Comparison Pages:

Compare Guarantor Loans: Bad Credit Direct Lenders

Compare Guarantor Loans
About: History

The history of suretyship can be traced back as far as 2750 BC. Surety simply means the guarantee of a debt of one party by another. James Benamor, who was likely inspired by the usage of guarantors for mortgages, took the concept and ran with it in the world of subprime lending. This was through FLM Loans that started up in 2005. FLM would in time take on the new identity of Amigo in 2012. They have been the dominant sector force over the years, but there hasn’t been a considerable level of competition, with just around a dozen or so competing brands. This can be tied to Amigo’s dominance and the limited level of consumer demand.

It did look for some time that Provident’s GLO project would become a major contender, but they struggled to compete and would soon close. Provident Financial appeared well suited to make an impact since they have dominated doorstep lending, they have been around since 1880 and have vast resources with the group turning over £1.2 billion. Perhaps dethroning Amigo’s £200m+ empire is too big of a challenge. What has proved a more successful approach for smaller firms has been to offer both guarantor plus unsecured loans enabling more potential business. Both Bamboo and George Banco have thrived with this approach. George Banco is of note in now being part of Non-Standard Finance who also own TrustTwo.

About: Niche

People seeking large personal loans with bad credit either struggle to get accepted or are only considered with sky high interest rates. This is understandable since sums in the thousands are often being risked. A guarantor loan offers good middle ground where acceptance is high regardless of CCJs, defaults etc so long as the application can be backed by someone with a good borrowing history. Due to this backing the high interest rate is lowered to a more reasonable rate typically ranging between 40% and 50% APR. During the contract should there be any payment issues then the lender can legally seek repayment from the backer who becomes fully responsible to the debt.

Finding guarantors is usually the key obstacle that perhaps limits the potential sector growth. Competing lenders have at least made it easier to find someone in allowing tenants to back contracts. Some years back it was only homeowners that were accepted that meant that parents usually had to get involved. Efficiency itself has improved greatly. No longer do you have to wait on forms via the post. Payouts are today possible on the same day thanks to e-sign developments. This assumes that the backer performs well on a credit search and is quickly contactable by phone. Sizeable loan sums of £10,000 are now available and the industry norm 5 year max term helps to spread out those repayments.

Compare Guarantor Loans: Bad Credit Direct Lenders (Alexa Ranked)

UK Ranked

Brand + Alexa Rank
1) Amigo Loans | #14,202
/£1000 Price (12m)
£236.72
Borrow
£500 to £10,000
Choices
12m to 60m
Opening Hours
Mon/Thu (9am-7pm), Fri (9am-6pm), Sat (9am-1pm)
Required Age
18 to 75 (H&T)
Brand + Alexa Rank
2) George Banco | #52,123
/£1000 Price (12m)
£236.12
Borrow
£1000 to £7500
Choices
12m to 60m
Opening Hours
Mon/Thu (9am-7pm), Fri (9am-4.30pm), Sat (9am-3pm)
Required Age & Notes
21 to 75 (H&T). Existing times differ
Brand + Alexa Rank
3) Bamboo | #53,222
/£1000 Price (12m)
£235.72
Borrow
£1000 to £8000
Choices
12m to 60m
Opening Hours
Mon/Fri (8am-8pm), Sat (9am-2pm)
Required Age
21 to 72 (H&T)
Brand + Alexa Rank
4) UK Credit | #82,278
/£1000 Price (12m)
£228.32 (H) & £317.24 (T)
Borrow
£1000 to £6000 (T) or £10k (H)
Choices
12m to 60m
Opening Hours
Mon/Fri (8am-8pm), Sat (9am-1pm)
Required Age
21 to 70 (H&T)

Globally Ranked (Only)

Brand + Alexa Rank
5) Buddy Loans | 1.2m
/£1000 Price (12m)
£237.36
Borrow
£1000 to £10,000
Choices
12m to 60m
Opening Hours
Mon/Thu (9am-7pm), Fri (9am-4.30pm), Sat (10am-2pm)
Required Age
18 to 80 (H&T)
Brand + Alexa Rank
6) TrustTwo | 1.3m
/£1000 Price (12m)
£235.16 (H) & £236.96 (T)
Borrow
£500 to £10,000
Choices
12m to 60m
Opening Hours
Mon (9am-7pm), Tue/Fri (9am-5pm), Sat (9am-1pm)
Required Age
21 to 75 (H&T)
Brand + Alexa Rank
7) 1Plus1 Loans | 1.8m
/£1000 Price (12m)
£233
Borrow
£500 to £10,000
Choices
12m to 60m
Opening Hours
Mon/Fri (9am-6pm)
Required Age
18 to 75 (H) & 21 to 75 (T)
Brand + Alexa Rank
8A) GuarantorMyLoan Cashback (Peer-2-Peer) | 2.7m
/£1000 Price (12m)
£129.81
Borrow
£1000 to £10,000
Choices
12m to 60m
Opening Hours
Mon/Fri (9am-6pm), Sat (9am-1pm)
Notes
Assumes that cashback is paid
Brand + Alexa Rank
8B) GuarantorMyLoan (Peer-2-Peer) | 2.7m
/£1000 Price (12m)
£232.52
Borrow
£1000 to £10,000
Choices
12m to 60m
Opening Hours
Mon/Fri (9am-6pm), Sat (9am-1pm)
Required Age
21 to 75 (H)
Brand + Alexa Rank
9) TFS Loans | 2.7m
/£1000 Price (12m)
£317.36
Borrow (+Homeowners)
£1000 to £10,000 (£15,000)
Choices
12m to 60m
Opening Hours
Mon/Thu (9am-7pm), Fri (9am-5pm)
Required Age
18 to 78 (H)
Brand + Alexa Rank
10) UK Trust Loans | 14.3m
/£1000 Price (12m)
£236.72
Borrow
£500 to £7500
Choices
12m to 60m
Opening Hours
Not disclosed
Required Age
18 to 75 (H&T)
Brand + Alexa Rank
11) JL Money | 18.3m
/£1000 Price (12m)
£1620.16
Borrow
£550 to £10,000
Choices
3m to 24m
Opening Hours
Mon/Fri (9.30am-5.30pm)
Required Age & Notes
18+ (H&T). Phone applications only

Unranked (Alphabetically Sorted)

Brand + Alexa Rank
12-13) Guarantor Loans 4 Me
/£1000 Price (12m)
£237.36
Borrow
£1000 to £10,000
Choices
12m to 60m
Opening Hours
Mon/Thu (9am-7pm), Fri (9am-4.30pm), Sat (10am-2pm)
Required Age
18 to 80 (H&T)
Brand + Alexa Rank
12-13A) LendFair Advantage 29
/£1000 Price (12m)
£148.88
Borrow
£1000 to £10,000
Choices
12m to 60m
Opening Hours
Mon/Fri (9am-5pm)
Required Age & Notes
25 to 73 (H). Required age (21+) & good score
Brand + Alexa Rank
12-13B) LendFair Standard 47
/£1000 Price (12m)
£228.68
Borrow
£500 to £5000
Choices
6m to 60m
Opening Hours
Mon/Fri (9am-5pm)
Required Age
20 to 75 (H&T)
END OF LISTINGS

Notes…

Alexa.com: Comparison listings are sorted by traffic rankings. Groupings: 1) UK ranks, 2) Global ranks (no UK) and 3) Unranked (sorted alphabetically).

Backings: In the note areas, the required age of guarantors is shown. In most cases, H&T is shown to abbreviate for homeowners and tenants.

Closures: Consollo, GLO, Hero Loans, Masa Loans, Suco & The Quick Cash Club. More recent: Juo Loans.

Examples: £1000 costs have been sampled over a year. Lenders usually allow £1k to be spread up to 3 years max.

Cheapest Guarantor Loan Prices 2019 (12 Months /£1000)

Best Prime Deal

1) Lendfair (Advantage 29): £148.88 (Homeowners)

Subprime: Backed by Homeowners

1) GuarantorMyLoan (+Cashback): £129.81

2) UK Credit: £228.32

3) LendFair (Standard 47): £228.68

4) GuarantorMyLoan: £232.52

5) 1Plus1 Loans: £233

Subprime: Backed by Tenants

1) LendFair (Standard 47): £228.68

2) 1Plus1 Loans: £233

3) Bamboo £235.72

4) George Banco £236.12

5) Amigo Loans/UK Trust Loans £236.72

Top Reviews 2019

Feefo.com (12 Month Data)

1) 1Plus1 Loans: 96% (100+)

2) TFS Loans: 92% (130+)

3) TrustTwo: 90% (440+)

Reviews.co.uk

No listings

Trustpilot.com (All-Time Data)

1) Bamboo: 97% (9950+)

2) GuarantorMyLoan: 96% (190+)

3) George Banco: 95% (5260+)

Recommended

GuarantorMyLoan Loans

Homeowner Backing: GuarantorMyLoan

If a homeowner is standing in then GuarantorMyLoan (peer-to-peer) would be our top pick. This is based on their excellent cashback deal. For this saving, once 12 month’s of payments have been made on time you can claim for that final month worth as cashback. For a simple £1000 12 month loan, this means that you’d only pay £129.81. The standard price would be £232.52 (£1232.52 balance) that creates a final returned repayment of £102.71. Whilst this brand isn’t that recognisable, it is hard to argue in paying £129.81 over the industry norm of £235. Bamboo and George Banco each deserve praise for their excellent reviews and sector growth. Each also offers no guarantor loans to those that qualify.

Amigo Loans

Tenant Backing: Amigo Loans

If a tenant is supporting your application then Amigo would be our top pick of the bunch. The market leader has an excellent track record, valued experience and they’re fast – paying out within 24 hours. Tenants aged 18+ can stand in and there are no late fees. More importantly, they report back on your borrowing to all 3 credit reference agencies that will help to rebuild your score. Outside of Amigo, the products circulating are very similar for tenants especially on pricing and so this is why the more established brand makes sense. Non-Standard Finance is certainly their nearest competitor. They own both George Banco and TrustTwo, as well as Everyday Loans (personal).

Last Update: May 1st, 2019

Top 10 Trending Brands