Revolut launches UK personal loans as it expands beyond everyday banking

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Highlights

Revolut launches UK loans from £2,000 to £25,000.
Interest rates range from 6.9% to 29.3%.
Lending expansion aims to increase interest income.

The London-based company is introducing unsecured loans ranging from £2,000 to £25,000, with annual interest rates between 6.9% and 29.3% and repayment terms of one to five years. The service is initially available to a limited group of customers and will expand gradually over the coming months, Bloomberg reports.

Lending becomes a priority after banking approval

Revolut received its UK banking license in March, opening the way for a broader range of financial products in its home market. The company has approximately 14 million British customers, giving it an established audience for its new lending services.

Its personal loans offer near-instant access to funds following approval and allow early repayment without a fee, according to the company. The stated interest rate range is wide, meaning borrowing costs may vary substantially depending on an applicant's circumstances and credit assessment.

Revolut already provides personal loans, mortgages, and credit cards in other countries. Its UK expansion therefore extends an existing international lending business rather than introducing an entirely new activity for the group.

Revolut seeks a larger share of interest income

Interest income represented about 22% of Revolut's global revenue last year, with fees accounting for most of the remainder. That balance differs from the business models of many established banks, where lending is a more significant source of earnings.

Expanding credit products could help Revolut diversify revenue while encouraging customers to use its accounts for more financial needs. In June, Revolut UK Chief Executive Francesca Carlesi also outlined plans to introduce five credit cards in Britain, although the company has not announced a launch date for those products.

Loan rollout tests its ambitions in UK banking

The phased introduction gives Revolut time to assess demand and lending performance before making the product widely available. Its initial loan range of £2,000 to £25,000 places it in a competitive market where borrowers can already choose among banks and specialist lenders.

The commercial opportunity is significant given Revolut's large customer base, but lending also introduces credit risk and requires careful assessment of borrowers' ability to repay. Growth in loan balances does not automatically translate into higher profits if defaults and operating costs rise.

The rollout represents a further shift in Revolut's business model, from a platform built around payments and spending toward a bank offering a wider selection of financial services. Its success will depend on whether the company can attract borrowers while maintaining lending standards and controlling risk.

Earlier, we reported that Revolut secures a Gibraltar crypto license to support international expansion.

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