So what are secured loans? If you’re shopping around for the best secured homeowner loans or just looking to learn more, this is the guide for you.
What is a secured loan / homeowner loan?
Secured loans – also known as homeowner loans – offer a way to borrow larger sums of money by using your home as equity.
Homeowner loans are aimed at those with a non-existent or bad credit rating as the risk the bank is taking is minimised. The risk is great though as if you fall behind on your payments you might lose your home.
Does the best secured loan exist?
Secured loans are subject to market forces and competition amongst providers. There are multiple providers whose rates change regularly with low rates of interest being offered to attract customers.
Shopping around and comparing secured homeowner loans, rather than responding to the first ad you see, means you are more likely to find the best deal for you.
Access the best secured loans deal
Previously if you wanted to compare personal loans, you were often faced with a limited choice of providers to compare. This is because certain secured loan providers only worked with loan brokers and were not available directly to the general public.
uSwitch works directly with suppliers and trusted brokers to ensure that you can compare the widest selection of loans available. By working only with reputable brokers and direct loan providers we aim to protect you from the pitfalls of borrowing from the wrong type of provider.
Secured loans and bad credit
Secured or homeowner loans can offer the opportunity to borrow money for customers who have experienced money issues in the past and have damaged their credit history as a result. A secured loan can be your best deal as:
- you are more likely to be accepted for a secured loan rather than a personal loan
- the interest is likely to be more competitive than personal loans which are available to customers with adverse credit
- the repayment term can be longer
However secured loans work because the provider has the security of your property to fall back on if you default on your payment. A secured loan needs a lot of careful thought to ensure you are 100% confident you can meet the monthly payments over a number of years and will not find yourself in a situation where you could lose your home.
Secure your best secured loan deal now
To find your best secured loans deal use the uSwitch.com secured loans comparison table. We compare the widest selection of available secured loans available to make finding the best deal quick and easy.
- Credit Unions Banks and payday lenders aren’t the only places you can get a loan
- Guaranteed No Credit Check Cards Some cards may not require a credit check
- How To Strengthen Your Credit Rating Good credit will determine whether you’re offered credit and at what rate