Nationwide offering £50,000 boost in key change for customers

Nationwide has significantly enhanced a key benefit for its customers, providing a substantial boost amidst the Cost of Living crisis. The UK's largest building society, Nationwide, which competes with major banks such as Lloyds, HSBC UK, Santander, and NatWest, has now doubled the maximum personal loan amount it offers to borrowers, raising the limit to £50,000.

Previously, the society offered a maximum of £25,000 to eligible customers. This increased borrowing limit is accessible to Nationwide current account holders who meet the necessary affordability criteria, as confirmed by the building society on Friday (May 17).

Customers can spread their loan repayments over a period ranging from one to seven years, and there are no fees for early repayment of the loan. Andrew Hagger, a personal finance specialist at Money Comms, commented that while Nationwide's decision places them in a relatively small group, it reflects current financial trends.

Get the latest news straight to your phone by joining us on WhatsApp

Mr Hagger said: "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 policy, Darren Bailey, Nationwide's head of personal loans, said: "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," reports Birmingham Live.

Mr Bailey added: "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."