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Bad Credit Debt Consolidation Direct Lender

118 118 money helpers illustration
  • Borrow £1,000 to £8,000
  • Repay over 12 to 60 months
  • Check eligibility with no impact on your credit score
Check my eligibility now This won't affect your credit score

Representative example: Amount of credit £2,000 for 24 months. Interest rate: 41.2% pa (fixed). 24 scheduled monthly payments of £123.64. Total amount payable: £2,967.43. Representative 49.9% APR.

Looking for a debt consolidation loan with bad credit from a direct lender?

If you have bad credit and want to simplify existing borrowing, a debt consolidation loan could help you bring eligible debts into one monthly repayment. 118 118 Money is a direct lender, so you deal with the lender directly rather than going through a broker-led application journey.

If accepted, you could borrow from £1,000 to £8,000 and repay over 12 to 60 months. You can also check your eligibility before you apply, so you can see whether you are likely to be accepted without affecting your credit score.

Check whether a debt consolidation loan could be right for you
Use the eligibility checker to see whether you are likely to be accepted before you apply.
Check my eligibility This won't affect your credit score
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Why this kind of loan can appeal when your credit is not perfect

People usually look for this option when they want fewer payment dates, clearer monthly budgeting and a lender that understands past credit problems are only part of the picture.

One monthly repayment. Combining eligible borrowing into one loan can make it easier to keep track of what leaves your account each month.

A direct lender journey. If you prefer dealing directly with a lender rather than a broker, 118 118 Money offers an eligibility check before you apply.

Designed for less-than-perfect credit. 118 118 Money considers more than a headline score and looks at affordability as part of the decision.

Know your likely chances first. You can check eligibility with no impact on your credit score before deciding whether to move forward.

Compare the full cost carefully. A lower monthly payment can still mean higher total repayment if the term is longer or the rate is higher than your current borrowing.

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3 simple steps to check for a debt consolidation loan

  • Check your eligibility with no impact to your credit score
  • Review your offer, set up your Direct Debit and sign
  • Receive funds in 15 minutes*
Check my eligibility This won't affect your credit score. *This can vary from 15 minutes to 2 hours depending on your bank.
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What to consider before applying

Debt consolidation means replacing several existing balances with one new loan. That can make repayment feel easier to manage, especially if you currently have borrowing spread across credit cards, overdrafts, store cards or older loans.

Before you apply, work out exactly how much you need to clear the borrowing you want to consolidate. Then compare the total amount repayable on the new loan with the total cost of your current debts. A consolidation loan does not reduce what you owe by itself, and it can cost more overall if the repayment period is longer or the rate is higher.

If you are accepted, it is important to use the funds to clear the balances you intended to consolidate. Running up fresh balances afterwards can leave you with more debt, not less. If your finances feel difficult to manage, free guidance is available through MoneyHelper before you decide on your next step.

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Debt Consolidation Loan FAQs

It can be possible. 118 118 Money is a direct lender and looks at more than a single score, carrying out credit and affordability checks to understand whether the repayments are right for you.

No. You can check your eligibility before you apply and it will not affect your credit score.

If accepted, you could borrow from £1,000 to £8,000 and repay over 12 to 60 months, depending on your circumstances.

Yes. If the new loan runs for longer than your current borrowing, or the rate is higher, the total amount repaid could be more overall even if the monthly payment is lower.

Before taking on more borrowing, it can help to review your budget and get free guidance from MoneyHelper so you can compare your options carefully.

Check whether you are likely to be accepted before you apply

Use the eligibility checker to explore a debt consolidation loan from a direct lender without affecting your credit score.

Check my eligibility
118 118 money helpers illustration
118 118 money helpers illustration

Credit is subject to status, affordability and credit checks. Credit is only available to UK residents aged 18 and over. Terms and conditions apply.