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Debt Consolidation Loans for Low Credit

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  • Borrow £1,000 to £8,000
  • Repay over 12 to 60 months
  • Check eligibility with no impact on your credit score
Check my eligibility nowThis 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.

Could a debt consolidation loan help if your credit is low?

It may be possible. If your credit is low and you are managing several balances, a debt consolidation loan could help you bring existing borrowing into one monthly repayment that is easier to follow. 118 118 Money is a direct lender and looks beyond a single score, carrying out credit and affordability checks to understand whether the repayments are right for you.

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 applying, 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 eligibilityThis won't affect your credit score
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Why people look for debt consolidation loans when credit is low

The aim is usually simple: make repayments easier to manage while giving yourself a clearer view of what you owe each month.

One date to remember. Combining several balances into one loan can make monthly budgeting simpler when you are trying to stay on top of payments.

A clearer repayment plan. A fixed term and fixed monthly repayment can make it easier to see what you owe and when the borrowing is scheduled to end.

Check before you apply. You can use the eligibility checker first to see whether you are likely to be accepted without affecting your credit score.

Built for less-than-perfect credit. 118 118 Money is a direct lender for people whose credit profile may not match the criteria used by mainstream lenders.

Know the full cost. Debt consolidation can reduce stress, but a longer term or a higher rate could mean paying more overall 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 eligibilityThis 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

A debt consolidation loan is designed to replace several existing debts with one new loan. That can make monthly budgeting feel more manageable, especially if you currently have balances spread across credit cards, overdrafts, store cards or other borrowing.

Before applying, compare the total cost of your current debts with the total cost of the new loan. A consolidation loan can make payments simpler, but if the new borrowing lasts longer or costs more than the debts you clear, you could repay more overall.

It is also important to use the funds to clear the debts you planned to consolidate. If old balances stay open and new borrowing builds up on top, your situation can become harder to control. If you are already struggling, free and impartial guidance is available from MoneyHelper.

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Debt Consolidation Loan FAQs

It may be possible. 118 118 Money looks beyond a single score and carries out credit and affordability checks to see whether the repayments are right for you.

No. You can check whether you are likely to be accepted 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.

It could, but that is not guaranteed. A lower monthly payment may come with a longer term, which can increase the total amount repaid overall.

If debt feels difficult to manage, it can help to get free and impartial guidance from MoneyHelper before taking on new borrowing.

See whether you are likely to be accepted before you apply

Use the eligibility checker to look for a debt consolidation loan that fits your circumstances. It will not affect 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.