Compare the ways to borrow
Cash Train isn’t always the right answer — and we’d rather tell you that than sell you the wrong thing. Here’s an honest look at how a fixed-cost loan stacks up against the alternatives, so you can choose what fits.
Five common ways to cover an unexpected cost
Indicative only — your actual options and rates depend on your circumstances and credit profile.
| Cash Train fixed-cost loan |
Payday loan | Credit card | Arranged overdraft | Guarantor loan | |
|---|---|---|---|---|---|
| Typical amount | £100–£5,000 | £50–£1,000 | Set by limit | Set by limit | £1,000–£10,000 |
| How you repay | Fixed monthly instalments | Lump sum on payday | Flexible / revolving | When you’re in credit | Fixed monthly instalments |
| Cost is… | Fixed & shown upfront | High; rollover risk | Low if cleared fast, high if not | Daily/monthly fee or EAR | Fixed; needs a guarantor |
| Rep. APR (indicative) | 49.9% (Flex) | Often 1,000%+ | ~24% APR | ~39.9% EAR | ~49.9% APR |
| Speed | Same-day once signed | Minutes–hours | Instant if you hold one | Instant if arranged | 1–3 days (guarantor checks) |
| Repay early free? | Yes, no penalty | Sometimes | Yes | Yes | Usually |
| Needs a guarantor? | No | No | No | No | Yes |
APR/EAR figures are typical market indications for illustration, not quotes. Cash Train is an unregulated lender; representative example: borrow £500 over 6 months, monthly ~£95.21, total repayable ~£571.26 (49.9% APR, fixed). Always check the total repayable before you sign.
When each option makes sense
The cheapest borrowing is the kind you understand. Here’s our straight-talking view.
A fixed-cost loan (like ours)
A known one-off cost you want to spread over set monthly payments — a car repair, a boiler, a vet bill — where you value knowing the exact total before you commit.
A credit card
Everyday spending you can clear quickly, or a 0% purchase deal you’ll repay within the promotional window. Costly if you only make minimum payments.
An arranged overdraft
A very short gap of a few days before money lands. Convenient if already arranged; check the fees, as they add up if you stay overdrawn.
A guarantor loan
Larger amounts when your own credit is thin but someone will back you. Remember your guarantor is fully liable if you can’t pay.
Your own savings
Almost always the cheapest option. If you can cover it from a rainy-day fund without leaving yourself short, do that first.
Free help first
If repayments would be a stretch, talk to a free service like MoneyHelper or StepChange before borrowing. There’s no charge and no judgement.
Comparing borrowing — FAQs
Decided a fixed-cost loan fits?
Check your rate with a soft-search quote — it won’t affect your credit score.