Home improvement loans
A home improvement loan could help you manage the cost of home renovations and essential repairs.
Apply nowImportant information: How much we lend and the rate available are dependent on our assessment of your circumstances. You must be age 18 or over and a UK resident. To apply using online banking, you must have had a Lloyds, Halifax or Bank of Scotland current account for at least 1 month.
Why get a home improvement loan?
A personal loan could help you to manage the cost of home improvements now and spread your repayments over a term to suit you.
Things to consider
Representative example
You could borrow £10000 over 48 months with 48 monthly repayments of £240.21. Total amount repayable will be £11530.08. Representative 7.4% APR, annual interest rate (fixed) 7.16%.
This representative APRRepresentative APRThe representative APR is the rate that at least 51% of people are expected to receive when taking out a loan within the stated amount and term range. applies to loans of £7,500 to £25,000 over 1 to 5 years. Other terms and loan amounts may apply at different rates. The maximum APR is 29.9% APR.
Who can apply for a home improvement loan?
To apply for a home improvement loan using online banking, you need to:
- be age 18 or older
- be a UK resident (not including the Channel Islands and the Isle of Man)
- have held a Lloyds, Halifax or Bank of Scotland current account for at least 1 month
- be in paid employment or have a regular income and are not a full-time student
- have a good credit score, with no history of bad credit, such as County Court Judgements (CCJs) or bankruptcy.
Get a quote for a home improvement loan
Tell us how much you need to borrow for your home improvements, and for how long. Getting a quote won’t affect your credit score.
If you’re happy with your quote, you can complete your debt consolidation loan application and get a decision online. If approved, you could receive the money the same day.
Let’s look at the details
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Yes, as a home improvement loan is a personal loan. If you decide you’d rather not use it to pay for home renovations, you can use it for just about anything else.
There are some restrictions. We can’t issue loans intended for:
- Gambling
- Investments, such as stocks, shares and crypto currency
- Business reasons
- Land or property – buying, leasing or paying a deposit
- Timeshare or Holiday clubs
- Anything illegal
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When you apply for a home improvement loan, the lender will complete a hard credit check. This has the potential to affect your credit score, whether you’re approved or not.
If approved, a new loan increases your total debt and decreases the average age of your accounts. This could lead to a temporary dip in your credit score, but it should start to recover if you manage your loan repayments carefully and on time.
If you’re declined, it could lower your credit score temporarily, so it’s wise to wait and work to improve your score before you try again. Making multiple credit applications in a short time can compound any negative effect on your score.
If you’re a Lloyds customer, you can get a personal loan quote online, which won’t affect your credit score. If we can, we’ll tell you how likely you are to be approved before you complete a full loan application involving a hard credit check.
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Home improvements can be significant investments, so it is important to pick the best borrowing option for you. Other borrowing options include:
- Remortgaging
This is where you switch your existing mortgage to a new lender. If you have some equity in your home, you may be able to borrow more on your new mortgage to pay for your home improvements. Early repayment charges may apply on your existing mortgage.
Read more about Lloyds Bank remortgages.
You could lose your home if you don't keep up your mortgage repayments.
- Additional Borrowing
Another potential option is to borrow more money on your existing mortgage to pay for home improvements. This is called Additional Borrowing. Conditions apply.
Find out more on Additional Borrowing.
You could lose your home if you don't keep up your mortgage repayments.
- Credit card
For small home improvements, a credit card may be a more suitable option than taking out a loan. Credit card lenders may offer introductory offers of 0% or low interest for a set amount of time.
With this borrowing option, consider if you can fully repay the outstanding balance before the end of the introductory period to avoid higher interest charges.
Read more about our credit cards.
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A home improvement loan can be either secured or unsecured.
Secured loans – this is where your borrowing is secured against an asset, like your home or a car. If you can’t repay the loan, the lender can recover money from that asset.
Unsecured loans – this type of loan secured against an asset. At Lloyds, we only offer unsecured personal loans.
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With a home improvement loan, you pay interest on the money you borrow. The interest rate you’re offered can be influenced by several things, including the amount you want to borrow and the lender’s assessment of your circumstances.
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It depends on the type of home improvement loan you want to apply for.
For a secured loan, you usually need to have a certain amount of equity in your property, and there’s usually a loan to value cap. Whether you qualify will depend on your personal circumstances.
You could apply for an unsecured loan straight away, but your credit score may need time to recover if you’ve recently taken out a mortgage.
If you’re a Lloyds customer, you can get a personal loan quote online which won’t affect your credit score. If you’re able to apply, we’ll tell you how likely you are to be approved before you complete a full loan application involving a hard credit check.
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