TSB Bank Graduate Loan: Check everything you need to know

06/13/2025 • Maryella Faratro • Credit & Planning

For graduates in the UK, the TSB Bank Graduate Loan offers a tailored financial solution designed to ease this transition.

Importantly, this flexible loan option is also accessible even if you have some negative marks on your credit history.

The TSB Bank Graduate Loan is a specialized financial product available exclusively to individuals who have held a TSB Graduate account for over three months.

Financial Support Post-University
Competitive APR
Available for graduates with a TSB account
Flexible borrowing limits
Regular income requirement (employed or earning at least £850 monthly after tax)

Let's delve deeper into the benefits, target audiences, and application processes for the TSB Bank Graduate Loan.

Benefits of TSB Bank Graduate Loan

The TSB Bank Graduate Loan is packed with features that make it appealing to recent graduates navigating the financial landscape post-university. Here are the core benefits.

Financial Support Post-University

Helps graduates manage their finances effectively upon completing their studies.

Competitive APR

Enjoy a competitive 12.9% APR, which is representative for loans between £5,000 and £10,000 for terms ranging from 1 to 5 years.

Exclusive to TSB Graduate Account Holders

Available to those who have maintained a TSB Graduate account for more than three months, ensuring the loan is geared towards genuine alumni needs.

Flexible Borrowing

Borrow according to your needs with amounts ranging from £1,000 to £10,000.

Regular Income Requirement

Eligible applicants must be employed or possess a regular income, earning at least £850 monthly after tax.

Who Should Consider the TSB Bank Graduate Loan?

Designed with recent graduates in mind, this loan offers tailored benefits that cater specifically to their needs.

Below, we outline who would benefit the most from considering this financial product.

Recent graduates who need to manage immediate post-university expenses.
TSB Graduate account holders looking for exclusive financial products.
Individuals with a regular income who can afford repayments.
Graduates needing to consolidate debt or finance a significant purchase.

If you are a graduate within this demographic, exploring the TSB Bank Graduate Loan could provide you with a solid financial foundation as you embark on your career.

Pros and Cons of the TSB Bank Graduate Loan

Understanding the strengths and limitations of any financial product is crucial.

Here’s a breakdown of the pros and cons of the TSB Bank Graduate Loan to help you make an informed decision.

Pros

Exclusive to TSB Graduate Account Holders
Tailored for TSB’s own customers, offering an advantage to existing account holders.
Competitive APR of 12.9%
A relatively low rate for the loan amounts specified, beneficial for managing repayments.
Helps Manage Post-University Finances
Ideal for graduates juggling their early career financial commitments.
Flexible Terms and Repayment Options
Choose from 1 to 5 years for repayment, with options to manage your loan through various platforms.

Cons

Account Holder Requirement
Only available to TSB Graduate account holders for over three months, limiting availability to new customers.
Income Requirements
Applicants must have a regular income of at least £850 per month after tax, potentially excluding some applicants.
Maximum Loan Amount Limited to £10,000
May not be suitable for those needing to borrow more than £10,000.

Why We Recommend the TSB Bank Graduate Loan

At WomanClub, we strive to highlight financial products that improve accessibility and financial management for our audience.

Here’s why the TSB Bank Graduate Loan stands out:

Tailored for recent graduates, ensuring a good fit for their financial profiles and needs.
The competitive APR of 12.9% offers a cost-effective borrowing solution for eligible individuals.
The loan remains available to individuals with less than perfect credit, making it inclusive for more recent graduates.
Great flexibility in how the loan can be managed—via app, Internet Banking, or in-branch for convenience.

How to Apply for the TSB Bank Graduate Loan

Applying for the TSB Bank Graduate Loan is straightforward, provided you meet the necessary criteria.

Here are the steps to get you started.

Access the official website

Visit a local TSB branch for personalized assistance.
Use the TSB Internet Banking service for a seamless online application.
Access the TSB mobile app to manage your application and loan details.

Frequently Asked Questions

Who is eligible for a TSB Graduate Loan?

You must be a TSB Graduate account holder for over three months, employed or have a regular income, and earn at least £850 per month after tax.

How much can I borrow?

Loan amounts range from £1,000 to £10,000.

What is the interest rate?

A 12.9% APR is representative for loan amounts between £5,000 and £10,000.

Can I set up the loan remotely?

Yes, you can apply via the TSB mobile app, Internet Banking, or visit a branch.

Are there repayment holidays available?

Repayment holidays arent specifically mentioned for the graduate loan, but TSB personal loans do offer up to two one-month repayment holidays annually.

What happens after three years of having a Graduate account?

Your account will transition into a Spend & Save account.

Final Considerations

The TSB Bank Graduate Loan is a solid choice for those freshly out of university and looking to stabilize their finances with structured repayment options.

Its availability to those with prior credit issues makes it even more accessible for a broader audience.

At WomanClub, we are committed to bringing you such insightful financial reviews to empower your financial choices.