A small loan is unsecured credit usually under £1000 and paid back within 12 months.
These loans provide a small injection of money to help with financial emergencies and temporary cash flow situations.
It’s a quick and simple solution done online.
Small loans are usually used for unexpected expenses in situations where you find yourself a little bit short of cash.
It’s designed to support you over a short period of time, not for the long term.
It’s worth checking if friends or family will lend you the small amount you need before applying for a loan, and if not, that’s when you should consider it.
APRs (Annual Percentage Rates) for small loans can sometimes be higher than other loans, because they aren't normally offered over terms longer than 24 months.
You can find out an example monthly payment and total amount payable when you use our loan calculator, this will help give you an indication of whether a small loan is right for you.
No. Small personal loans and payday loans are there to provide a small amount of money over a short period, so on first glance they may seem the same.
Payday loans, however, are extremely short-term loans, usually repaid in a month, with high interest rates.
Whereas our small loans can be repaid over a longer period of time - typically over a minimum of 12 months.
All borrowing affects your credit score in some way.
If you pay your small loan back on time and in full, you won’t experience any negative effects from taking out a loan.
If you’re late on repayments, this will show negatively on your credit file and make it more difficult to secure credit in the future.
When you take out a loan, you’ll be provided with a detailed repayment schedule as part of your loan agreement - this is where you’ll find out when you should be repaying your loan.
You can usually repay your loan early without incurring a fee.
The advertised representative APR is a guideline for what to expect, but not guaranteed.
The way it works is that 51% of people who apply and are accepted for a small loan will get this rate.
If your credit rating isn’t perfect, there’s a chance you’ll be given a higher interest rate.
Applying for any loan with Likely Loans is quick and simple and find out if you’re eligible within minutes.
After that, once your application goes through the required checks, if you are approved you could have your money in your bank account by the next working day.