Doorstep lenders v high street loans

doorstep loans v high street loans

Choice is everything. But then how do you know what is right for you? Like many other decisions in life, the decision of what type of loan to get may not be automatically obvious for you and your circumstances. So we have put together a blog to compare doorstep lenders v high street loans from Street UK to help you make a decision.

Location, location, location

Doorstep lenders do exactly that – they lend you money on your doorstep. A local agent (usually working for a large, commercial company) will come to your home, process an application and hand over the cash. Loan repayments are then collected, usually on a weekly basis, from your doorstep.


  • Convenience – you can get a loan without even leaving the house
  • You get to talk to someone in person


  • Visits can be unsolicited and you may feel pressured into a decision before knowing your options
  • Having strangers in your home can be intimidating


With a Street UK direct loan, you have the choice of either applying in-branch or starting your application online, to see what is available, and completing in-branch with an advisor who can talk you through options based on your individual situation. 


  • You have to leave the house


  • You get to talk to someone in person
  • The interaction is on your terms – you can leave whenever you want
  • Repayments are collected via Direct Debit

Money, money, money

Doorstep lending is a commercial enterprise driven by profit for those in charge. While officially approved by the Financial Conduct Authority, there are often calls for regulations to be tightened as the high interest rates and minimal affordability checks often mean money being lent to those most unable to afford it.


  • In the short-term, you get the money you need, even if you have bad credit


  • You will need to ask the doorstep lending agent for proof that they are FCA authorised*
  • In the long-term, the high interest rates can see you paying back three or four times the original amount


As a social enterprise, Street UK is not for profit, so interest rates are much lower by comparison to doorstep lenders as we only make enough money to cover our costs. We provide an alternative for people who have difficulty getting credit from banks and who want to avoid the extortionate repayments offered by doorstep lenders.


  • Interest rates may still be higher when compared to bank loans and credit cards, for example


  • You get a much lower APR compared to doorstep lenders (180% compared to 433.5% from Morses Club and 535.3% from Provident)
  • Your loan will be based on your individual circumstances with a repayment plan to match
  • Street UK is authorised by the FCA

Extra, extra

Doorstep loans are usually the last resort of people who think they have no other option… You do.

The irresponsible lending practices and sometimes intimidating debt collection methods are evidence of how inappropriate and damaging the choice of doorstep borrowing can be. 

By using an FCA authorised direct loan or high street lender, you can avoid these harmful consequences. And as a social enterprise direct lender, Street UK gives you even more. As well as providing personal loans up to £1,000, we provide budgeting advice, in your local area, and can even help you open a bank account to manage your loan and repayments.

Why not have a look at our online application and see how much you could borrow?

If you would like more information, please get in touch or visit our locations page to find your nearest branch.


*According to the Money Advice Service ‘if they can’t provide this, it’s likely that they are a loan shark and you should end the conversation and report them’.

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