Britons are turning to the internet for extra privacy when managing their loans, new research shows.

The survey from Lloyds TSB revealed that two-fifths (43 per cent) of British consumers said that they would feel more comfortable applying for a loan online rather than speaking to someone.

And it isn't just loans that people prefer to sort out on the internet, with 38 per cent of consumers more likely to apply for an overdraft online and 32 per cent saying they would prefer to apply for a credit card on the web.

Around 54 per cent of the population now prefer to do their banking online, the survey found.

Saving time was the most popular reason among respondents for dealing with finances on the internet (87 per cent), while 70 per cent thought that banking online made their life easier.

"Money is one of the few subjects that many people still feel uncomfortable talking about, even with their bank," said head of internet at Lloyds TSB, Anita Hockin.

"Internet banking has become increasingly popular in recent years, not just because it's convenient, but because it gives people privacy when it comes to managing their money."

Around nine in ten people said that banking online took the stress out of managing their finances.

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