Newcastle, UK-based lender Northern Rock has unveiled a new loan product offering a typical annual percentage rate of 5.7%.
In promoting the new product, the lender said that the competitive rate would be available through all of its customer-facing channels, including in branches, over the phone and on the internet.
The new loan offering is unsecured and customers can borrow from GBP1,000 to GBP25,000 with a choice of terms ranging from one year to 10 years. The rate offered will depend on the applicant’s personal circumstances and loan amount.
Meanwhile, Northern Rock is currently offering a 5% discount on all its payment protection policies taken with telephone or branch applications, while there will be a 20% discount on its PPI product taken in conjunction with a loan for those applying online.
Northern Rock’s new loan and associated PPI offers arrive on the same day that the Post Office has challenged finance providers to be more honest with customers over their options regarding PPI cover. Supported by consumer issues watchdog Which?, the Post Office has called on loan providers to point out to customers that they can shop around for payment protection cover.