No matter how rich we are, sometimes it happens we need a loan to top up our finances for making big purchases or anything else. That’s why personal loans are becoming popular day by day. Fortunately, there are many lenders in the market that offer flexible loans with competitive interest rates and convenient loan terms. But choosing the right lender is a bit of a challenging process. But don’t worry, in this article you are going to explore one of the UK lenders that offer the lowest interest rate among others. Yes, we are talking about Zopa Personal Loan.
It is one of the best peer-to-peer lending companies that offer better-valued loans and investments to their customers for raising their finance and saving money. Let’s take a look at what you really need to know about Zopa Personal Loans.
Features of Zopa Personal Loans:
Zopa personal loans range from £1,000 to £25,000 with a flexible repayment period of 1 to 5 years. Their minimum interest rate is as low as 3.9% and rises up to 34.9%. To get a loan from Zopa customers need to have a good to excellent credit score. Credit scores have a direct influential effect on interest rates. A good credit score is 700 or more, so a customer with a credit score of 720 or better will receive an interest rate between 10% and 12%. But the rate decreases as the credit score decreases.
As a representative example: Suppose you want to borrow an amount of £10,000 for over 60 months. Your representative APR for this amount 15% and your monthly payments will be £242.32 along with the total repayable amount of £14,539.29.
But note that this advertised interest rate applies only to 50% of customers, which means the personalized offer may be higher or lower and so are your monthly payments and total repayable amount. The final interest rate depends on individual financial circumstances and credit score. Moreover, their loans have fixed interest rates, which means your monthly payments remain the same throughout the loan terms. You can repay your loan earlier than the agreements or make extra payments – they don’t charge any extra fee.
Requirements to Apply for Loan:
If you want to apply for a personal loan at Zopa, to be eligible you need to be at least 20 years old or over, must be a UK resident with at least three years of address history, have an annual gross income of at least £12,000 and a track record of repaying debt. You can apply online and get your personalized rate in just 3 minutes.
When you apply for a loan they do a soft credit check that won’t affect your credit score. Once approved it takes only 2 hours to transfer the cash to your account. However, in most cases, it may take only 15 minutes to transfer money, because they use Faster Payments to transfer the cash into your bank accounts.
As you see how easy and flexible it is to get loa from Zopa. their customer service is award-winning, so you will get excellent service whenever you will get in touch with them.