Introductory loans usually offer notably low interest rates to attract borrowers, they can even be as low as 0%.

However, they tend to rise after six to twelve months to standard variable rates or possibly even higher. They can be beneficial if you are aware of and prepared for the increase after the first year as many people are caught out when the loan reverts to a higher interest rate.

It is essential to review your loan when the interest rate increases as there are usually much better offers on other loans.