Fees are usually about about 1% of the loan amount. Some consumers have paid (in ignorance) as high as 17% for origination/broker fees. If you have poor credit, you will likely have to pay higher rates and fees, but shop around.

Which are the best cheap loans? They're the ones which are the best deal for you, according to your circumstances. A loan is a serious committment. It's not free money. It can radically affect your future. Worth spending time to do a little research, and get it right. Even if you're happy with your current bank, it may not be the best place to get the best deal. Shop around for a bit.

Don't take on a loan thinking "Well, I can always go bankrupt if I get into trouble repaying it". This is the thinking of a nincompoop.

If you go bankrupt, it will be entered into the records of the County Court, and you will find it very hard to get credit of any kind in the future, except at loanshark interest rates.

Also, the lender you owe the money to will make an entry into your credit record. Credit referencing agencies sift court records, to keep their databases up to date.

In the UK a few lenders may offer flexible loan deals allowing the borrower to make under or over repayments. Most however have prepayment penalties. If flexibility is high on your checklist of priorities then find the lender that will offer you such terms.

When buying financial products, be wary of offers of insurance. Refuse to take it on, unless you've no other choice. It's just a way for personal loan companies to get more cash out of you. With some, you are often talking to an operator in a call centre. He has no power to deviate from the script his boss has put before him. So don't waste your breath.

Do your own 'due diligence' by typing the name of the lender into a search engine, along with the words "scam" or "problem" or "bad experience". This should show any negative postings about them. If there are a lot, or the allegations look substantial, avoid them.

Ensure that you think about your budget when arranging your personal loan. No matter how cheap a loan may be, pay it off as quickly as you can to avoid interest accruing.

However, it is important not to overstretch yourself. Leave a portion of your monthly income aside as coverage for emergencies and unexpected bills.