Abbey cuts rate

Abbey has announced it is cutting its typical APR for personal loans to 5.7% for online applications and to 6.4% typical APR for non internet applications.

These rates are available on loans from 5,000 up to 20,000. A spokesman for Abbey stated that previously the lowest rates started at 7,000.

Moneyback Bank from Alliance & Leicester, also offers a typical loan rate of 5.7% APR - but there has been controversy surrounding the fact that you can only earn money back if you take out loan protection insurance.