Tips to a personal loan with the best interest rate
Looking for a personal loan with the best interest rate? There’s plenty of things to consider when choosing a personal loan. Finding a reputable lender, applications without the faff, speedy payments, flexible repayments. And, of course, finding the best interest rate.
Improve your credit
It won’t happen overnight, but there are certainly ways to boost your credit score. Since your credit rating is a major factor in determining your interest rate (and chances of approval) it’s worth the effort:
- Keep credit card debt low. It helps your credit score to have some available credit, such as through credit cards, significant unpaid debt lowers your score. So if you have the willpower, you’re best to keep any credit cards but keep balances low.
- Pay your bills and other repayments on time. Avoiding missed payments, defaults and unarranged overdrafts will help keep your credit score in check
- Dispute any errors. You can request a copy of your personal credit report online. If you find any errors on your credit report, the company who filed it is required to investigate and remove if incorrect
- Don’t pay someone to improve your credit. Don’t be fooled by companies who claim they can remove details from your credit file. Information can only ever be removed if out of date or proven incorrect.
Shop around (but not too much)
When searching for the best deal, it’s often a good idea to shop around. But it’s important to remember each time you apply for finance, your credit gets checked. Each of these is recorded on your credit report. Too many enquiries can negatively impact your credit score.
Luckily, your Zealy application is matched with the right lender to get you a personal loan with the best interest rate, without running around town or getting application happy.
Check fees and charges
As well as the interest rate, any related fees also impact the total amount we pay on the loan. Zealy personal loan fees vary slightly, depending on your loan amount and whether a broker fee applies. You can check out our schedule of standard fees and charges online. There are no early settlement fees, which means you can pay off the loan early free of charge.