Doorstep loan

Doorstep loans involve small loans with repayments collected from the customer's house. They provide easy access to credit for many people who would not be able to borrow any other way.

Doorstep loans are used by around 2 million people each year. Typically, the interest charged is very high and the amount owed can rise very quickly to high levels if repayments are missed.

A minority of providers of home credit loans are little more than loan sharks and the sector has come in for severe criticism from consumers and the government.

The doorstep loan market is to be opened up to competition and become clearer for customers and cheaper under new rules set out by The Competition Commission last year.

	Derbyshire BS cuts personal loan rate to 5.1 per cent The Derbyshire Building Society has cut the rate on its personal loans between £7,500 and £10,000 to just 5.1 per cent taking it back to the top of the best-buy tables along with the Clydesdale.
	Clydesdale Bank cuts loan rates to leap to top of best-buys The Clydesdale and Yorkshire Bank has cut the rate on personal loans between £7,500 and £15,000 to 5.1 per cent beating the Tesco Bank deal to go to the top of the best-buys.
	Sainsbury's Bank cuts personal loan rate to 5.4 per cent Sainsbury’s Bank has cut the rate n personal loans for Nectar card holders to just 5.4 per cent for people who borrow over a one to three-year term.
	M&S unveils best-buy personal loan rate at 5.5% Marks & Spencer has launched a new personal loan for applicants who want to borrow between £7,500 and £15,000 over a 1-5 year period at just 5.5 per cent.
	Derbyshire BS cuts personal loan rate to 5.4 per cent The Derbyshire Building Society has cut the rate on its personal loan between £7,500 and £14,999 to 5.4 per cent matching the deal from Sainsbury’s Bank.