**Finio Loans was launched to replace Likely Loans. If you have an existing loan with Likely Loans it will not be affected and you can continue to repay your loan as normal. For further information about products taken out with Likely Loans or if you have any questions, click here.**
What is Finio Loans?
Finio Loans, which is part of the Oakbrook Finance group, is a direct lender authorised and regulated by the Financial Conduct Authority (FCA). It is marketed at borrowers with less-than-perfect credit reports who may struggle to qualify for a personal loan from a standard lender, though it will still only approve applicants who can afford to make the required monthly repayments.
You may find that Finio Loans charges a higher rate of interest than the average high-street lender, so there are likely to be cheaper options elsewhere if you have a good credit history.
Finio Loans – key features
- Unsecured personal loans of between £1,000 and £5,000
- Representative APR of 39.9% (correct at the time of writing)
- If you have a poor credit rating, you may still be approved for a loan
What types of loans does Finio Loans offer?
Finio Loans offers unsecured personal loans that can be used for a variety of purposes, including home improvements, car purchase, to fund a wedding or for debt consolidation. The fact the loans are unsecured means you don't need to put up your home as collateral on the debt, which reduces the risk if you can't make the repayments. That said, if you frequently miss payments on your unsecured loan, it is likely it will be passed to a debt recovery agency and you could be taken to court.
Finio Loans specialises in offering loans to those with poor credit and people who may have been turned down by other lenders. It's a good idea to use the online eligibility checker, which will give you a good idea if you are likely to be approved for a loan without it being visible to other lenders or featuring on your credit file.
How much can I borrow with Finio Loans?
Finio Loans allows people to borrow between £1,000 and £5,000 and to repay over a period of between 12 months and 36 months. The amount you are offered will depend on your circumstances and how affordable the repayments will be.
- Be a UK citizen
- Be over 18 but under 73
- Have a bank or building society account
- Have sufficient income to be able to service the loan
Although Finio Loans is set up to help people with poor credit scores, it will not approve applications from people who have been bankrupt in the last 12 months. Finio Loans has a requirement to make sure it lends responsibly and that the loans it offers are affordable.
How do I apply for a loan with Finio Loans?
The first step in the application process with Finio Loans is to check your eligibility using the calculator on its website.
The next step is to complete an online form, detailing how much you want to borrow and the period over which you want to repay the loan. You will be asked to include personal details, including your full name, address and whether you have any dependents under the age of 18. You will also need to provide information about your income and monthly outgoings.
Once you have completed the form, you are provided with a quote, outlining the amount you can borrow, the interest rate and the loan term. Finio Loans may request supplementary information and documentation, such as bank statements, to support your application before approving it. However, generally, you will get a decision quickly.
How long does Finio Loans take to pay out?
Once you have been approved for a loan with Finio Loans, you can manage the loan through the Oakbrook Hub, including seeing when the money is paid into your nominated bank account. If your loan is approved before 3pm on a weekday, you normally receive the money on the same day. If not, you should receive it on the next working day.
Can I repay my Finio Loans loan early?
It is possible to repay your loan early without having to pay any additional charges, although you will have to repay the interest owed as well as the original loan amount. You can find the outstanding balance and make overpayments or pay it off in full through the Oakbrook Hub. It is worth noting that if you make a one-off overpayment, your normal monthly direct debit will still be taken unless you change it.
Is Finio Loans safe?
Finio Loans' parent company Oakbrook Finance is authorised and regulated by the Financial Conduct Authority, which means you are protected if you take out a loan. You will automatically have access to the Financial Ombudsman and the Financial Services Compensation Scheme if something goes wrong.
Finio Loans pros and cons
Here are some of the important advantages and disadvantages to borrowing with Finio Loans:
Finio Loans pros
- You may get accepted if you have a poor credit score
- The application process is quick and easy to navigate
- Easy to manage your account through a dedicated hub
Finio Loans cons
- The APR is relatively high, which means you end up paying a significant amount of interest over the course of the loan
- The maximum loan size is £5,000, which is quite low compared with other lenders
- The maximum loan term is 3 years, which limits the option to spread the repayments over a longer period to reduce the monthly cost
Finio Loans customer reviews
Finio Loans is highly rated by its customers, according to independent customer review site Trustpilot. It scores 4.8 out of 5.0 stars based on over 3,000 reviews, with 92% of respondents stating the company is "excellent". The positive reviews are mostly based on the service being quick and efficient and the capacity for people to be approved for a loan having been turned down elsewhere. In contrast, 3% of those surveyed claimed Finio Loans is "bad", with criticism focused on poor communication or applicants being turned down for a loan after the lender has requested further information.
Summary: Should I take out a loan with Finio Loans?
Finio Loans may be a good option if you have a less-than-perfect financial history as it considers applicants with poor credit scores. However, you need to be aware that, with a representative APR of 39.9%, it is not a cheap way to borrow money and you will pay back a significant amount of interest over the lifetime of the loan. In addition, if you require more than the maximum loan amount of £5,000, you would be better considering another lender.