LEEDS, England, June 5, 2013 /PRNewswire/ --
A personal loans market dominated by the high street banks is set for a shake up with the launch of Hitachi Personal Finance. The new range of personal loans offers rates as low as 4.9 per cent with flexible terms and no early repayment charges.
Hitachi has a 30 year history of retail lending in the UK and has launched a personal finance offer because it claims the market has become 'stagnant'.
In an industry first, around one in ten customers is expected to have access to rates of 4.9 per cent, below the advertised APR of 5.4 per cent for loans of £7.5k to £10k.
Commenting on the launch, Gerald Grimes, managing director of Hitachi Personal Finance, said: "The high street banks dominate personal lending but are only opening the best deals to their own customers. We saw an opportunity to create a range of loans that are built around consumers' needs and offer them at great rates.
"Our aim is to set loan rates that consistently provide great value for people looking to borrow anything from £1,000 to £25,000. We are confident our loans will consistently feature in the best buy tables across the range of borrowing, because offering great value is core to our brand."
Hitachi Personal Finance undertook extensive research to understand how consumers used personal loans and develop terms based around use rather than the amount lent.
The new loans are available from 3 June from http://www.hitachipersonalfinance.co.uk; applicants get an instant online decision and the money can be in their account in 24 hours.
Hitachi is also the only personal loans provider to have teamed up with Ffrees to offer its customers a free savings account which saves up as you spend. Savings are available from a wide range of household names and include a 4 per cent rebate of any amount spent with Waitrose, to savings of 3 per cent at B&Q, more than 10 per cent with lastminute.com or thousands on a new car.
Hitachi has been providing point of sale credit in the UK for more than 30 years, during which time it has managed in excess of 5m UK customers.
Notes to editor:
As part of the larger Hitachi Group, Hitachi Personal Finance is the UK's retail finance leader, providing over one billion pounds of consumer lending each year to over 5 million UK customers. The company has over 30 years' experience and works with some of the biggest names on the high street. It has supported retail in the UK by increasing lending year on year for the last five years.
Hitachi has always sought to transform markets through innovation. It is applying this culture to personal lending and is set to shake up the industry by doing things differently. For example, Hitachi Personal Finance is the first company to offer rates better than the advertised representative interest rate for the most creditworthy customers.
Hitachi has exclusively partnered with Ffrees to provide an innovative product that helps consumers make their money go further. Savings are available with hundreds of retailers that allow consumers to save on everything from 4 per cent off their weekly shop to thousands on a new car.
- Hitachi expects one in ten customers will get a rate that is better than the advertised APR
- The application process is online, an online decision will be given immediately and an electronic loan agreement provided that can be signed electronically
- The money can be in the applicants account within 24 hours
Purpose APR (1) Min Max Term Car Loan 5.4% GBP2,500 GBP25,000 2 - 5 years Environmental Loan 5.4% GBP2,500 GBP20,000 2 -5 years Home Improvement 5.4% GBP2,500 GBP20,000 2 - 5 years Personal Loan 5.4% GBP2,500 GBP15,000 2 - 5 years
(1)Representative APR for loan between £7,500 and £10,000 over 24 to 60 months
- must be 18 or over
- hold a UK Bank or Building Society account
- have been a UK resident for at least 12 months
- be in permanent paid employment, self-employed or retired with a pension
- have a good credit history
SOURCE Hitachi Personal Finance