A secured loan is a loan that is secured against an asset, usually your house. Offering security for the loan lowers the risk lenders are taking by lending you money, as it provides a safety net in the case that you should default on your repayments. In return, secured loans are generally offered at much more competitive rates than unsecured loans, often making secured loans your cheapest borrowing option.
Depending on the value of your asset, with a secured loan you will generally be able to borrow larger amounts of money at lower interest rates. You will also have the choice to spread repayments over a longer period of time, making secured loans a very affordable way to borrow.
Secured loans are also a good option if you have a low credit rating and are finding it difficult to find an unsecured loan. If you have assets available to offer as collateral, you will find more lenders are prepared to offer a secured loan, and you will benefit from much better terms.
Secured loans are available at variable or fixed interest rate terms, and APRs also vary from lender to lender, making it hard to find the most competitive secured loan deal. Totally Money can compare the best secured loan deals available in seconds. Simply fill out the form to the right and we will find you the best secured loan for your circumstances.