Information and how to shop for Secured Personal Loans
Written by: Luke Ashworth
What is a Personal Secured Loan?
A personal secured loan is a non-business loan secured with some
type of collateral. Personal secured loans are secured using the
assets of the borrower. The lender has the right to sell the
borrower's collateral in the event that the loan is not
satisfactorily repaid. Typically, the borrower's collateral must
be something of high value, allowing the lender to feel
comfortable in granting the loan because of the collateralized
property's resale value.
Personal secured loans in the UK are often referred to as
homeowner loans. This is because the collateral used to secure
the loan is the borrower's equity in his or her home. However,
some lenders are willing to accept other things as collateral
instead of home equity.
People obtain personal secured loans for a variety of reasons.
Some choose to use the money to make home improvements, while
others choose to pay off debts. Still others use loan funds for
education, buying a new automobile, or even taking a vacation.
When you obtain a personal secured loan, you may use the money
in any way you choose.
Personal secured loans offer many benefits over their unsecured
counterparts. For example, interest rates on personal secured
loans are often lower than those for unsecured loans. With
high-value collateral providing a guarantee of repayment, many
lenders feel free to allow for lower interest rates. Personal
secured loans frequently have better repayment terms as well.
Furthermore, even those with damaged credit can obtain the loan
money they need with sufficient collateral.
Shopping for a Secured Personal Loan
The Internet is a truly amazing tool. With just a few clicks of
a mouse, you can have a wealth of information at your
fingertips. Why not use this readily available knowledge base to
assist you in your search for secured personal loans?
Just surf your way over to any search engine, type in the words
"secured personal loan" and you are sure to finding a plethora
of online lenders. Take the first 10 listings presented by the
search engine and browse the lender websites. Many lenders post
useful information about personal loans, from such topics as
requirements and eligibility to the application process and
repayment options. Read as much as you can about obtaining a
loan. Information is power and when you know what to expect, you
are able to take the right steps to obtain the right loan deal.
Often, you can obtain loan quotes by filling in a simple,
user-friendly online form. Most online lenders, however, have
telephone numbers posted on their websites, allowing you to
speak to a loan officer or customer service representative, if
you have questions or concerns. Some online lenders even provide
handy loan calculators for you to use when estimating the amount
of loan you can afford or your monthly payment amount. Keep in
mind, that loan calculators only serve to estimate loan amounts
and do not provide actual loan quotes.
Use the Internet to obtain loan quotes and compare them to
determine the loan that will offer you the best interest rate
and loan terms. After you've selected the right loan for your
particular needs, go ahead and submit an online application.
What could be easier than searching and applying for a secured
personal loan, right from the comfort of your own home?