Why might I choose a Tesco loan?
Tesco have made repayments simple, as monthly payments are fixed so you know how much you need to budget for. And it’s vital you stick to them because every time you’re late with a payment you’ll be hit with a £12 charge.
You’ll also get payment breaks of up to two months on your Tesco loan (if you meet the eligibility criteria) but you can only take this break at the start of the loan. This means you’ll start paying it back three months after you take out the loan. You’ll be charged interest during the payment break so the amount of interest you pay will be more overall.
As you’d expect from a retail giant, there’s also a Tesco banking app which will let you stay on top of your money. As for actually getting your loan, applying online will give you the quickest turnaround time – but the application would need to be straightforward and have no need for supporting documents. If you apply any other way, it’ll take about five days for the paperwork to be sent to you which you’d then have to check and return (along with any additional evidence required) and only after that will a final decision be made. You can speed things up by using a next day courier service – there’s a fee for this (£50) which will be added onto your first repayment so you don’t pay interest on it.
Is it for me?
If you already shop a lot with Tesco, have a Clubcard and bank with them, then it might make sense to take out a Tesco loan rather than a loan from somewhere else – but other loans are available so it’s important to do your homework before making a commitment. So before you apply online or pick up the phone, why not just take a few moments to use our loan comparison service.
All Tesco loan details are based on information provided on www.tescoback.com on 3 November 2016.