Tiered personal loan rate structure announced

Fri, 13 Jan 2006

Personal loan rates are being restructured at Nationwide Building Society.

A tiered interest rate structure, which will be put into practice from Monday, will see interest rates vary depending on the value of the personal loan.

The society's lowest ever interest rate on a personal loan will then apply for personal loans of £7,500 or more. These personal loan holders will be charged an interest rate of 6.4 per cent.

Those taking out a personal loan of between £5,000 and £7,499 will pay 6.7 per cent interest. For borrowing smaller amounts, higher interest rates apply.

This new personal loan rate scheme ensures that Nationwide "remains highly competitive across all loan amounts", the society claims.

Steve Clode, the society's marketing director, says the introduction of Nationwide's lowest personal loan rate ever is "great news for consumers".

Mr Clode says the society is maintaining its "fair and transparent approach" that personal loan holders get the advertised interest rates, which will not change once they apply for the personal loan.

"This is unlike most of the banks, which advertise one rate but charge different, usually higher, rates depending upon the customer's credit rating," Mr Clode concludes.

add to favouritesnewsletterlink to this pagesend to friendpost comments

Link to this page

Copy and Paste the following HTML into your page.

 

 

Credit Crunch Savers
Amex Cash Back
Credit Card
Get 5% cash back on purchases with Amex
Virgin Credit Card
0% APR on balance transfers for 16 months
Tesco Insurance Sale
50% discount on car and home insurance.
Offer ends 7th Jan 09
Post Office Instant Saver
Protect your savings with the Post Office saver

Paying Too Much?

7 out of 10 people are paying too much for their mortgage. To find out if you're one of them click here or fill out a FREE no obligation enquiry form