interest fairly if you repay some, or all, of your loan early.
In the interest of fair comparison we also show the cost of borrowing £1,500 over the same term from each of the above lenders. It pays to shop around and choose the best loan that most closely fits what you need.
Lendfair – borrow £1,500 pay £72.03/pcm for 36 months, cost – £1,093.08 APR 48.9%
Amigo – borrow £1,500 pay £73.18/pcm for 36 months, cost – £1,134.48 APR 49.9%
UK Credit – borrow £1,500 pay £68.91/pcm for 36 months, cost – £980.76 APR 42.9%