New Nationwide loan rate launched

Nationwide has launched a new loan rate to its current account customers.

Details of a new personal loan rate have been unveiled by Nationwide.

On offer to the building society's current account customers, the deal has a typical APR of 7.9 per cent on loans between £7,500 and £14,999 repayable for up to five years.

Chris Rhodes, product and marketing director for Nationwide, claims that as the government's vehicle scrappage programme is to close by the end of this month the new rate "may be perfect for people looking to get their hands on their dream car before the scheme comes to an end".

The financial services provider points out the deal "beats the rates set by many other high-street personal loan providers" and it can be accessed in a variety of ways, including over the telephone and via the internet.

News of the deal comes as Mark Adams of lovemoney.com stated that while "the cost of borrowing has soared" since the onset of the financial crisis, it is still possible to obtain competitive deals on loans.

By Bret Clement