Compare £100 Loans

Only want to borrow a small amount of money? We’ll walk you through everything you need to know about £100 loans

Table of contents

Written by Mark Grimley
Read time: ~5 mins
Published: 28th September 2023

Can you get a £100 loan?

As long as you're eligible for a loan in the UK, it's possible to get a £100 cash loan to cover unforeseen expenses or a financial emergency.

Like other loans, you must meet certain criteria to qualify for a £100 pound loan. Every lender has different requirements, but you'll typically need to:

  • be aged 18 or over
  • be a UK resident
  • have a regular income

You'll also need an active bank account and proof of your full or part-time employment.

How long does a £100 loan take?

If you need an emergency £100 cash loan, some lenders can send funds to your account within hours once your application is approved.

You'll need to apply online and complete an application form for the lender, who will ask for your personal and financial details.

You can often find out instantly if you're eligible for a £100 loan, but you'll need to have a hard credit check performed before your loan is approved.

A hard credit check will be recorded on your credit report for other lenders to see, which means it’s better to limit the number of times you apply for new credit within a six-month period. Too many applications for new credit in a short time can put off lenders and damage your credit score.

How much does a £100 loan cost?

Small, short-term loans often come with higher interest rates.

£100 loans available from online lenders can be more expensive than high street bank loans or overdrafts, so only apply for a £100 pound loan if you have no other options.

The price of your loan will depend on several factors, including

  • The interest rate
  • The borrowing term
  • Your credit rating

Here's an example

If you borrow £500 over six weeks at a representative rate of 839.20% and an annual Interest rate of 255.5% p.a. (fixed), you would pay one repayment of £647. The total charge of credit will be £147 and the total amount payable will be £647.

The APR you’ll be offered will depend on your lender and your credit rating.

As a result of the Financial Conduct Authority's regulation on high-cost short-term loans, the maximum amount you will ever need to pay in fees and interest is capped at 100% of the borrowed amount. Therefore, regardless of the interest rate, if you borrow £100 for a period of six months, you will never exceed £100 in interest fees, and the total cost of credit will never exceed £200.

How long will I have to pay back my £100 loan?

Small loans of £100 are often short-term, so you'll need to repay them within 12 months. You may see £100 loans offered for terms of three, six, nine and 12 months.

When you take out a loan, borrowing for the shortest term will often mean you pay less in interest overall.

Where can I borrow £100 from?

A comparison website like ours can help you to find a loan provider, but you can also borrow £100 from:

  • a direct lender
  • a doorstep lender
  • a credit union
  • your own bank
  • a credit card company

Many providers offer £100 loans online, so you can get funds quickly if you meet the lender's requirements.

If you have a bad credit score, a loan broker who works with a panel of specialist lenders can help you find the best loan for your circumstances.

What documents do I need to apply?

You'll need to supply basic personal and financial information and support it with evidence. You'll usually need to provide:

  • Evidence of your current address
  • Proof of regular income

You may also get asked for other supporting financial documents like bank statements, wage slips and outgoings.

Can I get a £100 loan with bad credit?

Getting a bad credit £100 loan is possible, but be prepared to pay high interest rates.

If you have no choice but to borrow £100 with bad credit, there are specialist brokers who'll check your application and find the best borrowing options for you.

Some lenders and comparison sites, like ours, provide an online eligibility checker to instantly discover whether you qualify for a loan without leaving a record of the search on your credit report. This is known as a soft search.

What are the pros and cons of £100 loans?

A £100 cash loan allows you to access funds quickly for unforeseen expenses or an emergency, however, there are downsides to consider.

  • Spreads the cost of unforeseen expenses
  • Can help in a financial emergency
  • Provides cash quickly
  • Can solve a short term cash flow
  • £100 loans typically have higher interest rates
  • There could be cheaper borrowing alternatives
  • You'll pay penalties for late or missed payments
  • May negatively impact your credit score if you’re unable to repay what you owe

The bottom line is borrowing small amounts of money can be expensive, so if you have cash or savings, use them first or ask for a small cash loan from friends or family.

What are the alternatives to £100 loans?

Guarantor loans

This type of personal loan is when someone else guarantees that your loan repayments are covered if you can't repay the loan yourself. They're a good option if you have bad credit or an irregular income.

You may get a lower interest rate If your guarantor has a good credit rating, but both of you will have to undergo affordability and credit checks, so this isn't a fast loan.

Overdraft

It might be worth asking your bank for a temporary overdraft to help you when you need small amounts of money quickly. An overdraft allows you to borrow more than what’s in your current account. Overdrafts can be an expensive form of borrowing and should only be used for emergencies and should be paid back ASAP.

Credit card

If you need to pay for an item that you can’t afford to buy immediately, but you know you’ll have the money within a few weeks, it might be worth considering applying for a credit card. Credit cards typically allow you to borrow money for free for the first month, so long as you repay everything you owe at the end of the month.

Budgeting loan

If you need to borrow money for essentials and are on a benefit like Income Support or Pension Credit, you could be eligible for an interest-free budgeting loan from the Government. Universal Credit recipients may qualify for a Budgeting Advance.

£100 loan FAQs

Can I get a £100 loan the same day I apply?

It depends on your financial circumstances, who you borrow from and your credit history.

If you have a good credit rating and can provide supporting documents immediately, there’s a possibility you could get your £100 cash loan within hours. But the loan will take longer if you have bad credit or a complicated financial situation.

Guarantor loans and credit union loans usually take the longest to approve so you could end up waiting several days or more to get money in your account.

If you apply for an overdraft on your current account, the money is usually available the same day you arrange it.

What happens if I miss a payment?

If you miss a payment on your £100 pound loan, you risk additional costs and a mark on your credit report.

Your lender will likely charge a penalty for a missed payment, but they should contact you first to inform you about the fee. If you can afford to cover the payment, make it as soon as possible.

If you regularly miss or make late payments, it will damage your credit score, making it harder for you to borrow in the future.

Can I get a £100 loan without a credit check?

No, you can't borrow money without a credit check from an authorised money lender. This is because regulated lenders are required by the Financial Conduct Authority (FCA) to abide by strict lending rules, which means loan companies must lend responsibly and fairly.

Whether you're borrowing £100 or £1,000, once you've submitted a full application, you will always have a hard credit check performed on your credit report.

What is the annual percentage rate (APR)?

All lenders have to provide the loan APR and provide a representative example before you sign a credit agreement.

The APR takes into account all costs during the term of the loan, including the interest rate, credit charges and any extra fees. The higher the APR, the more the loan will cost you.

Warning: Late repayment can cause you serious money problems. For help, go to moneyhelper.org.uk

Written by
Mark Grimley
Head of Partnerships & Take Control Author at Choose Wisely

Mark joined Choose Wisely in 2015. He continues to work in close contact with the providers, brokers and journalists operating in the world of consumer credit.

Important Information.

All of the information in this guide is correct at the time of writing.

If you complete a loan search application on the Choose Wisely website, the rates shown may vary based on your personal circumstances, are subject to status and are available to those aged 18 and over. Rates available range from a minimum of 13.9%APR to a maximum of 1721%APR Representative and loan repayment periods range from 3 to 60 months.

If you need financial advice you can visit stepchange, speak to citizens advice, call the national debtline or speak to moneyhelper.org.uk.

If you've been declined, please refer to your credit report to gain an understanding of why before making further applications.
You can access your credit report for free from Credit Karma, Clearscore or Experian.