A loan gives you the money you need upfront and lets you spread the cost of paying it back. So whether it's a special holiday, a car or a new kitchen, a personal loan can make it more affordable.
Loans are available to UK residents aged 18 and over. Rates will vary depending on loan amount, term and individual circ*mstances. Subject to status.
Tesco Bank Loans: PO Box 27014, Glasgow, G2 9FE.
We offer unsecured personal loans
This means that if we decide to lend you money, it won't be secured on your home, car or other assets. You can then spend this money on the things you need.
Available repayment periods
You can apply for a loan term from 12 to 120 months depending on the loan amount and purpose. Just remember that the maximum repayment period might be lower for certain loan purposes.
Borrow exactly what you need
We offer loans to cover costs big and small and you can be specific about the amount you need, down to the pound.
How interest is charged
The interest rate is fixed for the life of the loan.
At the beginning of the loan we work out the interest you will pay over the whole length of your loan and add this to your loan amount. We calculate your interest charge by applying interest at a monthly rate based on the APR to the balance of your loan, as reduced by your monthly repayments. We add this to the loan amount and then divide this total by the number of monthly repayments.
The loans calculator will give you an example of what it might cost you based on the loan amount and term you want. However, the interest rate we offer may be higher depending on your individual circ*mstances. The minimum rate that we offer is 6.1% APR and the maximum rate is 34.5% APR.
Representative example
| Loan amount £20,000 | Monthly repayments £386.05 | Length of agreement 60 months |
| Total amount repayable £23,163.00 | Representative 6.1% APR | Fixed Annual Rate of Interest (nominal) 5.9358% |
Loan calculator
How soon can I get my loan?
If you've been approved, you'll receive some important documents within five days, which you'll need to check, sign and return to us.
If you apply online, you’ll get an immediate decision and, if eligible, can digitally sign your loan agreement with us. We’ll then use Faster Payments to send the money directly to your bank account.
Once we're happy with the information you've sent, we'll fully approve your loan and pay the money into your bank account.
Take a payment break
Sometimes it can really take the pressure off if you don’t have to start repaying your loan straight away, especially if you’ve got extra expenses to cover.
So when you apply for a loan, you might be eligible to apply for a payment break before starting your monthly loan repayments.
- This break is only available at the start of your loan.
- If your application for this option is successful, then the first payment would be taken the third month after the issue of the loan.
- Interest will be charged during the payment break and your overall loan period will be extended by two months, which means that you will pay an extra two months' interest.
- Your offer documentation will explain the terms of the payment break, so please read everything carefully.
Your payment is made by monthly direct debit from the account the loan is paid into. Your first payment will be made one month after issue of the loan on the date you have chosen in your application.
You'll always know what you have to pay
All Tesco Bank loans are fixed rate. This means your monthly Direct Debit payments will be the same every month until your loan is paid off. Nice and simple.
What happens if a payment is late?
We'll charge £12 each time a loan payment is late and £12 when a default notice is issued.
Can I pay my loan back early?
Yes. But you will be charged up to two months' interest if you choose to settle your loan early.
Credit checks during application
We'll carry out a credit reference search when you apply for a loan and a credit score will be calculated based on the information you enter and your credit reference information. This will help us make a decision on whether or not we're able to lend to you. We'll then let you know the decision and what the status of your application is.
Who provides these loans?
Our loans are provided by Tesco Bank, PO Box 27014, Glasgow, G2 9FE.
What do we mean by Annual Percentage Rate (APR) and annual rate of interest?
The APR is the total cost of borrowing, as a percentage of the amount you owe, over a year. The APR is calculated from the annual rate of interest plus any upfront fees. It gives you a way to compare the cost of different loan and credit offers.
The annual rate of interest is the amount of interest that will be charged on your loan, as a percentage of the amount you owe, over a year.
