Frequently Asked Questions

The Non-Guarantor loan rewards you with lower interest rates when you make your payments on time. It's designed to be clear and straightforward, without needing someone to guarantee your loan.

Your loan starts with an interest rate of 39.9% APR. If you make six consecutive monthly payments on time, your rate drops to 37.2% APR. Make another six consecutive monthly payments on time, and it goes down again to 34.5% APR – this is the final rate reduction. The number of rate reductions will vary depending on the term of your loan.

The rate will be reduced when you meet the milestone of making six consecutive monthly payments in full and on time, without any defaults. How often this happens depends on the term of your loan for example, one reduction in 12 months and two in 24 months. This reduction happens as long as you keep up with on-time payments. We won’t increase the rate if you miss a payment.

Yes, we’ll recalculate your remaining monthly repayments based on the new, reduced rate after you qualify for a rate reduction at either milestone.

There are no fees for applying or paying off your loan early. However, there is a late fee if you miss a payment, and we'll specify this amount in your loan agreement.

The rate reduction will be applied automatically but we’ll write to you to let you know by email.

If you miss a payment, pay less than the full amount due, or pay four or more working days late, it resets your progress towards the next Milestone. You will then need to start a new sequence of six consecutive monthly repayments in full and on time to qualify for a rate reduction.

We understand that being declined for a loan can be disappointing and frustrating. There are a few common reasons this might happen. It could be due to your credit score not meeting our requirements, which might reflect past payment issues or a high level of existing debt. Sometimes, discrepancies or inaccuracies in your application can also be a factor, or it could be that your income isn’t quite enough for the amount you requested. We also look at your overall financial stability to ensure you can comfortably repay the loan.

If your application was declined, we recommend checking your credit report for accuracy and exploring ways to improve your credit score or financial situation. To assist you further, we suggest reaching out to organisations like Stepchange , Citizens Advice or Moneyhelper for free, confidential advice on managing debt and improving your financial health. Additionally, credit reference agencies like Experian, Equifax, and TransUnion can provide detailed reports and guidance on how to boost your credit score. We're here to help, so feel free to reach out if you have any questions! info@1plus1loans.co.uk

Taking a payment holiday or entering a payment plan pauses your progress toward the next milestone and interest rate reduction. If you miss a payment, pay less than the full amount due, or pay four or more working days late, it resets your progress towards the next milestone. You'll need to start over with six consecutive on-time payments to qualify for a rate decrease.

This product is for you if you're a UK resident between 18 and 70 years old. It's suitable whether you're employed or supplementing your income with benefits and meet our minimum net income requirement of £1,500 per month. We’ll work with you to make sure that you can afford to make the repayments over the term of the loan.

We’ve made sure that all details about your loan are clear from the start. You'll receive information on how and when your rates might decrease, and we'll keep you updated with straightforward communications to ensure you have all the support you need. If you need any help, contact us ask@1plus1loans.co.uk, our team will be happy to answer any questions and provide support.

We won't increase your interest rate if you're going through tough times. Instead, we offer flexible repayment options and special support if you find yourself in a difficult financial situation.

Applying is easy, just visit our website APPLY or contact our customer service team on 0330 1200 313 We've made sure the process is simple and accessible, no matter your level of financial experience and we will let you know if you need a guarantor or not.

Choosing our product means you'll benefit from: Lower interest rates for consistent on-time payments. We won’t increase your rates if you miss a payment. A focus on improving your financial well-being and credit score. Clear and straightforward communication throughout your loan term.

A guarantor loan is a type of loan where a friend or family member agrees to make the payments if you can't. This person is called a guarantor. Here's how it works:

1. You apply for the loan: You fill out an application just like with any other loan.
2. Your Guarantor co-signs: Your guarantor, who should have a good credit history and stable finances, also signs the loan agreement.
3. You receive the money: Once approved, the loan amount is deposited into your account.
4. You make the payments: You make regular monthly payments to repay the loan.

If you miss a payment or can't pay, your guarantor is responsible for covering the missed payments. This makes it easier for people with no credit history or a poor credit score to get approved for a loan, as the lender has extra security knowing someone else will pay if you can’t. This type of loan can also help you build or improve your credit score if you make your payments on time.

A Guarantor is someone, usually a family member or friend, who agrees to help you get a loan by promising to repay it if you can't. They sign the loan agreement with you and provide extra security for the lender. This helps people with no credit history or poor credit scores get approved for loans. If you miss any payments, the guarantor is responsible for making them.

A guarantor is usually a trusted person like a family member or friend who has a good credit history and stable finances. They need to be over 21 years old, have a strong credit score, and be able to afford the loan repayments if you can't make them. Common guarantors include parents, grandparents, brothers, sisters, extended family members, and friends.

It's important to explain to your guarantor why you need the money and confirm that you can afford the repayments. Make sure they understand their financial obligations if you fail to make a repayment.

To be a guarantor, here’s what you need:

1. Be at least 18 years old, but no older than 70 when the loan finishes. If you’re not a homeowner, you must be at least 21.
2. Live in the UK (excluding the Isle of Man and Channel Islands).
3. Be a homeowner or a tenant with an excellent credit history (good enough to qualify for a mortgage).
4. Have a UK bank account and a valid UK debit card.
5. Have a good, clean credit history.
6. Not be under a current Individual Voluntary Arrangement (IVA) or bankruptcy order.
7. Make sure you can afford to make the repayments if the borrower can't. This helps make sure everything runs smoothly and that you're fully prepared to step in if needed

Being a Guarantor means taking on additional financial responsibilities. If the person you’re helping misses a payment or can’t repay the loan, you’ll need to step in and make those payments. This could affect your credit score and overall financial situation. If you can’t make the payments either, we may take legal action against you, which might lead to serious consequences like court judgments or even bankruptcy. It’s really important to understand these risks and make sure you can afford to help before you agree to be a Guarantor.

Becoming a Guarantor can be a way to help someone you care about access the funds they need, especially if they have limited or poor credit history. By acting as a Guarantor, you can assist them in getting a loan for important expenses, which they might not qualify for on their own. However, it’s essential to understand the responsibilities and risks involved before you commit.

You have the right to cancel the Agreement within 14 days from the date we sign it. Any money lent to you must be repaid immediately upon cancellation. If you wish to cancel, please contact us as soon as possible at info@1plus1loans.co.uk.

You might need a guarantor if you have bad credit or no credit history at all. If that's the case, we will collaborate with your chosen guarantor to assess their financial situation.

Your Guarantor may have been rejected for various reasons. Before you submit your Guarantor’s information, please make sure they meet the following requirements:

• Must be a UK resident.
• Must have a good credit rating.
• Must be under 80 years old when the loan is fully repaid.
• Understands and agrees to guarantee the loan for you.

Submitting a Guarantor with a poor credit rating will result in rejection and will delay your application, as you will need to find another guarantor.

Guarantors who are tenants must have at least 3 years of electoral history, a good income, and a credit history with no defaults and all payments made on time.

In the unlikely event that you submit three guarantors who do not meet our criteria, we will cancel your application.

No, we do not charge you a fee to apply.

You will only be charged a broker fee if your loan was brokered with us by a third party. So if you came through another website and they passed your details to us then a brokerage fee may be applied. You can see the amount of broker fee applied in your contract before you sign.

We’re sorry, but we cannot approve your application if you are currently in an Individual Voluntary Arrangement (IVA)

We’re sorry, but we cannot offer loans to individuals who are currently bankrupt.

You can repay your loan in full at any time without any additional charges. Simply clear the remaining balance on your account. To do so, please call us at 0330 1200 313*, and we will help you settle your account. You can make the payment by card or bank transfer.

You can change your payment date up to three times within a 12-month period. To do so, please provide 14 days' notice. Just call us at 0330 1200 313, and we'll help you with the change.

Unfortunately, we no longer accept partners or spouses as guarantors for customers.

Absolutely! They can be your guarantor. As long as they have a good credit rating, they will be approved without any issues.

No, it's not a requirement, but being on the Electoral Role does help speed up the process. If you're not on the Electoral Role, we'll need to verify your identity in other ways, which might make the process take a bit longer. However, your guarantor will need to be on the Electoral Role.

If you're not happy with something, we want to make it right. Give us a call or drop us a line and let us know what's wrong. For more information, please visit our Making a complaint page, We're here to help!

Please log in to your account. At the top, you'll see a message prompting you to add a new card. Simply follow the on-screen instructions, and your new card will be added seamlessly.

If the customer misses a monthly repayment, we'll notify both the borrower and the guarantor via text and email alerts. This keeps both parties informed as soon as we become aware of the situation. Our first step will be to contact the customer to understand the issue. If we can't reach the customer, we'll attempt to collect the payment from their debit card. If this fails we'll then use the Continuous Payment Authority (CPA) to clear the arrears with the guarantors debit card. If both attempts are unsuccessful, a late payment fee may be added, and a letter will be sent to the customer, with a copy sent to the guarantor.

Once you are informed of the missed payment, we recommend that you contact the customer to understand the situation and reach out to our team as soon as possible. If you know the customer is experiencing difficulties, you can log in and make a payment online to clear the arrears before a late fee is added or the loan goes into default.

If the loan goes into default, both you and the customer will be notified, allowing 14 days to clear the arrears. On the 15th day after sending the default notice, we will use the CPA to clear the arrears with your debit card or enforce the guarantee provided.

After receiving the payment by card, we will notify both you and the customer via email and text message.

Please contact our team as soon as possible. Delayed or missed repayments can negatively impact your ability to secure credit, such as mobile phone or TV contracts. For assistance, you may reach out to the debt advisory charities listed below. Payments can be made via Direct Debit, Debit Card, BACS Transfer, or Standing Order.

Debt Advisory Charities:

If you were charged a fee by a third-party company, it was likely for their service of finding lenders on your behalf. Please contact that company directly, as we do not charge any application fees and cannot deduct fees from the loan you take with us.

Our emails may be marked as SPAM or JUNK. By default, these folders disable links to protect your computer from malicious software. To ensure our emails function correctly, please mark them as "Not SPAM" or "Not JUNK" and move them to your inbox. Additionally, mark our domain as a safe sender to receive important future emails.

Duplicate payments made via debit card will be refunded within a maximum of five working days to the card or account from which the funds originated. If a refund request is made after the payment due date, a £5 administration fee will be retained. Any unallocated funds on your account can be refunded upon request or will be transferred to your account at the end of the loan term

Unfortunately, we do not currently offer loans to residents of the Channel Islands. We apologise for any inconvenience.

No, we do not sell or provide Payment Protection Insurance (PPI) with our products. You may be able to obtain PPI from a specialist company, but not from us.

Step 1. Follow the link in your email to reset the password on your account.

Step 2. Log in with your username and your new password.

Step 3. Enter your card details and press the add card button. This is a safe and secure method.

Once a loan has been approved for payout, we will transfer the funds to the guarantors bank account for them to pass to the customer.

The information we collect about you is used to assess your ability to act as a guarantor, and, in the event of default by the customer, to make collections from you. With your consent, we may also use this information to send you marketing materials. We may share your information in certain limited circumstances.

In relation to your obligations under this Guarantee and Indemnity Agreement

1. We may disclose a copy of this Guarantee and Indemnity Agreement to the Debtor if requested at any time or in accordance with our obligations under the Consumer Credit Act 1974 or otherwise in accordance with our responsible lending policies.

2. We may also disclose other information relating to this Guarantee and Indemnity Agreement to the Debtor. This includes, but is not limited to, disclosing statements relating to any repayments you have or have not made on the Debtor's behalf, or any correspondence we have had with you in relation to your obligations under this Guarantee and Indemnity Agreement. By entering this Guarantee and Indemnity Agreement, you agree that we may do so.

3. In considering whether to enter into this Guarantee and Indemnity Agreement we may search your record at credit reference agencies. By entering this Guarantee and Indemnity Agreement, you agree that we may do so. They may add details of our search and your request to be Guarantor of the Loan Agreement to their records about you. This will be seen by other organisations that make searches. Our search of records at credit reference agencies may be linked to your spouse/partner or other persons with whom you are linked financially. For the purposes of any application or this Guarantee and Indemnity Agreement you may be treated as financially linked and you will be assessed with reference to "associated records".

4. We may also add to your records with the credit reference agencies details of your Guarantee and Indemnity Agreement(s) with us, if you are required to make any payments the payments you make, any default or failure to keepto its terms. These records will be shared with other organisations and may be used and searched by us, and them, in order to:

   1. consider applications for credit in the capacity as a borrower, to be a guarantor or indemnifier in the future, and other credit related services such as insurance for you and any associated person;

   2. prevent or detect money laundering and fraud;

   3. trace debtors or recover debts; and

   4. manage your accounts.

5. It is important that you provide us with accurate information. We may check your details with fraud prevention agencies and if you provide false or inaccurate information or we suspect fraud, this information may be recorded. Fraud prevention agency records will be shared with other organisations to helpmake decisions on your creditworthiness, on motor, household, life and other insurance proposals, or claims for you and members of your household.

Sharing your information

6. The information we hold on you may be disclosed by us when legally required to do so at the request of government authorities conducting an investigation; and we use it to verify and enforce compliance with the policies governing our website and applicable laws or to protect against misuse or unauthorised use of our website. We may share your information with our collections partners including tracing agents and debt collectors.

Marketing

7. We, may use your information to inform you, by post, fax, telephone or other electronic means, about other products and services (including those of others) which we believe may be of interest to you unless you tell us not to. If you opt-in to receive third party marketing materials at the time of applying we may also pass your details to them.

8. You may opt-out of receiving marketing communications from us at any time by telephoning us on 0330 1200 313, by sending us an email to opt-out@1plus1loans.co.uk or by writing to us at the address provided above. You acknowledge that we may require a reasonable amount of time to process and action your request.

9. If you opt-out of our use of your data for marketing purposes, we will honour such choice once we have had a reasonable opportunity to process your request. We reserve the right to take reasonable steps to authenticate your identity with respect to any such request or other enquiry.

Miscellaneous information

10. Please write to us at our address stated above, or telephone us on 0330 1200 313 if you require details of the credit reference agencies or any other agencies from whom we obtain and to whom we pass on information about you. Under the Data Protection Act 1998, you have the right to receive a copy of the information we hold about you if you apply to us in writing. A small statutory fee will be payable.

11. Your data remains on file for six years after our files with your information are closed, whether settled by you or the Debtor or in default.

12. This is a condensed version of how we deal with your information. Further and fuller information is provided in our Privacy Policy, which is available on request or can be found on our website (www.1plus1loans.co.uk/privacy-policy) or by writing to us at our address stated above or by emailing us at info@1plus1loans.co.uk

How we are regulated

We are authorised and regulated by the Financial Conduct Authority, who are the supervisory authority under the Financial Services and Markets Act 2000 for credit businesses, with Firm Reference Number 717767. For more information please contact us.

If we have requested you to complete our Open Banking request, this is because we require more information to assess your affordability. We don't always require this but it is safe and secure and will enable us to pay out your loan quicker.