Direct Line Personal Loans are provided by Lending Works
Lending Works is made up of Lending Works Capital Limited, who act as the lender, and Lending Works Limited, who set up and manage your loan. Neither of these are part of our group of companies. Direct Line customers are introduced to Lending Works by U K Insurance Business Solutions Limited (UKIBS). In making this introduction, UKIBS acts as a credit broker, not a lender and will receive commission from Lending Works Limited.
Loan amount: £7,500, Term: 48 months, Monthly repayment: £198.22, Total payable: £9,514.61,
Arrangement fee: £150.00, Interest rate: 11.72% p.a. (fixed), Representative APR: 12.9%.
You’ll pay a non-refundable arrangement fee of no more than £150, calculated as follows:
|Loans between||You'll pay|
|£1,000 - 3,000||5% of the loan amount (up to £150)|
|£3,001 - 25,000||Fixed amount of £150|
This fee, plus interest, is repaid over the lifetime of your loan and is included in the Annual Percentage Rate (APR).
If you choose to settle your loan early (after the 14-day cooling off period), whatever is left to pay on this fee will be included in your settlement figure.
Why choose a loan from Direct Line?
The rate you may be offered depends on your personal circumstances.
Get a no-obligation personalised quote in minutes that won't affect your credit score now or in the future.
Get a quick decision
Once Lending Works have all the information they need, they'll aim to give you a decision on your loan application within one working day.
If your loan's approved, you should get your money the next working day.
Stay in control
Get a fixed-rate personal loan from £1,000 to £25,000 over one to five years. Your monthly Direct Debit payments will stay the same until your loan is paid off.
Direct Line Personal Loans are provided, arranged and managed by our friends at Lending Works.
Are you eligible for a Direct Line Personal Loan?
To be eligible to apply you must:
- be aged 18 or over
- be under 75 when the loan term ends
- have been a permanent resident in the UK for over three years
- be employed and earning at least £850 a month after tax
- not have a history of CCJs (County Court Judgements), decrees or bankruptcy
- have a UK bank or building society account that can pay Direct Debits
What's a personal loan?
If you want to consolidate debts, make home improvements or buy a car, a personal loan could give you the money you need up front, with the flexibility of paying it back over an agreed term - usually between one and five years.
Like all personal loans, Direct Line Personal Loans are ‘unsecured’, which means you don’t have to put your home, car or other valuables up as collateral.
How does it work?
1. Get a quote
You’ll need to provide some personal details and information about where you live, your employment and your reason for applying for a Direct Line Personal Loan.
The Lending Works team will then carry out a 'soft search' on your credit file and confirm the quote decision, and what APR you may be offered. This will not affect your credit score.
Whether you qualify for a loan or not, you'll receive a response straight away.
2. Apply for your loan
If your quote is provisionally approved, you can apply for your loan. At this stage, Lending Works will carry out a 'hard search' on your credit file. Please be aware that this may affect your credit score in the future.
If you decide to apply, you'll be asked for your bank or building society details - this is the account the loan money will be paid into, and your Direct Debit repayments will come out of.
3. Lending Works may need extra info
Sometimes, Lending Works will ask you for extra information to process your application. Once received, they'll aim to get back to you with an answer within one working day.
If your loan is approved, Lending Works will aim to pay your Direct Line Personal Loan into your account within one working day. Once approved, you can create a Lending Works account using the online portal, where you can easily manage your loan.
If your loan is declined, you'll receive an email explaining some of the possible reasons why your application was turned down.
Frequently asked questions
You can borrow money for most things, including:
- A car or vehicle
- Home improvements
- Debt consolidation (i.e. putting any other debts you owe into one monthly payment)
- A special event such as a wedding or holiday
- Any other reasonable purpose
You can receive a no-obligation personalised loan quote without impacting your credit score. If you're happy with your quote and apply for a loan, this will leave a footprint on your credit file to let other lenders know you have applied for a loan with Lending Works. Having too many recent credit searches registered against your name can affect your credit score and ability to receive credit in the future.
APR (Annual Percentage Rate) is a term used to tell you how much a loan will cost you. It includes all fees and interest that you will pay over the term of your loan. The APR is a helpful way to compare how much a personal loan will cost you compared to other lenders.
Yes, you can cancel your loan agreement anytime within the 14-day cooling-off period without charge. You’ll need to contact Lending Works and then repay the money paid into your account within 30 days of your cancellation request and you may be charged any interest due on the credit.
If you wish to cancel your loan agreement after 14 days, you can ask for a loan settlement figure from your Lending Works account anytime. Once you've repaid the outstanding balance in full, your loan will be settled. Your settlement figure will include any interest accrued since your last repayment, as well as whatever is left to pay on your arrangement fee.
Yes, if your loan's approved, you can change your monthly repayment date by following the steps set out in your Lending Works account or by calling the Lending Works customer service team on 0208 068 0087 .
Lending Works will adjust the first scheduled repayment on your new repayment date to account for any change in interest due as a result of shortening or extending the term of your loan. Lending Works will let you know about any changes to your scheduled repayments before processing your request.
Lending Works assesses all borrowers for affordability and creditworthiness, in addition to verifying identities and checking fraud databases. If they decide that the loan you have applied for stretches your finances too thinly or they find that your credit history does not meet the minimum standards, your loan will be declined.
In this case, it may not be possible to explain to you why your loan was declined. Instead, it’s recommended that you complete a personal credit search to make sure your credit history is as strong as possible.