Marks & Spencer has taken the top spot in the Which? Best Rate personal loans table, charging an APR of just 7.5% APR typical on loans between £7,500 and £15,000.
Just a week after Sainsbury’s Finance and Tesco Bank dropped their own rates, Marks & Spencer (M&S) has launched its own table-topping rate. A £10,000 personal loan repaid over five years will cost you 7.5% APR with M&S, compared to 7.6% with Tesco and 7.7% with Sainsbury’s (if you hold a a Nectar card). All three deals offer much better value than most high street banks and building societies.
Excellent value on high street retailers’ personal loans
Which? Principal Researcher Martyn Saville commented: ‘It looks like we’re finally seeing the personal loan market start to become more competitive. And once again, it’s big-name retailers leading the way.
‘However, as with all unsecured credit at the moment, the best deals are likely to be attainable only by those with an excellent credit record. Make sure you check your credit file before applying for any loan.’
Alternatives to personal loans
If you’re planning to borrow smaller amounts, it’s worth considering the alternatives, including credit cards, in-store interest-free credit, credit unions or peer-to-peer lending sites such as Zopa.’
For details of the best personal loans currently available, read the Which? personal loan reviews.
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