The interest rates on personal loans continue to rise, according to new research.
A study by Moneyfacts.co.uk reveals that 14 personal loan firms have increased rates in the last month, with two putting them up twice.
Esther James, analyst at the price comparison website, said: "Anyone looking to consolidate their debts needs to make sure they shop around.
"Remember that if you do opt for payment protection insurance, the lowest rate doesn't always equal the cheapest loan ."
Increasing rates on personal loans means that the savings from debt consolidation might not be as big as people expect, she added.
People should also be aware of what firms charge for lending various sums, as in some cases they might be able to save money by borrowing slightly more, Ms James stated.
Recently, the website revealed that there were no longer any personal loans offering an interest rate of less than seven per cent.






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