Unsecured personal loan
Borrow up to £25,000
Loans
Compare loans and apply online
With our partner, ClearScore, you can find out what loans you could be eligible for. ClearScore are a credit broker, not a lender. Together we give you access to a panel of loan providers.
Find the right loan with Co-op
Our partner ClearScore uses a panel of selected lenders to help you find a loan that suits you. You can borrow for things like debt consolidation, home improvements, car loans, weddings and holidays.
Secured vs unsecured personal loans
There are 2 types of loans: unsecured personal loans and secured homeowner loans.
A secured loan (also known as a homeowner loan) is a type of loan suitable for people who own a home with a mortgage. This loan is separate from your current mortgage. You can borrow between £10,000 and £500,000+ over 1 to 30 years, subject to the lender’s affordability assessment.
With an unsecured loan the lender looks at things like your income and credit history to decide if you can get the loan. These loans are often faster to get but might cost more. You can borrow up to £25,000 with unsecured personal loans from Co-op.
You do not need to know which loan type you need. When you use the eligibility checker online, it will automatically show your options. Secured loans will only appear if you're a homeowner with a mortgage.
See our guide on secured and unsecured loans for more information about the differences.
|
Personal loan |
Secured loan | |
|---|---|---|
Loan duration | 1 - 7 years | 1 - 30 years |
Loan amount | £1,000 to £25,000 | £10,000 to £500,000+ |
Must own your home with a mortgage | ||
Risk losing home if repayments are not made |
Personal loan
Loan duration
depending on affordability assessment
1 - 7 years
Loan amount
depending on affordability assessment
£1,000 to £25,000
Secured loan
Loan duration
depending on affordability assessment
1 - 30 years
Loan amount
depending on affordability assessment
£10,000 to £500,000+
Must own your home with a mortgage
Risk losing home if repayments are not made
Reasons to choose
Compare your options
Multiple loan offers tailored to you, subject to lender's affordability assessment.
No impact on credit score
With a soft eligibility check it will not impact your credit score when comparing loans.
Choose your repayment terms
Loan terms from 1 to 30 years, subject to lender's affordability assessment.
Application process
How getting loan works with our partner ClearScore:
- Eligibility check: fill in the online form and ClearScore will run an eligibility and soft credit check. This will not affect your credit score.
- Loan options: if you pass, you will see a list of loans showing how much you could borrow and the costs. If you choose a secured loan a qualified adviser will call to go through your application.
- Payment: if you get approved for a loan, the money will be sent directly to your account. For unsecured loans this is normally on the same day you apply. For secured loans this might take several weeks.
Types of loans you could apply for
Co-op Member Prices
Co-op Members could get exclusive rates on unsecured loans from selected lenders. Discounted rates depend on your circumstances and the eligibility criteria. Secured loans are not included. Members also get:
- lower prices in our food stores and online
- personalised offers every week
- access to presale tickets for Co-op Live, the UK's biggest arena
- a say in how Co-op is run
If you’re not yet a Co-op Member, you can sign up using the ‘Become a member’ button. This will include a one-off £1 joining fee.
Loan terminology
You can watch our video or keep reading to learn more about the terminology used when talking about loans.
Annual Percentage Rate (APR)
The Annual Percentage Rate, or APR, includes both the interest rate and any fees over the year. This gives you the overall cost of borrowing, making it easier to compare different loans.
Representative APR
Representative APR is the rate lenders use to give you an idea of the APR most people get with their loan. It is calculated from the APR that 51% of accepted borrowers receive, or lower. However, it's important to note that not everyone will get this rate.
Personal APR
Personal APR is the APR offered to you based on your personal circumstances and credit history. Your Personal APR might be higher or lower than the Representative APR. As this depends on your financial situation, loan amount and loan terms.
Annual Percentage Rate of Charge (APRC)
The Annual Percentage Rate of Charge or APRC is the total cost of a secured loan over its entire term shown as an annual percentage. The APRC is provided to help you compare different offers.
Interest rate
An interest rate is the cost of borrowing money and is shown as a percentage of the amount you borrow.
Secured loan
A secured loan is a type of loan where you use something valuable, like your house, to help get the money. If you do not pay the loan back, the lender can take that item. This makes the loan safer for the lender, so they might let you borrow more money or charge less interest.
Unsecured personal loan
An unsecured personal loan means if you miss payments you are unlikely to lose your assets, like your home or your car. If you do miss payments this will affect your credit score.
Understanding the full cost of your loan
Representative example for secured loans
Secured loans from Co-op have a representative APRC of 13.24% (variable). For example, borrowing £25,000 over 10 years with a broker fee of £2,875 and a lender fee of £595 means you’ll pay £365.91 each month. The charge for credit would be £18,909.20. In total, you would repay £43,909.20.
Representative example for unsecured loans
Unsecured personal loans from Co-op have a representative APR of 23.8% (fixed). For example, borrowing £7,500 at a fixed annual interest rate of 23.8% over 5 years means you will pay £214.89 each month. In total, you would repay £12,893.40.
Debt advice
Consolidating your debts could help you take control of your money. Depending on the interest rate and how long you take to repay, you could end up paying more in total. Think about the overall cost when making your decision.
If you're getting a secured homeowner loan to pay off unsecured debts, think carefully. It might not be the best choice. Missing payments could mean losing your home. Your home may be repossessed if you do not keep up repayments on your mortgage or any other loan secured on it.
There are many debt management support services and advice lines who can help you for free. Gov.uk has a list of services where you can get help in person, over the phone or online.
They can help you with your finances and spending habits by giving you independent advice on dealing with debt problems and debt management.
What are the risks of getting a loan?
Both secured and personal loans come with some risks. Missing payments can affect your credit score and make it harder to borrow in future. You may also have to pay an early repayment charge if you choose to pay off your loan sooner than agreed.
If you are getting a secured loan, your home is used as security. Your home may be repossessed if you do not keep up repayments on your mortgage or any other loan secured on it. So, even though it’s called a secured loan, the lender has the security, not you
Existing customers
If you are one of our existing customers we are here to help.
For secured loans Co-op Insurance Services Limited acts as an introducer to Clearscore. We are not the mortgage intermediary or lender. Co-op Insurance receives commission from ClearScore if you take out a secured loan. The amount of commission is a percentage of the overall amount you borrow.
For unsecured loans Co-op Insurance Services Limited acts as a Credit Broker not a Lender. If you take out an unsecured loan or are introduced to a third-party provider, we will receive a fixed percentage commission from Aro.
This will not impact the amount you pay back. Lenders terms and conditions apply. UK residents 18 and over.