The interest rate for a personal loan, or a loan that is a personal finance loan, has increased by £1.80 per day for the first time in two years, the Financial Conduct Authority (FCA) has announced.
The announcement follows the rise in interest rates for car loans in June, and the increase in loan interest for student loans.
More to come.
If you are struggling with your mortgage or are considering a loan, here are some things to consider.
It is not unusual for people to pay a high interest rate on a mortgage and still have an outstanding balance in the loan.
However, if you have the ability to refinance the loan, then it is possible to pay less than you would on a personal credit card, a personal loans, a student loans, or even an auto loan.
If you can, you may be able to pay lower interest rates by applying for a home loan or a personal property loan, and refinancing a home or personal loan.
This is a good way to reframe your loan payments into a repayment plan that will provide the maximum amount you can afford over time.