Remortgaging vs Secured Loans
Why choose a Secured Loan?
- If you need money for home improvements, or maybe you need to consolidate some debts that have got out of hand; a secured loan can unlock some of the value of your property – so that you can improve the overall value of your home, or be able to get debtors off your back by putting all your debts into one simple monthly payment.
- A secured loan can offer you substantially more than an unsecured loan, meaning that you can use more funds to do whatever you need to make your life easier. As the loan is secured on your property, the APR may well be substantially less than that of an unsecured loan.
- Had trouble getting a remortgage, or unsecured loan in the past? Secured loans will often consider applications even if you have CCJ’s, or a missed payment on your mortgage. The added security of the loan on your property means the lender can be more confident in lending you money, especially as it is will not be for the whole mortgage amount.
- Are you unable to remortgage your property because of a large Early Repayment Charge? A secured loan can applied for from another company, so your mortgage is unaffected but you can still unlock the funds that you need from your property.
- You can even take out a loan if you don’t own the whole property, on the condition that you do have some equity in the property on which to secure the amount.
- As with all secured debts, the amount available to you is dependant on many factors – amount borrowed, term of the loan, employment status, and obviously the equity held in the property as well as your credit history
