Best way to get a £9000 loan

If you’re looking to take out a £9000 loan, you might have noticed that there’s quite a wide range of funding options available to you. It can often be overwhelming sifting through different loans trying to make sense of each option, and finding the loan that’s right for you. Generally, the most popular loans amongst those taking out loans of £9000 tend to be personal loans and homeowner loans.

How much does a £9000 loan cost

This will depend on your circumstances, but assuming you have an excellent credit score then you should qualify for a great personal loan quote.

Loan Repayment Example

Loan Repayment Example for £9,000

Let’s work through the example of a loan of £9,000 taken out over 5 years (60 months) with an annual APR of 6.1%. We’ll determine the monthly repayments, including both capital and interest.

Loan Details

  • Loan amount: £9,000
  • Annual Percentage Rate (APR): 6.1%
  • Loan term: 5 years (60 months)

Steps to Calculate Monthly Repayments

  1. Convert the annual interest rate to a monthly interest rate:

    \( r = \frac{6.1\%}{12 \times 100} = \frac{0.061}{12} \approx 0.00508 \)

  2. Determine the number of monthly payments:

    \( n = 5 \times 12 = 60 \)

  3. Plug the values into the formula:

    \( M = P \frac{r (1 + r)^n}{(1 + r)^n – 1} \)

    Where:

    • \( M \) is the monthly repayment
    • \( P \) is the loan principal (initial amount)
    • \( r \) is the monthly interest rate (annual rate divided by 12)
    • \( n \) is the number of payments (loan term in months)
  4. Calculate step-by-step:
    1. \( (1 + r)^n = (1 + 0.00508)^{60} \approx 1.34885 \)
    2. \( r (1 + r)^n = 0.00508 \times 1.34885 \approx 0.00685 \)
    3. \( (1 + r)^n – 1 = 1.34885 – 1 = 0.34885 \)
    4. \( M = 9000 \times \frac{0.00685}{0.34885} \approx 9000 \times 0.01962 \approx 176.58 \)

Monthly Repayment

The monthly repayment is approximately £176.58.

Summary

If you take out a loan of £9,000 over 5 years with an APR of 6.1%, your monthly repayment would be approximately £176.58. This amount includes both the repayment of the loan principal and the interest. Over the 5-year period, you will make a total of 60 payments.

Loan Calculator »

Calculations are based on the fixed interest rate over the term, and no repayments are missed. Please note that many lenders will typically apply their best loan rates for loans between £7,500 and £25,000 loans and for lower amounts you will pay a higher rate of interest, so for a £9000 loan if you have a good credit score means you may be able to secure a top rate.

Can I get a £9000 Personal Loan?

The short answer is yes, but it will depend on your circumstances.

A personal loan tends to be more straightforward than other forms of finance. As the loan is unsecured, it does not require you to put an asset (such as your home) down as collateral against the loan. Personal loans are offered by the majority of banks and other lenders, and you can typically expect to borrow between £1,000 and £25,000 over a relatively short period of time (in comparison to a secured loan).

Personal loans can be taken out for a variety of different reasons, and lenders tend to specialise packages depending on whether you wish to use the loan for home improvements, car purchase, debt consolidation etc.

Your ability to get a personal loan will depend on your credit rating and your income. If you have a less than perfect credit rating you may still be able to get a loan but the interest rate you will be charged will be higher. For a loan of £9000 interest rates will be at their lowest for most lenders based on a repayment term between 1 and 7 years.

Can I get a £9000 Homeowner Loan?

A secured loan (also known as a second charge loan) is a loan you take out with a particular asset (usually your home) put up as security. As a result, legally speaking, the creditor from whom you are borrowing the money will retain legal ownership of the asset in question until you repay the loan.

Secured loans can be used for almost all legal purposes. Because they tend to have larger borrowing amounts and longer repayment terms, they are commonly used for home improvements, home extensions, and debt consolidation.

There are other types of borrowing than personal and homeowner loans, such as authorised overdrafts and credit cards you might also wish to consider.

Can I Get a £9000 Business Loan?

If you are a business owner, sourcing finance is typically done on the trading record of the business. Lenders will look at your annual accounts and typically the last 3 to 6 months’ bank statements in assessing whether they will lend. Unsecured business loans still often require a business director to provide a personal guarantee.

Use our loan service to see if your business qualifies for a £9,000 unsecured business loan. Repayment terms range from 3 months to 5 years.

Can I Get a £9000 Bridging Loan?

Bridging loans are secured on property, and most lenders in the UK will have a minimum loan size of £25,000, with many starting at £50,000. So for a bridging loan of £9,000 this will not be an option for you.

Considerations before taking out a £9000 loan

It is important to carefully consider your options when looking to get a £9000 loan.

Depending on your personal circumstances, some options are likely to be more suitable for your needs than others. We strongly recommend that you compare the market before committing to a loan.

We provide a loan calculator on this site. For secured, business, and bridging loans, you should speak to a qualified loan broker who can evaluate your situation and provide unbiased, expert advice to make the right decision.