UK Credit

UK Credit is another guarantor loan company, similar to Amigo Loans. It charges different interest rates depending on whether the guarantor is a homeowner or a tenant. That seems a really good idea, and it's surprising that other lenders don't do the same thing.

The interest rate for homeowner guarantors is 39.9 per cent APR, which would mean that a loan of £ 4,000 over 3 years would cost £ 178.80 per month with a total repayment of £ 6,436.80. So a total of £ 2 436.80 interest or £ 67.68 interest per month.

The interest rate for tenant guarantors is not that good at 53.9 per cent APR. This means that a total payment of £ 8,547.36 would have cost £ 178.07 per month over 4 years. This means that the interest paid would be £ 4,547.36 or £ 94.73 per month.

So the big message here is, if you really have to borrow from UK Credit, make sure your guarantor is the owner of your home. If your guarantor is a tenant, you should try to borrow from someone else, because UK credit is expensive for tenant guarantors.

UK Credit made a pre-tax profit of £ 2014.00 in 2018 and its loan book increased by 22 per cent to £ 34 million in the year.

Its average loan size in 2018 is £ 4,419.

UK Credit is owned by a company called Norfolk Capital Limited, which is also owned by Mobile Money. https:/www.mobilemoney.co.uk/Mobile Money is a log-book lender.

Norfolk Capital Ltd made a pre-tax profit of £ 6 m in 2018. The holding company also owns a Loan Brokerage company called Central Loans Limited.