If you have a good credit rating make sure you take your time and have a good look around before you sign on the dotted line for any loan.
Other things to be wary of when searching for £5000 loans is whether the loan is secured or a personal loan, whenever you can, opt for the personal unsecured loan, the benefits of an unsecured loan is that the interest rate will be fixed, there’ll be no change in repayments which will make it easy for you to budget the repayments, most secured loans on the other hand have a variable rate, meaning if the bank of England borrowing rates go up so too does your repayments, bear in mind that interest rates normally go up much quicker than they come down, for some strange reason! The best £5000 loan is the one that takes the shortest time to repay, as the quicker you pay off the loan the less interest you’ll pay, a 5000 loan over 5 years at 8.7 % would cost £1122 in interest, however the same loan over 3 years would only cost £670 and the difference in repayments would only be around £50 per month, giving you a saving of £450.

If you are currently looking to switch loans to get a better interest rate, be careful, check the small print of your existing loan, many loans have an early repayment fee, which can amount to sizable chunk of change!

If you’re looking for a £5000 loan and have bad credit or don’t want a credit check you can still apply here Bad Credit 5000 Loan just be honest.

Nationwide Building Society, for example, is offering the UK?s lowest personal-loan rate, of 7.7 per cent APR on loans between £5,000 and £14,999. Sadly, the offer is open only to Nationwide current-account customers, who must apply by 6 October to take advantage of the offer. If you qualify for the deal, a £10,000 loan over five years will set you back just £200.10 per month.

If you’re not a Nationwide customer, then it’s worth taking a look at Tesco Personal Finance at 7.9 per cent APR or YourPersonal Loan.co.uk at 8 per cent APR for the next best deals on a loan of this size.

Another new option is the Personal loan with cashback from M&S Money. The standard interest rate is 8.7 per cent APR on loans between £7,500 and £25,000, but if you apply by 7 September for a loan of £7,500 or more, and for a term of at least 36 months, you’ll receive 10 per cent of your interest back. This effectively reduces the interest to an equivalent rate of 7.9 per cent.

The potential downside of this offer is that to |benefit from the 10 per cent interest rebate, your loan must run its full term, so if you’re someone who refinances their borrowing when you change your car, it won’t be quite so appealing.

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UK residents that have recently taken out a £5,000 personal loan to get themselves over the recession are being hit with the highest interest rates, the UK  base rate is currently just 0.5 per cent (next review 10 Sep ’09), however the average interest rate for a  £5,000 loan is currently 10.32 per cent, according to a survey by moneysupermarketdotcom.

It seems that ten is the magic number as the best value personal loans are for  £10,000 with interest rates at approx.  8.4% , while a £15,000 loan will be closer to 8.55 per cent.