Frequently Asked Questions

 

Most Asked

If I apply for a loan, how long will it take before the money is in my account?

When you apply for a loan through RateSetter, we will give you a lending decision within 1 working day. Once you have accepted the loan, the funds will be transferred in to your account on the next working day.

Get quote 

 

Can I pay some or all of my loan off early?

Yes, you can pay off all or part of your loan early at any time and there are no early repayment fees. You can make additional payments, increase your monthly instalments or repay your loan off in full; all these functions can be managed online. 

 

How do I apply for a loan?

All loan applications must be applied for online. Below is a short guide to applying for a loan with RateSetter.

Step 1: Get a quote (five to ten minutes)
If you ask for a quote, we’ll ask you a few questions so we can tell you how much you can borrow and your likely APR.

Step 2: We’ll confirm how much you can borrow (in one working day)
We'll check your credit history with our credit reference agency. This won't have any impact on your credit rating. We’ll email you in one working day to confirm whether you can get a loan with RateSetter and how much you can borrow.

Step 3: We’ll match you up with a Lender
You can then accept the best APR available, which will be matched immediately.

Step 4: We’ll send you the money (on the next working day)
We’ll send you the money the day after you’re matched (as long as it’s a working day).

Get a quote

 

Does RateSetter charge Borrowers a fee?

When you apply for a loan, we will tell you all the fees which apply. In addition to the loan and the interest, you will be charged the administration fee and the Credit Rate fee. The fees payable will be dependent on how much you would like to borrow, the repayment term and your personal credit profile. There is nothing to pay up front, all the fees are spread out over the monthly repayments and are included in the total amount repayable.


Why borrow through RateSetter?

Many Borrowers choose to borrow through RateSetter as our APR rates are often much cheaper, we have no early repayment fees and accounts are easy to manage online. Add that to the speed of our application process (instant quote available online, and 1 day to receive a credit decision), and it’s a winner. Not to mention our lovely customer service team, who are available at the end of the phone to help you with any questions you may have.

Get a Smart Quote

General

If I apply for a loan, how long will it take before the money is in my account?

When you apply for a loan through RateSetter, we will give you a lending decision within 1 working day. Once you have accepted the loan, the funds will be transferred in to your account on the next working day.

Get quote 

 

How do I make a complaint?

At RateSetter we put our customers' best interest first. We recognise that award winning customer service is not just about the good times, it’s about how we help you when things don’t go as planned. That’s why if we make a mistake, we promise we'll go out of our way to make it right.

If you are unhappy with any aspect of our service and would like us to look into your concerns further, please do not hesitate to get in contact Click here to see how.

 

How is RateSetter funded?

Since launching in 2010 RateSetter has raised over £40m in equity from private investors and investment funds.

Find out more 

 

Can I see previous rates matched on RateSetter?

We display our historical rates and market information within our website.

Historic Rates 

 

What is RateSetter?

RateSetter is a Peer-to-Peer finance company, which essentially means that instead of borrowing from a bank, you can borrow from ordinary customers and investors for a lower APR. It’s a win-win situation; you get a lower APR and Lenders get a better return on their money.

 

Will my application be recorded on my credit file?

When you apply for a quote with us, we will make a ‘soft search’ on your credit file. This is marked as a quotation. It will be visible to you and other Lenders but will not affect your credit score. If you make a full application with us and your loan is approved, we will make a full credit search once you decide to take out the loan. This gets recorded on your credit file as a search. Please remember that multiple searches on your credit file over a short period of time is likely to affect your credit rating.

 

How much can I borrow?

RateSetter typically offers loans from £500 to £35,000. The amount will depend entirely on your individual circumstances and ability to afford the loan.

 

Why are your APRs cheaper than other lenders? What's the catch?

The main reason our rates are cheaper than the rates offered by the banks is that we are a Peer-to-Peer lending company. With a bank, they use deposits from savers to lend to Borrowers and charge high APRs, keeping the profits for themselves. With us, you get to cut out the banks and borrow direct from Lenders and investors. Most of them are ordinary people wanting to get better interest rates than if they were to put their money in a savings account and so they are happy to accept lower APRs than the banks would charge. As we are internet based, we also don’t have the same overheads as banks do with multiple branches, so this helps keep the costs down.

 

Does RateSetter charge Borrowers a fee?

When you apply for a loan, we will tell you all the fees which apply. In addition to the loan and the interest, you will be charged the administration fee and the Credit Rate fee. The fees payable will be dependent on how much you would like to borrow, the repayment term and your personal credit profile. There is nothing to pay up front, all the fees are spread out over the monthly repayments and are included in the total amount repayable.

 

What are the risks of borrowing from RateSetter?

The general risk of borrowing with us is the same as the risk of borrowing from any other provider. You will need to consider if the repayments are affordable for you on a monthly basis. You will also need to ensure you have a plan in place should your employment circumstances change.

 

I haven't heard back about my application. What should I do?

Once we have received your application, we aim to give you a lending decision within 1 working day. Please check your emails (especially your junk folder) and keep your phone handy to make sure we can contact you. If you still haven’t heard back from us, please contact us and we’ll be happy to check the progress of your application.

Call RateSetter on 0203 142 622

 

How can I contact you?

Address: RateSetter, 6th Floor, 55 Bishopsgate, London, EC2N 3AS

Email address: [email protected]
Marketing enquiries: [email protected]

Call RateSetter on 0203 142 6226

 

What's the maximum term I can have a loan over?

 RateSetter loans can be from 1 year up to 5 years.


If I've already taken out a loan with you, can I apply for another one?

Yes, we are happy to take new applications from existing customers. We will ask that you have made at least 6 successful monthly repayments before applying for another loan.

 

Why borrow through RateSetter?

Many Borrowers choose to borrow through RateSetter as our APR rates are often much cheaper, we have no early repayment fees and accounts are easy to manage online. Add that to the speed of our application process (instant quote available online, and 1 day to receive a credit decision), and it’s a winner. Not to mention our lovely customer service team, who are available at the end of the phone to help you with any questions you may have. 

Get a Smart Quote 

 

Who can apply for a commercial loan?

Any established business that has been trading for at least 3 years and has at least 2-years either audited accounts or formally prepared management accounts. We lend to UK operating and owned sole traders, partnership, limited companies or limited liability partnerships.

 

What is a commercial loan?

Commercial loans are loans of more than £25k to sole traders, partnerships, limited companies and LLPs. RateSetter also offers loans below £25k but these can only be provided as personal loans to the business owners. You can find out more about these on our business loans page.

 

Do RateSetter require security for commercial loans?

Each request will be considered on its merits. Where we are lending to a limited company or limited liability partnership we will usually look to take a debenture over the company and possibly directors / partners personal guarantees.

 

Over what terms can I apply for a commercial loan?

We provide commercial loans of between 3-months and 5-years. These are term loans with capital repaid over the term.

 

What interest rate and fees will be charge for a commercial loan?

Our interest rate and fee structure are simple and straightforward. We have no hidden charges and there are no early repayment fees.

We charge a set-up fee of between 0.5% and 1.0%, which is added to the loan. We charge a Provision Fund fee, known as either the Credit Factor Fee, which is taken up front, or Credit Rate Fee, which is taken over the term, of between 1.0% and 4.0%. We charge a margin of between 2.5% and 3.5% over the rate we pay to our lenders.

 

How do I apply for a commercial loan?

Please email to [email protected] or call us on 020 3142 6226, with details of your request including the name of your business, the details of the owners of the business, the amount you wish to borrow, the reason for the request and any other information that you feel is relevant.

 

How long will it take to agree a commercial loan and when will I receive the funds?

We will expect to contact you within 48 hours of your initial request either by email or telephone. Further information may be required to enable us to fully assess your request. Once we have all the information we have requested we will expect to provide you with an answer within 48 hours of receipt of this information.

When we have approved your loan we may need to undertake a site visit to meet both you and to see your operation. We will then issue the facility agreement and any security documents which is the final stage of the process. Once all the documents have been executed we will drawdown your loan and the funds will be in your business account within 24 hours .

 

What is the British Business Bank and how does it invest money?

The British Business Bank programme originally evolved from the Department for Business, Innovation and Skills. It remains a Government owned financial institution but is run separately from BIS. It is not authorised or regulated by the Financial Conduct Authority or the Prudential Regulation Authority. The British Business Bank through the British Business Bank Investment Programme aims to increase the amount and types of debt financing available to small and medium-sized businesses and, support the development of more diverse financing markets for small and medium-sized businesses. British Business Bank has provided RateSetter with an investment and for each loan that qualifies under agreed criteria, the British Business Bank will be one of the investors for this loan. 

 

How much can I borrow for my business?

We provide Commercial Loans between £25,000 and £750,000 which you can find out full information about Commercial Loans and how to apply on our business loans page.
We also provide business loans below £25,000 can only be provided personally to the owners of the business. For more information and to apply read more on our personal loans page.

 

What types of Real Estate Finance do RateSetter offer?

RateSetter provide both property development finance and investment property finance. Development finance is lending to develop or convert properties. Investment property finance is lending for properties that are being used to earn income via lettings to third parties.

For development finance we will lend up to 75% of the total costs, including construction, legal and finance; and up to 65% of the Gross Development Value of the development.

For investment property finance we will lend up to 65% of Market Value.

 

How can I apply for a real estate loan?

Any experienced property developer or property investor can apply for a real estate loan. We can lend to individuals, partnerships or limited liability companies.

If you fall within these categories you can make an enquiry by emailing [email protected] or calling 020 3142 6226, with details of your proposal, including the borrowers name, the amount your wish to borrow and any other relevant information.

 

Is [email protected] a RateSetter email address?

 Yes, this is one of our email addresses. We use it to deliver RateSetter service and promotional messages.

Please add [email protected] to the safe sender list in your email software, this will ensure you don't miss any of our communications.

 

How does RateSetter manage conflicts of interest?

In line with FCA requirements, RateSetter has a policy to identify and manage any conflicts of interest that arise as a result of business activities. We actively monitor for and identify conflicts of interest and ensure mitigation of any risk of customer detriment that could can result. Our policy is to always act in the best interests of our customers and uphold the highest moral and ethical standards at all times.

How RateSetter works

Can I get a quote without applying for a loan?

Yes. Our quotes carry no obligation for the Borrower. If you register for a quote, we’ll ask you a few questions so we can tell you how much you can borrow with RateSetter and your likely APR. We'll then carry out a "soft search" of your credit history with our credit reference agency. This won’t have any impact on your credit score. This process is completely free and without obligation - Borrowers only pay a fee if they decide to take out a Loan - the fees and the interest are spread out over the entire term of the loan, there is nothing to pay upfront.

Get a Smart Quote

 

Do I have to take the Loan immediately after I've been approved?

From the point of your application being approved, you can log in to your account at any point up to 2 weeks to accept your loan online. If you would like to wait before accepting your loan, once the 2 weeks have expired there will be a link in your account to"Reinstate Credit Request." If you click on this link, we will reinstate your credit limit so you can take out your loan provided your financial status has remained consistent since the original application.

 

What do Investors know about me? Do they know who I am?

RateSetter is an anonymous service. Our Investors don’t know anything about you other than a reference number and the details of how much money you want to borrow, the APR you want to pay and the length of your loan. All credit, affordability and suitability checking is done by RateSetter, and is not displayed on our website.

Privacy Policy

 

Who can borrow through RateSetter?

Our borrowers are both individuals and businesses. To borrow with RateSetter as an individual you need to be at least 21 years old, have a good credit history and a regular income. Unfortunately, we are unable to accept applications from residents of the Channel Islands or from those living abroad.

 

Who is behind RateSetter?

RateSetter was founded in 2010 by ex-Lazard investment banker Rhydian Lewis and former Ashurst lawyer Peter Behrens. The business has quickly garnered a user base of more than 300,000 RateSetters, with peer to peer lending taking off in the UK.

Find out more

 

Can I see previous rates matched on RateSetter?

We display our historical rates and market information within our website.


Historic Rates

 

How do I apply for a loan?

All loan applications must be applied for online. Below is a short guide to applying for a loan with RateSetter.Step 1: Get a quote (five to ten minutes)
If you ask for a quote, we’ll ask you a few questions so we can tell you how much you can borrow and your likely APR.Step 2: We’ll confirm how much you can borrow (in one working day)

We'll check your credit history with our credit reference agency. This won't have any impact on your credit rating. We’ll email you in one working day to confirm whether you can get a loan with RateSetter and how much you can borrow.Step 3: We’ll match you up with a Lender

You can then accept the best APR available, which will be matched immediately.Step 4: We’ll send you the money (on the next working day)
We’ll send you the money the day after you’re matched (as long as it’s a working day).

Get a quote

 

What is RateSetter?

RateSetter is a Peer-to-Peer finance company, which essentially means that instead of borrowing from a bank, you can borrow from ordinary customers and investors for a lower APR. It’s a win-win situation; you get a lower APR and Lenders get a better return on their money. 

 

Why are your APRs cheaper than other lenders? What's the catch?

The main reason our rates are cheaper than the rates offered by the banks is that we are a Peer-to-Peer lending company. With a bank, they use deposits from savers to lend to Borrowers and charge high APRs, keeping the profits for themselves. With us, you get to cut out the banks and borrow direct from Lenders and investors. Most of them are ordinary people wanting to get better interest rates than if they were to put their money in a savings account and so they are happy to accept lower APRs than the banks would charge. As we are internet based, we also don’t have the same overheads as banks do with multiple branches, so this helps keep the costs down.
 

Does RateSetter charge Borrowers a fee?

When you apply for a loan, we will tell you all the fees which apply. In addition to the loan and the interest, you will be charged the administration fee and the Credit Rate fee. The fees payable will be dependent on how much you would like to borrow, the repayment term and your personal credit profile. There is nothing to pay up front, all the fees are spread out over the monthly repayments and are included in the total amount repayable.Why borrow through RateSetter?Many Borrowers choose to borrow through RateSetter as our APR rates are often much cheaper, we have no early repayment fees and accounts are easy to manage online. Add that to the speed of our application process (instant quote available online, and 1 day to receive a credit decision), and it’s a winner. Not to mention our lovely customer service team, who are available at the end of the phone to help you with any questions you may have. 

Payments

If I apply for a loan, how long will it take before the money is in my account?

When you apply for a loan through RateSetter, we will give you a lending decision within 1 working day. Once you have accepted the loan, the funds will be transferred in to your account on the next working day.

Get quote

Do I have to take the Loan immediately after I've been approved?

From the point of your application being approved, you can log in to your account at any point up to 2 weeks to accept your loan online. If you would like to wait before accepting your loan, once the 2 weeks have expired there will be a link in your account to"Reinstate Credit Request." If you click on this link, we will reinstate your credit limit so you can take out your loan provided your financial status has remained consistent since the original application. 

 

Can I pay some or all of my loan off early?

Yes, you can pay off all or part of your loan early at any time and there are no early repayment fees. You can make additional payments, increase your monthly instalments or repay your loan off in full; all these functions can be managed online. 

 

What happens if I miss a payment?

If you are having difficulties please contact our payments team on 020 3841 9950 between 9am and 6pm and we’ll work with you to make sure your payment goes through. If you are experiencing financial difficulties please call 020 3841 9950 or email [email protected].

We take missed payments seriously: the money we’re collecting is our investors’ money - they’ve invested their own funds, by lending to you, and we’re acting on their behalf.

If you miss a monthly payment, we’ll contact you via text and email, and try to take the direct debit from your bank account again, usually around one week later. If we’re still unable to take a payment, we’ll continue to contact you – we’ll write to you, send you a text and also call.

If we still haven’t received your payment after 90 days your loan will go into default. Defaulting on a loan is bad for your credit history and may cause you problems in the future, so we’ll give you at least 28 days’ notice before this happens.

If we still don’t receive a response from you we’ll work with our debt collections agency to make a recovery, or your debt could be sold to a third party.

 

How does RateSetter collect repayments from borrowers?

Payment is arranged by direct debt, to be collected once a month. Your first repayment is usually scheduled to be debited one calendar month after you accept your loan. You can change your direct debit date online, through your RateSetter account. If you have already begun to make repayments on your loan, please bear in mind that we require at least 10 workings days notice before the direct debit is due to come out of your account for the changes to take effect. If you change you direct debit instruction with less than 10 days notice, the changes will take effect for the following month.

 

What happens if I am having difficult repaying my business loan?

What happens if I miss a monthly repayment?

If you miss a monthly repayment, a notice of sum of arrears will be issued and we will attempt to take a direct debit payment within the next 5-days. If you’re struggling to service your borrowing please contact us immediately.

What happens if my business enters a form of insolvency?

If your business enters a form of insolvency please contact us immediately and we will liaise with the parties dealing with this matter.

 

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