Irish Life & Permanent has set up a new subsidiary which will provide personal loans by phone and internet.

Bluecubeloans will provide unsecured loans of up to €35,000 at rates the company says will start from 7.9% APR.

The new company says it will make loans available to customers 'who may have an impaired credit history', though it warns that these will attract higher rates depending on the circumstances of individuals.

The minimum loan will be €5,000 and the maximum interest rate will be 16.9%.