Satsuma Loans Alternative
Satsuma is no longer lending but Drafty is. We could offer something better.
Who Were Satsuma Loans?
Satsuma Loans were a direct lender in the UK that offered short term loans, guarantor loans, and doorstep loans to individuals that may have struggled to access credit. They were a trading name of Provident Personal Credit Limited, part of the Provident Financial Group, one of the oldest financial institutions in the UK.
Loan amounts for Satsuma ranged between £100 and £1,000. Returning customers who managed their first loan well and made repayments on time may have been eligible to borrow up to £2,000. Depending on your circumstances and loan agreement, loans were to be repaid between 3 and 12 months. Borrowers had the option to repay the loan early and may have been entitled to a refund of interest. They would have provided a settlement figure which was valid for 28 days.
In 2021, Satsuma Loans went into administration. This meant they were no longer offering loans to new or existing customers. At that time, the company implemented a scheme of arrangement to assess and pay compensation claims related to unaffordable lending. The deadline for submitting a claim against them was 28th February 2022.
If you need a loan like Satsuma, we might be able to offer you a better alternative. Try Drafty. We offer a line of credit of up to £3000. If you’re approved, we’ll send the cash to your bank in 90 seconds.
Representative 96.2% APR (variable)
Subject to status. T&Cs apply.^
Why choose Drafty as a Satsuma Loans alternative?
Unlike the loans offered by Satsuma Loans, Drafty offers a credit line with a limit of up to £3,000. Here is why you can consider Drafty as an alternative to Satsuma Loans:
- Speed - You'll get a fast decision. And if approved, we’ll send the cash to your bank in under 90 seconds
- Borrow what you need – Apply for up to £3000 and withdraw up to your approved credit limit when needed
- Reuse - Once you’ve used Drafty, you can withdraw up to your agreed limit again. No need to reapply
- No fees – We don't charge any extra fees. Also, you only pay interest on what you use. It doesn't cost you a penny if you don’t use any of your credit
We’re an FCA-authorised and regulated direct lender. Our authorisation number is 689378. We only offer our credit line to those we think can afford it.
At Drafty, we’re proud of our customer service. See why we’re rated great on Trustpilot.
Representative 96.2% APR (variable)
Subject to status. T&Cs apply.^
Has Satsuma gone into administration?
Yes. In 2021, Satsuma Loans went into administration. This decision was driven by a high number of customer complaints over the mis-selling of high-cost short-term loans. Satsuma Loans was one of many high-profile payday lenders that collapsed because of its lending practices. Wonga, Tappily, and Peachy Loans also faced financial troubles and couldn't keep operating.
Although you can no longer apply for a Satsuma loan, we believe that Drafty could offer an alternative to Satsuma. We could offer you a line of credit up to £3000. Plus, if you're approved, we'll send the cash to your bank within 90 seconds.
Representative 96.2% APR (variable)
Subject to status. T&Cs apply.^
What is happening with Satsuma now?
Satsuma Loans is no longer lending money. If you used to borrow from Satsuma, Drafty could help. With a Drafty line of credit, there is no set minimum or maximum repayment term so long as the minimum monthly repayment sum is met. However, you can repay early without hidden fees and save on interest.
Representative 96.2% APR (variable)
Subject to status. T&Cs apply.^
Is Satsuma refunding customers?
Satsuma Loans is no longer refunding customers. When Satsuma went into administration, it implemented a scheme to assess and pay compensation claims related to unaffordable lending. Customers who had borrowed money from Satsuma Loans between 6 April 2007 and 17 December 2020 were eligible for this scheme. The deadline for submitting a claim against them was 28th February 2022.
Does Drafty offer loans Like Satsuma?
No, Drafty is different. We offer a line of credit. As long as you pay the monthly minimum payment (which covers your interest and amount of credit used), you can choose to repay early with no early repayment charges.
With a short term loan (like a payday loan) or a long term loan (like a mortgage), your loan term is completed once you’ve paid it back. Whereas with Drafty, as long as you are up to date with your payments and your account is in good standing, you can borrow up to your credit limit as often as you want.
Representative 96.2% APR (variable)
Subject to status. T&Cs apply.^
How is Drafty different from (or better than) Satsuma Loans?
| Drafty | Satsuma Loans |
| Apply online for an instant decision. If you’re approved, we’ll send the cash to your bank in under 90 seconds. | They are not lending anymore. But when they were lending, they would send the cash to your bank within an hour, as long as it was between 6 a.m. and 11 p.m. You had to wait until the next day if it was outside those hours. |
| Drafty offers a line of credit up to £3000. | Satsuma offered loans ranging from £100 to £1000 depending on the borrower's affordability. Existing customers could borrow up to £2000. |
| Drafty has a representative APR of 96.2% (variable). | Satsuma offered loans at a maximum APR of 1275%. |
| We continue to be transparent in our lending processes, providing borrowers with flexible options, no hidden fees and clear terms and conditions for loans. | They faced regulatory challenges and customer complaints about irresponsible lending and inadequate affordability assessments. |
| With a Drafty line of credit, you only pay interest on what you use. | If you had taken out a short-term loan, you would have paid interest on the entire amount. |
How do I check my eligibility for a line of credit with Drafty?
You can apply online for a line of credit with Drafty if you are:
- Aged 18 or over and employed
- Earning at least £1,250 a month
- A UK resident with an active UK bank account and debit card
After you’ve provided the required details, we’ll do some credit and affordability checks. If approved, we'll agree on a credit limit and send the cash to your bank within 90 seconds. You can even consider us as an alternative to loans for bad credit as we might consider you for our line of credit even if you have a bad credit rating.
Representative 96.2% APR (variable)
Subject to status. T&Cs apply.^
How can I apply online with Drafty?
Here's how you can apply:
- Apply - Visit our website and click on the apply now button. Fill out our online application form by entering a few personal details to help us understand who you are.
- Get a credit limit - If approved, you’ll be given a credit limit of up to £3,000. You can use it as you require, paying interest only on what you use.
- Flexible payments - You’ll need to repay a minimum amount every month. Want to repay early? That’s fine with us! We don’t charge anything extra. Also, it’s easy to make payments through our app.
- Fast cash transfer - Use Drafty whenever you need to, and we’ll send the money to your bank in under 90 seconds.
Representative 96.2% APR (variable)
Subject to status. T&Cs apply.^
FAQs - Satsuma Loans
Can I still apply for a loan with Satsuma?
No, as Satsuma Loans has stopped its lending activities, it is no longer possible to apply for a new loan through Satsuma. Prospective borrowers are advised to look for alternative lenders for their short-term loan needs.Who owns Satsuma Loans?
Satsuma Loans was owned by Provident Personal Credit Limited, which is part of Provident Financial Group, a long-standing financial institution in the UK. Provident Financial has been providing various financial services, including short term and doorstep loans, for many years.Is Satsuma Loans a direct lender?
Yes, Satsuma Loans was a direct lender. They provided loans directly to their customers without using third-party financial institutions or intermediaries.Is Satsuma a payday loan?
Satsuma Loans offered products similar to payday loans but with different terms and repayment periods. While payday loans are typically due on the borrower's next payday, Satsuma offered short-term loans that could be repaid over a period of 3 to 12 months. This longer repayment period was designed to provide borrowers with more manageable repayment options compared to traditional payday loans.Drafty is an FCA-authorised provider of a Revolving Line of Credit with a credit limit of up to £3000, available to borrow as and when you need it (subject to affordability checks). You only pay interest on what you draw/use.
Representative Example: Assumed credit limit: £1200. Representative 96.2% APR (variable). Annual interest rate 69.4% (variable).
There is no set minimum or maximum repayment term, so long as the minimum monthly repayment sum is met, however, you may repay back early without any fees and save on interest.