Graduate Loans
One such loan you will often see is the graduate loan, so if you are a graduate it is worth finding out what this is and how it works.
Basically, if you have recently taken and finished your finals and need a loan, then the graduate loan could be a specific product for you.
You can normally take out in the region of say £500 to £10,000 and can be a really useful way to get a sum of money in the bank before you actually start working for instance.
Now, why would you want to take out this loan rather than a standard personal loan?
This is an excellent question, and the key one to ask.
Luckily the answer is quite simple - because the APR is better for you because it is lower.
In simple terms this means that you can get a loan that asks you to pay back less if you get a graduate loan rather than if you get a standard personal loan.
For instance, looking at the time of writing on a typical UK bank site, the loan rate advertised for a standard personal loan is 8.4% APR whilst the rate for the graduate loan is just 7.9% which means therefore that you borrow the money at a cheaper rate.
Therefore if you are a graduate and you need a loan, make sure you take advantage of this and get the money at a lower repayment rate and save money in the long term!
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