Refused a loan? Why grants can beat borrowing
A refusal can be a blessing in disguise if it pushes you towards a grant rather than a loan, because grants do not have to be repaid. For many essential needs, there is support that meets the cost without adding to your debt at all. Knowing where to look means you can often solve the problem more safely than borrowing ever would.
See everything you may qualify for — benefits, grants, reductions and reliefs — in about 3 minutes. Free to check.
Check what you're owed →The fundamental difference between a grant and a loan is repayment: a grant is money you keep, while a loan must be paid back, often with added cost. For genuine need, that makes grants the safer and smarter option wherever one is available, especially when borrowing has already been refused.
Grants exist for a wide range of circumstances. Local councils run the Household Support Fund and welfare assistance, charities provide grants for all sorts of situations, and Turn2us is a free service that helps you find grants you may be eligible for. Many people simply do not realise how much non-repayable support exists.
Because eligibility depends on your circumstances rather than your credit file, grants are often open to you even when loans are not. Running an entitlements check alongside a grant search is the most effective way to meet a need without taking on any new repayment.
Find grants instead of borrowing
- Search Turn2us. Use the free Turn2us service to find charitable grants you may be eligible for.
- Ask your council. Check local welfare assistance and the Household Support Fund for help with essentials.
- Match to your situation. Look for grants aimed at your particular circumstances, as many exist.
- Add an entitlements check. Run a benefits check alongside your grant search to cover the whole picture.
Frequently asked questions
- What is the difference between a grant and a loan?
- A grant is money you do not repay, while a loan must be paid back, often with added cost. For genuine need, grants are the safer option where available.
- Where do I find grants?
- Local councils run welfare support and the Household Support Fund, many charities offer grants, and Turn2us is a free service that helps you find ones you may qualify for.
- Can I get a grant if I have bad credit?
- Often yes. Grant eligibility usually depends on your circumstances rather than your credit file, so they can be open to you even when loans are not.
MoneyFinder is an independent sign-posting service that helps you find financial support you may be entitled to. We are not a government body and do not provide financial advice. Figures are taken from the official sources cited above and were correct when last checked — always confirm current details on the linked GOV.UK pages.