Benefit Loans

Unemployed or on state help? Find benefit loans here

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45.4% APR Representative
Time to apply
OK 02m 48s
Application Time
OPTIOSCORE
Good
Representative Example: If you borrow £3,000 over 36 months at a Representative rate of 45.4% APR and an annual interest rate of 23.00% (fixed), you would pay 36 monthly instalments of £140.84. The total charge for credit will be £2,070.24 and the total amount payable will be £5,070.24.
We don't have any reviews for 1 Plus 1.
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Average customer rating
0 out of 5
Key Facts
  • Loan amount: £500 - £5,000
  • Loan term: 12 - 60 months

Top choice for

  • You don't need to have a good credit history
  • Existing customers can borrow up to £5,000
  • Quick application, money usually transferred within 24 hours
  • Competitive APR
  • Your guarantor can be a homeowner or a tenant

Watch out for

  • You must have a guarantor
  • Your guarantor must be older than 18 years old and no older than 75 years when the loan completes
  • Your guarantor will need to make the repayments if you cant afford to
  • Your guarantor must have have a good credit history

Fees & charges

  • Maximum APR 45.4%
  • Arrangement fee: £0
  • Early repayment fee: £0
  • Late payment penalties: £15
49.9% APR Representative
Time to apply
Fast 01m 33s
Application Time
OPTIOSCORE
Great
Representative Example: If you borrow £4,000 over 36 months at a Representative rate of 49.9% APR and an annual interest rate of 49.90% (variable), you would pay 36 monthly instalments of £195.16. The total charge for credit will be £3,025.76 and the total amount payable will be £7,025.76.
We don't have any reviews for Amigo Loans.
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Average customer rating
0 out of 5
Key Facts
  • Loan amount: £500 - £7,500
  • Loan term: 12 - 60 months

Top choice for

  • No fees of any kind
  • You don't need to have a good credit history
  • You don't need to have direct debit facilities
  • Your guarantor does not need to own their home
  • You don't have to have been a resident of the UK for a specified length of time

Watch out for

  • You will need a guarantor
  • If you have a poor credit history, it's likely your guarantor will need to be a homeowner
  • Your guarantor will need to make your repayments if you can't afford to

Fees & charges

  • Maximum APR 49.9%
  • Arrangement fee: £0
  • Early repayment fee: £0
  • Late payment penalties: £0
49.7% APR Representative
Time to apply
OK 03m 15s
Application Time
OPTIOSCORE
Good
Representative Example: If you borrow £2,600.00 over 36 months at a Representative rate of 49.7% APR and an annual interest rate of 41.00% (fixed), you would pay 35 monthly instalments of £126.61 and a final payment of £126.54. The total charge for credit will be £1,957.89 and the total amount payable will be £4,557.89.
We don't have any reviews for Bamboo Loans.
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Average customer rating
0 out of 5
Key Facts
  • Loan amount: £1,000 - £8,000
  • Loan term: 12 - 60 months

Top choice for

  • You don’t need perfect credit history
  • Easy payment management with online portal
  • Your guarantor can be your partner
  • Your guarantor does not need to be a homeowner

Watch out for

  • You and your guarantor must be over 21
  • Your guarantor will also need a good credit rating
  • Your guarantor must not be a customer of Bamboo
  • Your guarantor will need a UK bank account
  • Your sole income cannot be from Job Seekers Allowance

Fees & charges

  • Maximum APR 49.7%
  • Arrangement fee: £0
  • Early repayment fee: £0
  • Late payment penalties: £12
49.7% APR Representative
Time to apply
OK 02m 10s
Application Time
OPTIOSCORE
Good
Representative Example: If you borrow £3,500 over 36 months at a Representative rate of 49.7% APR and an annual interest rate of 31.90% (fixed), you would pay 36 monthly instalments of £170.56. The total charge for credit will be £2,640.16 and the total amount payable will be £6,140.16.
We don't have any reviews for George Banco.
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Average customer rating
0 out of 5
Key Facts
  • Loan amount: £1,000 - £7,500
  • Loan term: 12 - 60 months

Top choice for

  • Fast track same day payout
  • Customer and regulation focussed
  • Positive reviews online
  • Available to customers with bad credit

Watch out for

  • Your guarantor will need to be over 25 years old
  • Your guarantor must have good credit history
  • Both must not be under an IVA or bankruptcy
  • Your guarantor must have a minimum income of £1,000pm
  • Both must have a valid UK bank account and debit card

Fees & charges

  • Maximum APR 49.7%
  • Arrangement fee: £100
  • Early repayment fee: £0
  • Late payment penalties: £12
38.9% APR Representative
Time to apply
OK 01m 45s
Application Time
OPTIOSCORE
Good
Representative Example: If you borrow £4,500 over 36 months at a Representative rate of 38.9% APR and an annual interest rate of 33.30% (fixed), you would pay 36 monthly instalments of £199.26. The total charge for credit will be £2,673.36 and the total amount payable will be £7,173.36.
We don't have any reviews for UK Credit Loans.
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Average customer rating
0 out of 5
Key Facts
  • Loan amount: £1,000 - £10,000
  • Loan term: 12 - 60 months

Top choice for

  • They accept tenants as guarantors
  • Your guarantor can be anyone, including your spouse
  • Online quote doesn’t leave a credit footprint
  • Online management tool
  • Funds available fairly quickly after approval

Watch out for

  • No bankruptcy, debt management plan or IVA
  • Your guarantor must have good credit history
  • Your guarantor must be aged between 21 and 70
  • Your guarantor must be either employed, self-employed or retired
  • For loans over £6,000 your guarantor must be a homeowner

Fees & charges

  • Maximum APR 59.9%
  • Arrangement fee: £0
  • Early repayment fee: £40
  • Late payment penalties: £0
68.7% APR Representative
Time to apply
Fast 01m 32s
Application Time
OPTIOSCORE
Good
Representative Example: If you borrow £500 over 40 days at a Representative rate of 68.7% APR and an annual interest rate of 292% (variable), you would pay 1 instalment of £660.00. The total charge for credit will be £160.00 and the total amount payable will be £660.00.
We don't have any reviews for SafetyNet Credit.
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Average customer rating
0 out of 5
Key Facts
  • Loan amount: £1 - £500
  • Loan term: 0 - 365 days

Top choice for

  • Repayments taken when you have sufficient funds in your account
  • SafetyNet have their own app
  • Takes only 15 minutes to transfer from your credit line
  • Automatic payments to cover overdrafts

Watch out for

  • Must be a UK resident
  • You must be aged over 18
  • You must be employed
  • You will need to have a salary or regular income
  • You will need a current account with internet banking

Fees & charges

  • Maximum APR 68.7%
  • Arrangement fee: £0
  • Early repayment fee: £0
  • Late payment penalties: £0
79.4% APR Representative
Time to apply
OK 01m 46s
Application Time
OPTIOSCORE
Good
Representative Example: If you borrow £3,000.00 over 24 months at a Representative rate of 79.4% APR and an annual interest rate of 59.9% (fixed), you would pay 24 monthly instalments of £217.24. The total charge for credit will be £2,213.68 and the total amount payable will be £5,213.68.
We don't have any reviews for Everyday Loans.
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Average customer rating
0 out of 5
Key Facts
  • Loan amount: £1,000 - £15,000
  • Loan term: 24 - 60 months

Top choice for

  • Aimed at those with bad credit history
  • Positive customer reviews online
  • Advice articles for improving credit on their website

Watch out for

  • You must be aged 18 years or over
  • You will need to be in full time employment

Fees & charges

  • Maximum APR 79.4%
  • Arrangement fee: £0
  • Early repayment fee: £0
  • Late payment penalties: £0
99% APR Representative
Time to apply
Slow 05m 00s
Application Time
OPTIOSCORE
Good
Representative Example: If you borrow £1,200 over 52 weeks at a representative rate of 99% APR and an annual interest rate of 69% (variable), you would pay 1 weekly instalment of £43.46 and 51 monthly instalments of £32.09. The total charge for credit will be £480.05 and the total amount payable will be £1,680.05.
We don't have any reviews for Oakam Lift Loan.
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Average customer rating
0 out of 5
Key Facts
  • Loan amount: £1,000 - £5,000
  • Loan term: 12 - 36 months

Top choice for

  • Flexible payment plan
  • Their team can speak over 27 languages
  • Mobile app allows easy management of the loan
  • Refer a friend and receive £10
  • No fees or charges for settling the loan early

Watch out for

  • You must be aged over 18
  • You will need to have been in the UK for at least 6 months
  • You must earn at least £700 per month
  • You must not be in debt management
  • You can’t be bankrupt or have an IVA

Fees & charges

  • Maximum APR 99%
  • Arrangement fee: £0
  • Early repayment fee: £0
  • Late payment penalties: £0
43.8% APR Representative
Time to apply
Fast 01m 31s
Application Time
OPTIOSCORE
Good
Representative Example: If you borrow £4,000 over 36 months at a Representative rate of 43.8% APR and an annual interest rate of 36.90% (fixed), you would pay 36 monthly instalments of £185.27. The total charge for credit will be £2,669.72 and the total amount payable will be £6,669.72.
We don't have any reviews for TrustTwo.
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Average customer rating
0 out of 5
Key Facts
  • Loan amount: £1,000 - £7,500
  • Loan term: 12 - 60 months

Top choice for

  • You don’t need to have good credit history
  • Your guarantor can be a tenant or homeowner
  • You can choose weekly or monthly repayments
  • They don’t charge any upfront fees

Watch out for

  • You will need to be aged over 18 years
  • You must be a UK resident
  • No bankruptcy, IVAs or debt management plans
  • Your guarantor must be aged between 25 and 74
  • Your guarantor can be someone close to you but not a spouse

Fees & charges

  • Maximum APR 43.8%
  • Arrangement fee: £0
  • Early repayment fee: £0
  • Late payment penalties: £0

What are benefit loans?

It does exactly what it says on the tin; benefit loans are loans specifically designed for people who are on benefits.

We all know that those in employment with a weekly or monthly salary are going to be a more attractive prospect to lenders. Even if these individuals have only been in their current job a matter of months, they are still seen as more deserving of credit than those of us who are on benefits. It can be extremely difficult to obtain a loan from a high street bank if you are not in employment. Benefit loans are, therefore, the ideal solution for those of us “the computer says no” to.

How do I know if I should be looking for benefit loans?

If you are claiming state benefits you should be looking for benefit loans. By benefits we don’t just mean you are claiming job seeker’s allowance; it could be that you are in receipt of incapacity benefit, carer’s allowance or even a state pension.

On a separate note, before making a loan application, it is a good idea to check your credit score. We recommend both Noddle and ClearScore as they offer this service for free. You should also ensure you are on the electoral role at your current address as this relatively simple exercise will indicate stability to lenders.

What can I expect from lenders?

Although you are not in employment, lenders specialising in benefit loans will recognise that you still have a regular source of income. If the benefit loans lenders deem you to have sufficient income to meet the loan repayments, it does not matter where that income actually comes from!

Not all benefit loans will mean a sky-high APR, especially for those of us who either a) have established a good long-term relationship with our own bank or b) have a relatively good credit score.

For those of us whose credit scores aren’t so good, we are looking at high-cost unsecured benefit loans with an APR of anything between say 40% - 50% and going up to 99%.

Notwithstanding the fact it would be irresponsible for any lender to offer such a large loan in the first place, you are not going to be able to get benefit loans for tens of thousands of pounds. Your income (albeit pretty much guaranteed) is simply not going to be high enough to leverage such sums!

Any alternatives?

You may wish to consider exploring guarantor loans further. The premise of these loans is that a friend or family member - someone who trusts you regardless of your current circumstances - guarantees the loan should you miss or are unable to make the repayments.

The table on this page lists the options we have for benefit loans.

You can personalise these results with our loan search.