Pepper Money Secured Loans Secured Loans

Pepper Money's fixed-rate secured loans start at 6.99% APR for a 5-year fix on clean credit at competitive LTVs, rising to around 13% APR for moderate adverse cases at 80-85% LTV. Rates are tiered by credit profile — clean credit and minor adverse (satisfied historic CCJs) sit closer to the lower end of the range; moderate adverse (recent unsatisfied CCJs, multiple defaults) sits at the higher end. Maximum combined LTV is 85%. APRC includes interest plus the £995 arrangement fee per FCA MCOB rules.

Representative example for a £30,000 secured loan over 120 months at 6.99% APR fixed for 5 years (variable thereafter): monthly repayment £347.62, total loan repayments £41,714.40, Pepper Money arrangement fee £995, Charles Frank Finance broker fee £2,495. Total amount payable £45,204.40. Total charge for credit (interest plus fees) £15,204.40. Representative APRC 8.4%. Your home may be repossessed if you do not keep up repayments on a mortgage or any other debt secured on it.

Yes — self-employed lending is one of Pepper's core specialisms. They accept SA302s and tax year overviews, accountant-prepared accounts for limited company directors (salary plus dividends), and in some cases an accountant's certificate for the latest year where SA302s aren't yet available. Sole traders with one year of trading history are accepted at the minor-to-moderate adverse tiers subject to affordability. Pepper is often the placement of choice when mainstream lenders decline self-employed cases on documentation grounds rather than income adequacy.

Pepper Money uses the industry-standard day rate × 5 × 46 calculation (5 days per week, 46 working weeks per year) with fewer criteria overlays than most competitors. The contract must be evidenced (a copy of the current contract is required), and Pepper prefer contracts with at least 6 months remaining. Contractors moving between agencies but with continuous trading history are accepted at the prime-to-minor-adverse tiers. Rolling contracts and IR35 outside-scope contractors are both accommodated.

Yes — CCJs are core Pepper Money underwriting territory. Satisfied CCJs over 12 months old typically fit the minor-adverse credit tier at moderate rate uplift versus prime. Recent unsatisfied CCJs or multiple CCJs are reviewed at the moderate-adverse tier at higher rates and a lower LTV cap (typically 75%). Pepper explicitly assesses recency, severity, satisfaction status, and cause — a single small satisfied CCJ from a disputed utility bill sits very differently to multiple unsatisfied CCJs from missed loan payments.

Selina wins on rate at sub-65% LTV for clean credit — Selina's 5-year fix from 6.34% initial rate (7.0% APRC) undercuts Pepper's 6.99% for prime cases. Pepper wins on adverse credit and complex income — Selina's underwriting is technology-supported and cleaner-credit-focused, whereas Pepper's tiered product structure accommodates historic CCJs, self-employed income complexities, and contractor day-rate income more flexibly. For clean prime cases below 65% LTV, Selina. For adverse or self-employed complexity, Pepper.

Standard UK residential property in the applicant's name with a current first charge mortgage. Most property types accepted including ex-local authority and standard-construction flats. Non-standard construction (concrete, timber-frame, high-rise flats) is reviewed case-by-case. The combined LTV across your first charge mortgage and the new Pepper loan cannot exceed 85%. A physical property valuation is commissioned on cases above £100,000; AVMs may be used for smaller loans at lower LTVs.

£5,000 across all Pepper secured loan products — one of the two lowest minimums on the UK secured loan panel (jointly with Selina Finance since Selina's 2026 product changes). This makes Pepper genuinely accessible for smaller consolidation cases or emergency capital raises that many specialist lenders won't consider.

Yes — a tapering ERC applies during the fixed-rate period, typically 3% in year 1 reducing by 0.5% per year to 1% in the final year of the fix. After the fixed period ends there is no ERC and the loan can be repaid without penalty. Overpayments of up to 10% of the outstanding balance per year are typically permitted without triggering ERCs — check your specific product literature.