| The UK banking system may be thought of by | | | | The downside of this is that you will be |
| many as archaic, a bit Dickensian, and in | | | | dealing with a bank that does not know you. |
| many ways it is. But there are several ways | | | | Dealing with your own bank may mean that you |
| of going about getting a UK loan quote. Here | | | | have a certain amount of negotiating power, |
| is a summary of the main ways, and the pros | | | | especially if you have a good credit record |
| and cons of each. | | | | with them. In negotiating the loan quote with |
| | | | them you will not have the leveraging ability |
| Getting the UK loan quote from your own bank | | | | that you would normally have with your own |
| is the most obvious way. After all, your bank | | | | bank. |
| will know you because of your previous | | | | |
| banking relationship. It may be that your | | | | The next alternative is a broker. Rather than |
| bank is quite near to your or a short drive | | | | getting a UK loan quote from a direct lender |
| away. You may have set up a telephone banking | | | | (i.e. a bank, which is lending you their own |
| system with them or even an online version of | | | | money directly) a broker will have access to |
| that. The people there will know you, as long | | | | several different lenders, for which he or |
| as staff turnover isn't too high. | | | | she gets a commission. This vastly increases |
| | | | the number of options available to the |
| The obviously bad side of this is that | | | | borrower. It also massively improves the |
| getting a UK loan quote from your own bank | | | | borrower's chances of getting a loan in the |
| means that you will be tied in to whatever | | | | first place, especially in the case of a bad |
| conditions the bank has as far as its own | | | | credit record. The bad side of this is lack |
| lending is concerned. In particular, you will | | | | of impartiality. You would never know how |
| be charged whatever prevailing interest rate | | | | independent the broker is, or whether or not |
| the bank sees fit to charge. So rather than | | | | the brokerage is tied to a specific group of |
| just nip into your own branch and smile at | | | | lending companies. |
| the people who know you it would be a better | | | | |
| proposition in the long term if you were to | | | | So the path that gives you the most |
| look around for a better deal elsewhere, even | | | | flexibility is to go the whole way and deal |
| if it took a bit of extra time and effort on | | | | with a large panel made up of brokers and |
| your part. | | | | direct lenders. The borrower will have all |
| | | | the benefits of dealing with several |
| So the next possibility is getting a UK loan | | | | brokerages that are both independent and |
| quote from someone else's bank. The high | | | | tied. The chances of getting that loan will |
| street banks are all in competition with one | | | | also be greatly increased in the cases where |
| another, after all. They will try and outbid | | | | the borrower's credit history has not been |
| each other as much as their own coffers can | | | | good. |
| afford. Look for the best deals going. Banks | | | | |
| nowadays are not the conservative | | | | This last option will be even better as it is |
| institutions that they used to be, and you | | | | also the easiest. Broker panels exist online. |
| will see posters both outside and inside | | | | Borrowers can apply for a UK loan quote |
| their branch offices telling you specifically | | | | easily just by filling in a simple online |
| the interest rates they charge. | | | | application form. So the UK lending system |
| | | | isn't so archaic after all! |