Some lenders may well have salary requirements. For example, the Post Office and the AA both state that you must have a minimum annual income of £12,000 to apply for a personal loan. But there is no universal minimum. This is because lenders are interested in a number of other factors such as:
Your credit history
Your employment status
Your current debt
Your expenses
Your assets
Any other financial commitments you might have
If you discover that you do not meet the lender’s minimum requirements, then there are a number of ways that you can improve your chances of being approved for a loan:
Use a guarantor – guarantor loans are less risk to lenders as they have a guarantee that the loan will be paid back, even if you are unable to.
Apply for a lower amount – borrowing less mean less risk to the lender and lower repayments for you.
Use your bank – your current bank is more likely to give you a loan than another lender, as long as you have a good banking history.
If you compare loans with Money Expert, we'll run soft eligibility check that won't show up on your credit score.
