Personal Secured & Unsecured Loans

Personal loans both secured and un-secured are a credible alternative to borrowing on your mortgage or in support of your mortgage. As the names imply an un-secured loan is one which is lent to you, the individual based purely on your credit rating and ability to repay it. A secured loan while based on the same criteria is secured against your home giving the lender the same security as with a mortgage. Consequently if you do not keep up repayments on a secured loan you could lose your home.

Personal loans can be taken out by anyone subject to approval, but tend to be for smaller amounts of money from £5000 to £25,000 unsecured, but up to £75,000+ for secured. They tend to be quicker and cheaper to arrange than a mortgage but usually at the expense of a higher but still competitive rate of interest. That said this can still be more beneficial than incurring a redemption penalty if you had to move your main mortgage to do so.