looking for a secured loan ?
loans enable homeowners to borrow capital and offset
some of the risk against the value of their property.
Practically this means that anyone taking out a secured
loan is beneficially using his/her property to guarantee
the loan. Of course if the borrower continually falters
with repayments the consequences could be disastrous. But
secured loans have a number of distinct benefits over other
types of borrowing.
Lower risk means that banks and building societies can pass-on
some of their savings (made on insurance etc) by offering much
better interest rates to property owners. However, attractive
Annual Percentage Rates is not all what they offer.
If you have your own home (or pay a mortgage), then opting for a
secured loan indicates to the lender that if you are unable to
keep up the payments, the value of your home which is your
"equity" will be able to help to pay back the loan - hence it is
called 'secured loan'.
In addition, people wanting to borrow a huge sum may find it difficult to
get an unsecured loan of this amount, but it is easier with a secured loan.
This gives the lender of the loan a more secure sense of you as
a borrower and hence:-
* It becomes easier to borrow large amounts of money.
* Interest rates for your loan tend to be lower.
* Your chances of receiving a loan are higher.
* You pay less for borrowing the secured loan.
Secured loans come with all sorts of flexible repayment terms,
Clauses to keep an eye out for include: ‘payment holidays'
whereby you can halt repayments for an agreed period of time in
order to divert capital elsewhere and favorable redemption
charges - so you won't be stung if you want to pay the loan back