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

Please note: We are a broker, not a lender, and do not make credit decisions.

Rates from 35.9% APR to max 1304% APR. Minimum Loan Length is 3 months. Maximum Loan Length is 36 months. Representative Example: £250 borrowed for 3 months. Total amount repayable is £411.63 in 3 monthly instalments of £137.21. Interest charged is £161.63, annual interest rate of 292% (fixed). Representative 1192% APR (variable).

Subject to application being approved by the lender. Not all lenders are able to provide up to £5000

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Cheap Payday Loans in the UK?

If you are looking for cheap payday loans in the UK we might be able to help.

Here at 1st Class Loans, we specialise in helping customers find an FCA approved payday loan direct lender.

In this guide, we list all the different types of ‘cheapest loans’ you can get. Then explain which cheap loan might be best for you.

Cheap loans by payday loan direct lender 1st class loans

Different types of cheap loans

So what are the different types of cheapest loans you can get?

Cheap payday loans

As we are a payday loan broker, we will start with cheap payday loans.

Now the words ‘cheap’ and ‘payday loans’ don’t usually go together. These short term loans are known for having extremely high APR’s.

Same day payday loans start around £50 pounds from direct lenders

However, you can still get cheap payday loans and I’ll explain how:

Payday loans come with very high APRs, however, if you pay your loan off extremely quick, then you will pay less interest. It is as simple as that!

The idea of Instant cash loans is to get them maybe 1 week before you get paid. Now if you get a £300 loan and pay it back off in a week. You would only pay around £24 extra. However, the APR will still be around 1,000% APR.

This is where cheap short term loans came into play. The idea from the lenders was to spread the payment over 3-6 months, This way the longer you have the loan, the more interest you will pay.

Here at 1st Class Loan, we always recommend you paying off your cheap payday loan as fast as possible.

Who has the cheapest payday loans?

We would recommend ourselves as the cheapest payday loans as we are a broker. We will send your application into a pingtree, which then checks your credit score and will match you with a lender based on your credit score.

Cheap Personal Loans

You always get a much lower rate with personal loans, making these the cheapest loans.

These cheap personal loans usually start at £1,000 and go all the way up to £50,000 depending on the personal loan lender. The APR can start as low as 2% which is extremely cheap.

However, the APR usually will depend on your credit score. If you have a great credit score, you will more than likely get offered a much lower rate, as you will be classed as low risk.

Someone with bad credit though won’t be able to get cheap loans like this. If you have bad credit you will be classed as high risk to the lender, so this means they will charge a higher APR just in case of miss payments.

Who offer the cheapest loans?

  1. Tesco Loans
  2. Sainsbury Loans
  3. Santander Loans
  4. Money SuperMarket Loans

There are a number of companies offering cheap loans, but the best way to get a cheap loan is by getting quotes (ones using soft searches otherwise it could harm your credit score), use comparison sites and last but not least, brokers who don’t charge fees.

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