Can I Get a Top Up on a Personal Loan or Payday Loan?

Last updated on January 8th, 2026 at 01:05 pm

Home » Can I Get a Top Up on a Personal Loan or Payday Loan?

Estimated reading time: 6 minutes

You can get a top up on a personal loan with some lenders, but payday lenders rarely allow top ups because of stricter affordability rules and FCA regulations. A loan top up means increasing the amount you originally borrowed, either by extending your current loan or replacing it with a new one. MoneyHelper explains how lenders reassess affordability each time you borrow, even if you are an existing customer.

Top ups are more common with personal loans than with payday loans because short-term lenders must follow tighter rules designed to stop repeat borrowing. The FCA outlines how high-cost short-term credit is regulated and why lenders must carry out fresh checks every time you apply. Whether you qualify for a top up depends on your repayment history, your credit score and what you can realistically afford.

Some personal lenders allow you to apply for a top up through your online account, while others require a full new application. Payday lenders will require a completely new affordability assessment, even if you have borrowed from them before.

How Does A Loan Top Up Work?

A loan top up works by increasing your existing loan or replacing it with a new, larger one. Most lenders settle your old loan first and then give you the remaining amount as new funds. This means you end up with just one repayment to make each month, even though the loan size has increased.

For example, if you owe £2,000 on your existing loan and apply to top it up to £4,000, the lender will clear your £2,000 balance and pay you the extra £2,000. Your monthly repayment will rise because your loan amount has increased, but you may also see a change in interest rate or loan term depending on the lender’s rules.

What Criteria Do Lenders Check Before Offering A Top Up?

Lenders check your repayment history, income, credit score and overall level of debt before offering a top up. Your existing loan needs to be well managed, with no missed or late payments. Lenders also run fresh affordability checks to confirm you can afford the higher repayment amount.

If your financial situation has changed since taking out your first loan, that will also affect your chances. Higher monthly expenses, reduced income or increased debt elsewhere can make lenders decline a top up, even if your first loan has been well managed.

Do Payday Lenders Allow Top Ups Or Repeat Borrowing?

Most payday lenders do not allow top ups, but some may allow repeat borrowing after the existing loan is fully repaid. FCA rules require lenders to check affordability each time you apply, even if you are an existing customer. This means there is no guaranteed approval, no automatic repeat loans and no ability to simply increase the amount mid-loan.

Payday lenders also must ensure borrowers are not trapped in a cycle of repeat borrowing. Because of this, many short-term lenders limit how often you can apply in a given period or require additional checks if you’ve borrowed recently.

How Does Topping Up A Loan Affect Your Credit Score?

Yes, topping up a loan affects your credit score because it increases your overall debt and creates a new credit agreement on your file. Even if the top up replaces your current loan, the new loan will appear as fresh borrowing, which can temporarily reduce your score.

Your score may fall at first because lenders see the increased balance as a higher risk. Over time, as long as you make repayments on time, your score can recover. The key factor is whether you take on more debt than you can comfortably manage.

Is It Better To Top Up A Loan Or Apply For A New One?

Whether it is better to top up a loan or apply for a new one depends on your interest rate, your lender’s fees and your repayment terms.

A top up from your current lender is usually faster and simpler because they already know your history. However, a new loan from another lender might offer a lower interest rate, especially if your credit score has improved.

It is worth comparing offers before choosing. A top up can be convenient, but it may not always be the cheapest option.

What Are The Risks Of Topping Up A Loan?

The main risk of topping up a loan is that you increase your debt and extend the amount of time you stay in repayment. Taking on more credit can also make you dependent on borrowing, especially if you use top ups to cover everyday expenses rather than one-off costs.

Another risk is paying more interest overall. Even if your monthly repayments stay manageable, extending your loan or increasing the balance usually means paying interest for longer. If your financial situation worsens later, the larger loan may be harder to keep up with.

What Alternatives Are There To Topping Up A Loan?

There are several alternatives to topping up a loan, depending on your situation. Some people choose to apply for a separate personal loan, especially if they can secure a lower interest rate. Others consider a credit card with a promotional rate, a credit union loan or borrowing from family.

If your debts are becoming difficult to manage, a debt consolidation loan may help you bring everything into a single payment. For anyone struggling financially, speaking to a free debt advice service is often the safest next step.

Can A Lender Refuse A Loan Top Up Request?

A lender can refuse a top up request if your credit score has dropped, your income has changed, or you already have too much existing debt. Even a single late payment can affect approval. Lenders are required to ensure repayments are affordable, so if the increased loan would stretch your budget too far, they will decline the application.

This does not stop you from applying elsewhere, but too many applications in a short time can harm your credit score.

Should You Top Up A Loan If You’re Struggling Financially?

You should not top up a loan if you’re struggling financially because increasing your debt rarely fixes long-term money problems. While a top up may provide temporary breathing room, it also raises your monthly repayments or extends the loan term, which can make things harder later. If you are already finding your payments difficult, taking on more borrowing may increase the risk of missed payments and damage your credit score.

In this situation, it is better to reduce your expenses, speak to your lender about repayment plans or seek independent debt advice.

What Should You Do Before Asking For A Loan Top Up?

Before asking for a loan top up, you should check your credit score, review your monthly budget and make sure you can afford the higher repayment. It is also sensible to compare rates from other lenders and consider whether a new loan might be cheaper. If your finances have changed since your original loan, be prepared for a more detailed affordability check.

Taking a moment to review your options helps you avoid taking on more debt than you need.