Secured Loan
Secured loans are available at banks, building societies and other
leading financial institutions and require security to be offered
against the debt, such as your house or car.
A lump sum is borrowed in return for making regular repayments
usually via direct debit and paid monthly. The repayment period
is fixed and is usually anything from 3 years up to 25 years. The
sum borrowed from £3,000 anything up to £1,000,000+.
The amount you can borrow depends on the value of your security.
Interest is charged on the loan and this can be fixed or variable.
A secured loan is usually fixed through out the repayment period
but can be variable for longer repayment periods; you will be informed
of this when you set up the loan.
The interest you pay will be quoted in terms of an APR, annual
percentage rate, and is the rate that you should use as a comparison.
When a rate is quoted it will usually be the typical APR, which
is the rate, offered to over 50% of successful applicants.
The exact rate you will be offered depends on the amount you want
to borrow, the repayment period and your own personal circumstances.
A secured loan can be used for any purpose, as long as it's legal,
although there are some restrictions on using an unsecured loan
for business or investments.
A secured loan is available to people who have a good credit rating
as well as to people who have credit rating problems.
Secured Loan lenders
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