What does it cost to borrow £15,000?

2 min read

Schedule firstThe biggest cost lever here

≈ £699/monthIllustrative: 11% × 24 months

≈ £1,779Illustrative interest over 24 months

≈ £909Same rate over 12 months

How lenders price a £15,000 facility

This is the heart of the working-capital market, and it's where short-term products and standard-term loans compete hardest for the same borrower. A lender will typically want to see around a year of trading, recent bank statements and your latest accounts, then price from turnover stability and existing commitments — see how a business loan rate is set. Because two product types overlap at this size, quotes for the same £15,000 can be structured so differently that the rate alone tells you almost nothing.

A worked £15,000 illustration

As an illustration only: at 11% a year on a reducing balance, £15,000 over 24 months costs about £699 a month — roughly £16,779 repaid, so around £1,779 of interest. Take the identical rate over 12 months and the payment rises to about £1,326, but total interest falls to roughly £909 — the bill nearly halves because the balance clears twice as fast. Neither schedule is "cheaper" in the abstract: one suits steady margins, the other suits strong seasonal cash flow. The question is which payment your forecast actually supports.

Schedule choices that cut the cost

Decide the term from your cash-flow forecast, not from the lowest monthly figure on the quote sheet — a longer term always costs more in total on a reducing balance. Some lenders at this size also offer weekly rather than monthly collection, which can suit businesses paid weekly. Watch for the usual fee lines too. Test your own term scenarios on the true cost calculator, then ask Credicorp for a £15,000 figure — quotes don't commit you.

Frequently asked questions

What monthly payment should I expect on £15,000?

It depends entirely on rate and term, but the illustration gives you the shape: at 11% a year, 24 months means about £699 a month while 12 months means about £1,326. Your quoted rate reflects your company's trading history and commitments, so run your actual quote through a calculator rather than budgeting from anyone else's example.

Should I take a short-term product or a standard loan for £15,000?

Both compete at this size. Short-term products clear faster and usually cost less in total interest but demand a much higher payment; standard terms spread the load at a higher overall cost. Compare the two on total repayable and on what your monthly cash flow can absorb in a weak month — not on the headline rates, which aren't structured alike.