Is a secured loan right for you?

When looking to take out a secured loan, it is important to consider all angles to work out whether it is the best option for you.

Secured loans are available for much larger amounts than personal loans, which generally only go up to around £25,000. If you are looking to take out a much larger sum of money than what is available to you with a personal loan, a secured loan may be the more appropriate option for you.

For those with a slightly tainted credit history, secured loans mayactually be the only option available to you. They may be easier to qualify for due to your property acting as security for the loan, meaning that although there is increased risk, lenders are more likely to provide the loan as your home will act as a guarantee for payment to be made.

Repayment periods on secured loans can also be longer, while the fixed monthly payments should make it easier to manage the repayment plan, however, failure to keep up with repayments on a secured loan could put your home at risk.