What Is A Direct Lender FAQ
What is a direct lender?
A direct lender is a financial institution that offers loans to customers without the need for a broker or other third party. You apply directly to the lender, and they offer the money directly to you (assuming you are approved).
Getting a loan from a direct lender means you only deal with them. Your details won’t be passed onto or shared with third parties without your knowledge.
- A direct lender will deal with you throughout the loan application and repayment period
- Your details won’t be passed onto or shared with third parties without your knowledge and approval
- A broker is different to a direct lender – they will find a loan for you for a fee
- A broker may need to share your financial information with third parties in order to find you a loan
Not sure if you’re dealing with a direct lender? Check their website. That will state whether they are a direct lender or a broker.
For a typical loan of £30,000.00 over 120 months with a variable interest rate of 19.56% per annum, your monthly repayments would be £598.34.
Including a Product Fee of £2,400.00 (8% of the loan amount) and a Lending Fee of £807.00, the total amount repayable is £71,800.20.
Annual Interest Rates ranging from 11.88% to 29.38% (variable). Maximum 50.00% APRC. The loan must be paid back by your 70th birthday. Read more.
Think carefully before securing debts against your home may be repossessed if you do not keep up repayments on your mortgage or any other loan secured against it. If you are thinking of consolidating existing borrowing, you should be aware that you may be extending the terms of the debt and increasing the total amount you repay.
