Yahoo News Nationwide doubles personal loan limit to £50,000
Nationwide has significantly "doubled" a crucial benefit for its customers, providing a substantial Cost of Living boost.
The UK's largest building society, Nationwide, is stepping up competition against major banks such as Lloyds, HSBC UK, Santander, NatWest, and others by increasing the maximum personal loan it offers to borrowers to £50,000. Previously, the society capped loans at £25,000 for eligible customers.
Nationwide current account holders who meet the affordability criteria can now access the higher loan amount, as confirmed by the building society on Friday (May 17). Customers can take out these loans over periods ranging from one to seven years, with the added advantage that there are no fees for early repayment.
Commenting on the development, Andrew Hagger, a personal finance specialist at Money Comms, noted that Nationwide remains among the few offering such high unsecured loans.
Hagger elaborated: "I think it's a sign of the times that you can now apply for a £50,000 unsecured loan it may be more expensive than a mortgage further advance rate wise, but way quicker to arrange plus no fees to worry about and no early repayment charge either."
Following the introduction of the new rule yesterday, Darren Bailey, Nationwide's head of personal loans, remarked: "Whether you're looking to fund home improvements, a new car or consolidate existing debts, we'll be able to meet more of our customers' borrowing needs."
Mr Bailey stated: "As a responsible lender it is important we make sure customers don't overstretch themselves. Each loan application is individually assessed to make sure people can afford the repayments alongside their existing and any future outgoings. Those applying for a personal loan can get a soft quote which advises them if they are likely to be accepted and at what APR without impacting their credit file, allowing them to make an informed borrowing decision."
