Credit & loans
Borrowing money means trusting a company with your finances, so clear terms and fair treatment from application to repayment matter a great deal.
Credit & loans companies
22 companies
About Credit & loans
Credit and loans covers the products that let people borrow money or pay for things over time, including mortgages, personal and car loans, credit cards, debit cards and the comparison sites that help people look across the market. Lenders range from high street banks and building societies to specialist finance firms, online challengers and card issuers, and many sell directly to customers while others reach people through brokers, intermediaries and comparison platforms. Price, approval criteria and service vary widely across these providers, and the way a product is sold can differ as much as the product itself.
The market is shaped by the Financial Conduct Authority, which authorises and supervises firms that lend, arrange credit or run comparison services and sets the rules on how products must be explained and sold. The Financial Ombudsman Service handles unresolved complaints about credit providers, and the Prudential Regulation Authority oversees the stability of banks and building societies that lend for mortgages.
Industry bodies such as UK Finance represent banks and lenders on payments, cards and lending, while trade associations for mortgage brokers and consumer credit firms set standards for their members. The Credit Reference Agencies, principally Experian, Equifax and TransUnion, hold the credit files on which most lending decisions are based, which means the way a borrower has managed debt in the past shapes what they can obtain in the present.
Questions about Credit & loans
How do I choose a mortgage lender I can trust?
Check that the lender or broker is authorised by the Financial Conduct Authority and look up its entry on the FCA Register. Ask whether the firm offers advice or is a direct lender, because that affects what products you can see and who is responsible for the recommendation.
What should I compare when looking at loans?
Compare the representative APR rather than the headline interest rate, since the APR includes the interest and most compulsory fees over the term. Check the total amount payable, the monthly repayment, any early repayment charges and whether the rate is fixed or variable.
Do loan comparison sites have to be regulated?
Comparison sites that arrange or introduce credit must be authorised by the Financial Conduct Authority and appear on the FCA Register. Check the site's FCA reference number and confirm it matches the register before you enter personal details.
How does a credit check affect my score when I apply?
A hard search leaves a footprint on your credit file that lenders can see, while a soft search does not affect your score and is used by many comparison tools to show likely eligibility. Ask the provider which type of search it runs before you proceed with a full application.
What should I check before signing up for a credit card?
Read the key facts illustration, which sets out the APR, the credit limit, the interest on purchases and cash withdrawals, and any annual or foreign transaction fees. Confirm you can make the minimum repayment each month, because late payments carry charges and can damage your credit file.
Can I cancel a loan or credit agreement after I sign it?
Under the Consumer Credit Act 1974 and the Consumer Credit (EU Directive) Regulations 2010, most regulated borrowers can withdraw from a credit agreement within 14 days of it being made. A cooling-off right of this kind applies to distance and off-premises agreements, and you should check the cancellation notice in your paperwork for the exact deadline.
How do I cancel a credit card and what happens to the balance?
You can close a credit card by writing to the card provider and asking for the account to be closed, then cutting up the card. You must still repay any outstanding balance, and the provider must continue to apply interest and charges until the balance is cleared.
What are my rights if a lender treats me unfairly?
The Consumer Duty, introduced by the Financial Conduct Authority, requires firms to deliver good outcomes for retail customers and to avoid causing foreseeable harm. Under the Consumer Credit Act, a lender must also be fit and proper to hold a licence, and the Financial Ombudsman Service can review many complaints about how credit was sold or managed.
How do I make a complaint about a loan or card provider?
Write to the firm's complaints team, set out what went wrong and what outcome you want, and keep copies of everything you send. If the firm does not resolve the matter within eight weeks, or gives a final response you disagree with, you can refer it to the Financial Ombudsman Service, which is free for consumers.
Is my money protected if a credit or lending firm fails?
The Financial Services Compensation Scheme covers eligible claims against authorised firms that have gone out of business, with deposits protected up to £85,000 per person per institution. Mortgage and loan providers that are authorised by the Financial Conduct Authority may be covered for specific claims, and you can check eligibility on the FSCS website.
What should I look for in reviews of mortgage, loan and card companies?
Look for reviews that describe the specific product, the stage of the process and whether the reviewer was dealing with advice, a broker or a direct lender. Compare the complaints with the firm's response and check whether the reviewer mentions the outcome, such as an approved application, a refund or an Ombudsman decision.
How can I tell if a credit company's reviews are genuine?
Genuine reviews give details of dates, products and the sequence of events, and they include both positive and negative experiences. Be cautious of a sudden cluster of very similar reviews posted close together, or reviews that avoid naming the product or describing the process, and check whether the firm responds to criticism in a consistent way.