Long Term Loans For Bad Credit

If you’re thinking about searching for a loan, you might have wondered what sort of repayment term could suit your financial situation.

Little Loans is a credit broker, working with a panel of lenders who offer personal loans with repayment terms starting at 3 months up to 60 months, depending on the amount of money you apply to borrow.

How much money can I apply to borrow and for how long?

With Little Loans, you can search for a loan between the values of £100 and £10,000. The loan amount you choose will affect how long you can borrow the money for.

We’ve provided a breakdown of the available loan amounts and terms below. You should never borrow more money than you need or can afford to repay.

Loan amount	Available repayment terms
£100 – £900	3, 6, or 12 months
£1,000	3, 6, 12, 18, 24 or 36 months
£1,100 - £2,000	6, 12, 18, 24, or 36 months
£2,100 - £2,500	12, 18, 24, or 36 months
£2,600 – £7,500	12, 18, 24, 36, 48 or 60 months
£7,600 - £10,000	18, 24, 36, 48, or 60 months

A longer-term loan usually refers to a loan with repayment terms of 12 months or over.

What’s the interest rate on a longer-term loan?

The interest rate you’re offered will be based on your individual circumstances and several factors, such as your income; credit score; the borrowing amount; and your chosen repayment term.

If you opt to repay your loan across a longer term, your monthly repayments will be lower, and spreading the cost of the loan could make it more manageable for you. However, you’ll pay more interest overall than you would if you were to choose a shorter term.

When searching for a loan, you should pay attention to the Annual Percentage Rate (APR). This reflects the annual cost of borrowing, and includes interest and any standard fees associated with the loan. Additional fees and charges, such as late repayment fees, are not included in the APR.
The lower the APR, the lower the cost of borrowing.

What can I use a longer-term loan for?

A personal loan with a longer term could be used to cover the cost of an unexpected, larger expense, including an urgent home improvement, such as a new roof.

I have bad credit; could I apply for a longer-term loan?

You might be able to apply for a longer-term bad credit loan.
Here at Little Loans, we’re proud to work with several lenders who specialise in bad credit loans with a range of amounts and repayment terms.

There are several things to think about before you search for a bad credit longer-term loan:

• If you have bad credit and are approved for a loan, you could be offered a higher interest rate.


• You might not be approved to borrow as much money as you need and may need to re-apply for a lower amount.


• A direct lender will run a creditworthiness assessment on anybody who applies for a loan. This could include either a hard search or Open Banking.* A hard search will remain on your credit file for up to 12 months and if you make multiple applications for credit, multiple hard searches could be carried out, which will harm your credit score.

Should I apply for a longer-term loan if I have bad credit?

You know your financial situation better than anyone, so only you can truthfully answer this question.
Before you decide whether to apply for any type of loan, considering the cost of repayments is of paramount importance.
A bad credit loan could come with a higher interest rate, which will increase the overall cost of borrowing and your monthly repayments.
If you have a history of defaulting on your repayments, you should think very carefully before you search for a loan. The last thing you want to do is cause further damage to your credit score.
You might decide instead to talk to a financial advice organisation, such as StepChange.

Can I get a bad credit loan without a guarantor?

A guarantor loan is when somebody else, commonly a family member or close friend, agrees to make your repayments if you’re unable to.

While a guarantor loan could provide the lender with some peace of mind, you shouldn’t view this type of borrowing as a safety net. You should never apply for credit unless you’re certain that you can afford to repay it yourself. If not managed correctly, a guarantor loan could damage the relationship that you have with your guarantor, so it’s vital to maintain open and honest communication throughout.

None of the lenders on the Little Loans panel offer guarantor loans, although as discussed, some could be willing to consider applications from people with bad credit.

Reasons to choose Little Loans for your longer-term bad credit loan

• Little Loans, and all the lenders on our panel, is authorised and regulated by the Financial Conduct Authority (FCA).


• Searching for a loan with Little Loans is free; we don’t charge any fees for our service.


• Quotes are no-obligation.


• Check your eligibility in under 60 seconds.


• Any credit score considered.

When you search for a loan with Little Loans, we’ll use soft search technology to gain an overview of your financial history. A soft search will not affect your credit score in any way, although if you’re matched with a loan and choose to make a full application with the lender, they will conduct a full creditworthiness assessment, which will affect your credit score.

How to search for a longer-term bad credit loan

Our online form should take around five minutes to complete, and can be filled out 24 hours a day, 7 days a week. Whether you’re a night owl or early riser, we’re here to help.

• First, you’ll need to choose your preferred loan amount and term, and tell us some key information, including your address history and employment status.


• Once we have this information, we’ll carry out a soft search and scan our panel of lenders for a suitable loan.


• If we’re able to match you with a lender, you’ll be redirected to their website. If, after researching the loan, you’d like to make a full application, a creditworthiness assessment will be carried out; depending on the lender, this will include either Open Banking* or a hard search.


• The lender will send you a loan agreement, which you should read through carefully before you decide whether to sign and return. Pay close attention to the cost of your monthly repayments; you should be sure that you can afford to make these without leaving you short when covering the cost of your monthly essentials, such as bills and groceries.

Can I get a bad credit loan without a credit check?

The Financial Conduct Authority (FCA) requires all authorised and regulated lenders to complete a creditworthiness assessment on anybody who applies for a loan. These checks are in place to ensure that the potential borrower is comfortably able to make their monthly repayments and are as much in place to protect you as they are the lender.
As we mentioned earlier, a creditworthiness assessment could be in the form of either a hard search or Open Banking.*

If you apply to a number of lenders directly, they could carry out a hard search. Some lenders could be less inclined to offer you a loan if they see a large number of hard searches on your credit report in a short period of time.

If approved, your money could be sent today

Some of the lenders on the Little Loans panel are able to send your money on the same day as your application is approved, although it’s important to be aware that, depending on your bank’s policies and procedures, there could be a delay in the time it takes for the money to appear in your account.

Can I get free, financial advice?

Yes, you can. Free, impartial money and debt management advice can be found through a number of UK charities and organisations, including StepChange, MoneyHelper, Citizens Advice, and National Debtline.

*Open Banking is a process used by many authorised third-parties, including a number of lenders on the Little Loans panel. With your consent, Open Banking allows your chosen third-party to access your online bank account with a read-only view. This provides them with an insight into your recent financial activity, which could help to influence their lending decision, rather than relying on your credit history alone.