Nationwide cuts personal loan rate

Nationwide Building Society has cut its personal loan rate to 7.6% APR typical, making it the UK's lowest personal loan rate. This rate is for loans of up to five years between £7,500 and £14,999 for its main FlexAccount customers.  Also tomorrow, Wednesday 8 September, Nationwide will be launching a personal loan rate of 7.7% APR typical for people who do not have a Nationwide current account and who apply via moneysupermarket.com.  The moneysupermarket.com exclusive offer applies to loans between £7,000 and £14,999 for a term of up to five years.

The new rate of 7.6% APR typical for FlexAccount holders is the UK's lowest personal loan rate and the same low rate applies whether the loan is taken out through a branch, over the telephone or via the internet.

Graham Pilkington, Nationwide's divisional director for banking, said:  "We are delighted to offer the lowest standard personal loan rate in the UK to our current account customers while, through moneysupermarket.com, we are also offering one of the best rates in the market to other people.  At a time of year when we're likely to see an increase in personal loan applications, these low rates will be attractive to people looking to fund the acquisition of a new car or bring forward major purchases before VAT rises to 20% in January 2010.  Having a personal loan is an ideal way to fund that new car as it can help reduce the monthly outgoings into one manageable debt with fixed monthly repayments."

Soft searches - no credit footprint when customers ask for a quote

Unlike some providers, Nationwide offers a ‘soft quote' facility that can provide customers with a realistic idea of the actual rate they would pay without leaving a mark on their credit history.  This means that customers shopping around for the best deal are safe in the knowledge that they can do so with Nationwide without affecting their ability to get credit elsewhere, such as a credit card or mortgage.