A clearer borrowing guide

The advertised loan range

The loan amounts shown on this website are USD $100–$500. The minimum repayment term is 12 months and the maximum is 24 months. The advertised APR range is 15%–18%, with a maximum APR of 18%.

Actual availability depends on the lender, the jurisdictions it serves and its eligibility criteria. A dollar amount does not establish that a product is available in every country or state. Ask for confirmation of availability before proceeding.

APR and the total cost

Annual Percentage Rate expresses the cost of borrowing as an annual percentage using the applicable calculation rules. It generally takes account of interest and relevant mandatory charges. It is not simply the percentage of the original amount that you will pay in total over any loan term.

Compare APR alongside the amount received, the duration of the loan, fees and the full amount repayable. Two offers with similar monthly payments can have different overall costs if their terms or charges differ.

Check any broker fee, lender fee or optional product separately. Do not assume that an illustrative calculation confirms the actual charges on an offer.

Reading a repayment illustration

For an illustration only, suppose $300 is repaid over 12 equally spaced monthly payments at a fixed effective annual rate of 18%, with no fees. Using a monthly rate of (1.18)^1/12 − 1, the unrounded monthly payment is approximately $27.313913.

With cent rounding, this can be illustrated as 11 payments of $27.31 and a final payment of approximately $27.36. Total repayment is approximately $327.77, including approximately $27.77 in interest. Actual dates, rounding and calculation rules can affect the figures.

This is not a confirmed lender offer or a regulated representative example. A valid representative example must reflect an actual product and the applicable market’s rules. Ask for the lender’s own cost disclosure before entering an agreement.

Checking affordability

Start with your regular income and essential spending. Include housing, utilities, food, travel, existing debts and irregular expenses that you can reasonably anticipate. The money left over should comfortably cover a proposed payment without relying on another loan.

Consider how you would manage a change in income or an unexpected bill. Borrowing the maximum available amount is not necessarily the right choice. A smaller amount, delaying a purchase or another source of support may be more suitable.

The lender may ask for more information or carry out affordability and creditworthiness checks. An enquiry form is not a substitute for those assessments.

Early repayment

If you want to repay part or all of a loan early, request a written settlement figure from the lender. Check its expiry date, payment instructions and the effect of any partial repayment on future instalments.

An APR alone does not establish the early settlement amount. The outstanding principal, interest adjustments, contractual charges and any statutory rights may all be relevant. Do not assume you must pay all interest originally projected for the full term, or that every early repayment is free of charges.

For general UK guidance, see MoneyHelper’s personal loans guide. The agreement and rules applicable to your loan determine your rights.

Late payments and financial difficulty

If you think you may miss a payment, contact the lender before the due date where possible. Explain your situation and ask what support or revised arrangements may be available. Keep a record of any agreed changes.

Depending on the contract and applicable rules, late or missed payments may result in charges, further interest, credit reporting or collection activity. No specific late fee, grace period or extension is promised by Lumos on this website.

Do not take out another loan simply to postpone a payment without considering the wider cost and seeking appropriate help. Independent money guidance or debt advice may be useful if repayments are becoming difficult.

Before accepting an offer

• Identify the lender and check the relevant authorisation.
• Confirm the amount you receive and every required payment.
• Check all lender and broker fees, including when they are payable.
• Read the cancellation, early settlement and late-payment provisions.
• Understand any credit checks and how your data will be used.
• Keep a copy of the offer, agreement and payment schedule.

If any of these points is unclear, ask the lender before accepting. An enquiry to Lumos does not guarantee an offer or approval.