Ready to team up and tackle a big purchase or consolidate your finances? A joint loan can be a fantastic way to achieve your goals with someone you trust. Nationwide Building Society offers personal loans that can be taken out jointly, allowing you to combine your financial power. This comprehensive guide will walk you through every step of applying for a joint loan with Nationwide, from initial considerations to getting the funds in your account.
Why Consider a Joint Loan?
A joint loan means that both applicants are equally responsible for the loan's repayment. This can be a huge advantage for several reasons:
- Increased Borrowing Power: By pooling your incomes, you might qualify for a larger loan amount than you would individually. This is especially useful for significant expenses like home improvements, a new car, or consolidating substantial debts.
- Shared Responsibility: The burden of repayment is shared, which can make managing the loan more comfortable and less financially stressful for each individual.
- Potentially Better Rates: With two incomes and potentially stronger combined credit profiles, lenders might offer more competitive interest rates.
However, it's crucial to remember that joint responsibility also means that if one person struggles to repay, the other is still fully liable for the entire debt. Your credit histories will be linked, so any missed payments by one applicant will affect both.
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| How To Apply For A Joint Loan Nationwide |
Step 1: Are You Ready for a Joint Loan with Nationwide? (Engage!)
Before we dive into the nitty-gritty of the application, let's see if a Nationwide joint loan is the right fit for you and your co-applicant. Take a moment to consider these questions:
- Do both of you live at the same address? Nationwide typically requires joint loan applicants to reside at the same address.
- Have both of you held a Nationwide current account, savings account, or mortgage for at least 90 days? This is a key eligibility requirement for personal loans from Nationwide.
- Are both of you between 18 and 79 years old? Age limits apply.
- Do you have a combined monthly income of at least £700 after tax? This excludes bonus, overtime, or commission payments for this specific threshold.
- Are both of you registered for online banking with Nationwide (if you plan to apply online)? This is essential for the online application process.
- Are you comfortable with your credit histories being linked? Remember, a joint loan means your financial reputations are intertwined.
If you've answered "yes" to most of these, great! You're likely on the right track. Let's proceed with the detailed steps.
Step 2: Understanding Nationwide's Eligibility Criteria
Nationwide has specific criteria for personal loans, and these apply to joint applications as well. It's vital to ensure both applicants meet these before proceeding.
QuickTip: The more attention, the more retention.
Sub-heading: Core Eligibility Requirements
- Existing Nationwide Customer: As mentioned, both applicants must have held a Nationwide current account, savings account, or mortgage for a minimum of 90 days. This is a fundamental requirement.
- Age: Both applicants must be aged between 18 and 79 years old.
- Residency and Work Rights: You both must have the right to live and work in the UK for the entire term of the loan. Nationwide does not accept applications from the Channel Islands and the Isle of Man.
- Credit History:
- Neither applicant should have missed 3 or more credit commitments in the last 12 months.
- No unsatisfied County Court Judgments (CCJs). Unsatisfied means the debt hasn't been paid according to court records.
- Neither applicant should be bankrupt or have an Individual Voluntary Arrangement (IVA).
- Income: You need a combined monthly income of at least £700 after tax. This specifically excludes bonus, overtime, or commission payments for the £700 threshold.
- Employed: If employed, neither applicant should be on a temporary, agency, or zero-hours contract.
- Self-Employed: If self-employed, both applicants must be able to prove a minimum of 1 year's income through an accountant's certificate, SA302 form, or HMRC online tax calculation.
Sub-heading: Acceptable Loan Purposes
Nationwide permits personal loans for a variety of uses, including:
- Making a large purchase (e.g., car, caravan, electrical goods)
- Home furnishings or improvements
- Travel or holidays
- Consolidating existing debts
- Other personal uses
Sub-heading: Unacceptable Loan Purposes
Be aware that Nationwide personal loans cannot be used for:
- Business purposes or a business vehicle
- Buying property, including mortgage deposits
- Buying or keeping an interest in land
- Using as a bridging loan
- Investing or speculative purposes, such as gambling and cryptocurrency
Step 3: Gathering Your Essential Documents
Once you've confirmed you both meet the eligibility criteria, it's time to prepare the necessary documentation. Having these ready will significantly streamline your application process. Nationwide may request proof of income and your right to live and work in the UK. They will typically email you within 5 days if documents are needed.
Sub-heading: Proof of Identity and Address
While not always explicitly listed for personal loans, it's wise to have these ready, especially if you're not a long-standing Nationwide customer with fully verified details.
- Valid UK Photo ID: Passport or UK driving license.
- Proof of Address: Utility bill (gas, electricity, landline phone - not mobile) less than 3 months old, or a bank/building society statement (not Nationwide, less than 3 months old).
Sub-heading: Proof of Income
This is a critical part of the application, as it helps Nationwide assess your affordability.
QuickTip: Let each idea sink in before moving on.
- For Employed Applicants:
- Your most recent weekly or monthly payslip. This must clearly show your employer's name, year-to-date income, and tax/National Insurance deductions.
- If you've been employed for less than 3 months, a job offer letter or contract of employment showing your annual salary.
- For variable income (bonus, overtime, commission), Nationwide may require multiple payslips (e.g., last 8 consecutive for weekly, last 6 for fortnightly, last 3 for monthly/4-weekly).
- For Self-Employed Applicants:
- Proof of income for the last 12 months. This can be:
- A print-off of your tax calculation if registered for HMRC self-assessment.
- The SA302 letter from HMRC including your tax calculation.
- A completed certificate provided by Nationwide and signed by your accountant.
- Proof of income for the last 12 months. This can be:
- For Pension Income:
- Your most recent pension statement (original, no more than 12 months old).
- Alternatively, your most recent bank statement showing your pension payments (highlighted).
- For Benefit Income:
- A letter from the Department for Work and Pensions confirming the benefit and payment method.
- A copy of the court order for maintenance (if applicable, and runs for the loan term).
- Note: Nationwide generally accepts Disability Living Allowance (DLA), Incapacity Benefit, Employment and Support Allowance (ESA), Industrial Injuries Disablement Benefit (IIDB – if permanent), Attendance Allowance, and Income-related ESA. They may require your last 3 months' bank statements to verify these payments.
Sub-heading: Proof of Right to Live and Work in the UK
One of the following for each applicant if requested:
- A 9-digit UK Government share code.
- A passport with either indefinite leave to remain or a no time limit stamp.
- A naturalisation certificate.
- A resident's permit with either leave to remain to a date later than the last loan repayment or indefinite leave to remain. The expiry date must be at least 1 month after the last loan repayment date.
Step 4: The Joint Loan Application Process (Step-by-Step)
Nationwide offers an online application for joint personal loans, which is generally the quickest and most convenient method.
Sub-heading: Applying Online
- Initial Login (One Applicant): One person will need to log in to their Nationwide Internet Bank or Banking App to begin the application. They will provide the personal and financial details for both applicants.
- Complete the Application Form:
- Fill in all required fields accurately for both individuals, including:
- Personal details (names, dates of birth, addresses, contact information).
- Employment details and income information.
- Details of your financial outgoings and existing debts.
- The desired loan amount and repayment term.
- The purpose of the loan.
- Be thorough and honest. Any discrepancies can lead to delays or rejection.
- Fill in all required fields accurately for both individuals, including:
- Second Applicant Confirmation: During the application, Nationwide will prompt the second applicant to log in to their Internet Bank or Banking App to confirm they agree to the loan.
- Crucial Point: The second applicant will typically have only 15 minutes to complete this confirmation, so ensure they are ready and available before the first applicant starts the application.
- Soft Credit Search: Nationwide will perform a "soft" credit search at this stage. This allows them to give you a personalised quote and an acceptance indicator (likelihood of approval) without affecting your credit rating. This is a great feature as it allows you to see potential terms before a hard check.
- Review and Submit: Carefully review all the information you've entered. Once you're confident everything is correct, submit your application.
Sub-heading: What Happens After Submission?
- Potential Document Request: If Nationwide requires any of the documents mentioned in Step 3 (proof of income, right to work), they will email both applicants within 5 days.
- Important: Each applicant needs to reply to their own email with their own documents attached.
- For proof of right to live and work in the UK, only scans of original documents are accepted.
- For proof of income, good quality photos (JPEG, TIFF, PDF) of the full, original documents are acceptable. Screenshots or pictures of a screen are not.
- You'll also need to send your signed Personal Loan Agreement within 30 days of your application date.
- Hard Credit Check: If your application proceeds, Nationwide will conduct a "hard" credit check. This will appear on your credit file and can be seen by other lenders.
- Decision and Funds: If approved, Nationwide aims to have the money in your chosen account within 2 hours. This can be a Nationwide account or an account with another bank.
Sub-heading: Applying Over the Phone or In Branch
While online is often preferred, you may also be able to apply over the phone or in a Nationwide branch. The process and required information will be similar, but the real-time interaction might be beneficial for some. Ensure both applicants are available if applying in person or over the phone.
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Step 5: Repayment and Management of Your Joint Loan
Once your joint loan is approved and the funds are disbursed, it's time to focus on responsible repayment.
Sub-heading: Understanding Your Repayment Terms
- Fixed Interest Rate: Nationwide personal loans generally come with a fixed interest rate. This means your interest rate won't change throughout the loan term, providing predictability for your monthly repayments.
- Monthly Repayments: Your repayments will be fixed monthly amounts over the agreed loan term (typically 1 to 7 years).
- Direct Debit: Repayments are usually made via Direct Debit from a nominated bank account. Ensure there are sufficient funds to cover the repayments each month to avoid charges and negative impacts on your credit score.
Sub-heading: Managing Your Loan
- Online Banking: You can manage your joint loan through your Nationwide Internet Bank or Banking App. This allows you to view your balance, repayment schedule, and sometimes make additional payments.
- Overpayments: Nationwide does not charge fees for making overpayments on your loan. Making extra payments whenever you can afford to will reduce the total interest you pay and help you clear the loan faster.
- Early Settlement: You can also pay off your loan early without incurring any charges. To do this, you'll need to request a "settlement figure" from Nationwide. This figure is valid for 28 days and includes all outstanding principal and interest.
- Communication: If you anticipate any difficulty in making repayments, it's crucial to contact Nationwide as soon as possible. They can discuss options and potentially help you avoid further financial difficulty.
10 Related FAQ Questions (How to...)
Here are some quick answers to common questions about Nationwide joint loans:
Tip: Keep scrolling — each part adds context.
How to check if I'm eligible for a Nationwide joint loan?
You can quickly check key criteria: both applicants live at the same address, both have held a Nationwide account for 90+ days, both are 18-79, and you have a combined after-tax income of at least £700.
How to apply for a Nationwide joint loan online?
One applicant logs into their Nationwide Internet Bank or Banking App, fills in details for both, and then the second applicant logs in within 15 minutes to confirm their agreement.
How to get a personalised quote for a Nationwide joint loan without affecting my credit score?
Nationwide performs a soft credit search at the start of the online application to provide a personalised quote and acceptance indicator, which doesn't impact your credit rating.
How to submit documents to Nationwide for my joint loan application?
If requested, Nationwide will email both applicants. Each person must reply to their own email, attaching scans (for ID/right to work) or good quality photos (for income) of the required documents.
How to know what documents Nationwide will ask for?
They typically ask for proof of income (payslips, tax calculations, pension statements) and proof of your right to live and work in the UK (share code, passport stamps, resident's permit).
QuickTip: Short pauses improve understanding.
How to make overpayments on a Nationwide joint loan?
You can make overpayments at any time without charge. This can often be done through your Internet Bank or by contacting Nationwide directly.
How to pay off my Nationwide joint loan early?
Request a settlement figure from Nationwide. Once you have it, you have 28 days to pay the full amount, either via online transfer, in-branch, or from a non-Nationwide account. There are no early repayment charges.
How to ensure my joint loan application goes smoothly?
Gather all required documents beforehand, ensure both applicants meet all eligibility criteria, and have the second applicant ready to confirm their agreement promptly during the online application.
How to contact Nationwide about my joint loan application?
You can usually find contact details for personal loans on the Nationwide website under their "Help" or "Loans" sections, or by logging into your Internet Bank.
How to improve my chances of getting approved for a joint loan?
Ensure both applicants have a stable income, a good credit history (no missed payments, CCJs, or bankruptcies), and accurately declare all income and outgoings. A stronger combined financial position increases your chances.
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