Lending Stream is a direct lender that focuses on short-term loans, catering primarily to individuals who face challenges obtaining credit from traditional financial institutions. The service allows new customers to borrow between £50 and £800, while existing customers can access loans up to £1,500. With an impressive Trustpilot rating of 4.9 out of 5, based on over 30,000 reviews, it appears to have a solid reputation among borrowers. However, prospective clients should be aware of the steep APR rates, which range from a minimum of 99.9% to a staggering maximum of 1333%.

For example, borrowing £300 over six months at a fixed rate of 292% would result in a total repayment of £578.36. This level of repayment can be unmanageable for many, particularly as it’s aimed at individuals with lower credit scores. Although the application process is quick and does not affect credit scores, the high costs associated with borrowing could lead to a cycle of debt if not managed carefully. Overall, while Lending Stream offers a crucial service for those in need of immediate financial assistance, it is vital for borrowers to weigh the risks and consider alternative options like credit unions or personal loans from banks, which may provide more favourable terms.