Halifax has cut the rates on its Clarity Loan, being now available from 4.9%.

The lender has reduced the representative APR on the Clarity Loan by one percentage point. It offers a representative APR of 4.9% on loan amounts from £7,000 to £15,000.

Through the Clarity Loan, Halifax allows customers to pay off their loan early without incurring an early settlement adjustment.

The Halifax Clarity Loan is available to existing current account, mortgage and credit card customers.

John Hunter-Brown, head of Halifax Personal Loans, said: “We are always looking at new and innovative ways to support our customers with products that are simple and straightforward to understand.

“Since launching our Clarity loan earlier this year we have seen a significant increase in customer satisfaction measure. Customers tell us that they value the ease of application, speed of funds and flexibility of repayments that the product provides them.

“The reduction in our rates on the Clarity Loan further displays our commitment to providing customers extra and helping them stay in control of their money. We understand the importance people place on controlling their finances and so always look for ways allowing them to manage their money in a way that best suits them.”