HSBC Personal Loan
The HSBC Personal Loan has unnaturally high rates, but offers plenty for the smaller borrower, or folks who occasionally "drop into the red". A reliable brand, a good site, just not the best rates.
HSBC Personal loan examples (correct at publication date, uninsured, these apply to personal loan and not Flexiloan product):
| |
Monthly Repayment |
APR |
| £3000 across 2 years |
£144.00 |
14.9% |
| £5000 across 5 years |
£113.99 |
13.9% |
| £10000 across 7 years |
N/A |
N/A |
|
Like all the banks HSBC complicate things, but to help you through, there is a "decision maker" which asks what you're buying and tells you the ideal thing to do (this includes credit cards and overdrafts). Now, I must be honest and tell you that the HSBC Personal Loan "decision maker" isn't for your benefit, it's for their benefit- but it is a worthwhile tool, even if you want to borrow from somebody else. Go check it out.
HSBC look after smaller customers best- they're about the only operator who will lend you, for example £500 over 6 months (why you'd do that I don't know). They can do this small-scale lending, because they're fleecing you: at 13.9% their rate is almost double what you'll find if you shop around.
But there are other HSBC Personal Loan options. Flexiloan is a sort of permanent pot (up to £5,000) you can dip into whenever you need. This is definitely the sort of product to go for if, for example, you always find yourself £100 short at the end of the month. In the old days that meant you kept paying an unauthorised overdraft fee- now it's just part of a personal borrowing plan. You can repay the Flexiloan in a lump sum if you wish, with no penalties.
The HSBC Personal Loan site is very well organised (compared to e.g. NatWest's effort) and it's easy to apply, get brochures or find a branch. There is one downside, there are absolutely no details (cost, benefits) of the payment protection plan on-site; be sure to ask before you buy: remember many companies automatically quote with protection insurance.