John Lewis has today launched a personal loan offer for customers.
The retailer will now lend customers between £1,000 and £25,000 for between one to five years, with a representative interest rate of 2.9 per cent on loans between £7,000 and £15,000.
John Lewis has said there are no hidden fees, no fees or penalties for paying back the loan early, and no administrative fees. There is also an option for customers to have a payment holiday.
The new offer is part of John Lewis' bid to expand its range of financial products. The retailer also offers insurance, currency exchange and international payment services. It has been making loans to customers through its partnership card for more than 10 years, and said there is an appetite for for a new provider of loans.
Mike Jackson, director for financial services at the John Lewis Partnership, said: 'We believe that the trust our customers have for the John Lewis brand is the reason why many of them choose us when it comes to money matters.
"We want to make it easy as possible for people to manage their finances and ensure that they are able to pay back their loan in the simplest way possible. With this in mind our personal loan offer will be competitively priced not only at launch but over the longer term."