What is a Secured Home Loan

In the not so distant past a secured home loan was seen as an expensive option in comparison to unsecured loans. This was mainly due to the fact they were only available through loan specialists and brokers. However, because of the credit crunch reasonably priced unsecured loans are becoming more difficult to find. This is mainly due to lenders becoming stricter about who they will offer a loan too.

Therefore, secured home loans are becoming more of a popular option. If you are looking to borrow a sizable amount and want to spread the repayments out over more time, a secured home loan will probably work out cheaper for you. Small and short loans are best suited to unsecured finance. While the conditions for borrowing on a secured loan have become much more modern, they are still much stricter than your average unsecured loan.

According to Money Supermarket the average secured loan in Britain is £10,000 taken out over a period of seven years. The maximum secured loan is somewhere between £50,000 and £75,000 depending on the lender.Terms do not usually exceed 25 years but again it is dependent on lender. The most important thing to remember when considering taking out a secured home loan is the fact you risk losing your home if you cannot meet the repayments.

Norton Finance offer secured loans starting from £3000 to £500,000. These figures depend on an individual's circumstances and the repayment terms range from 1 to 25 years. Their APR does vary and is usually somewhere between 9.9% and 14.9%. Apple Loans are an internet firm who pride themselves on tailoring your secured loan to suit your individual needs. An person with good credit, looking to borrow £15,000 over a five-year period can expect to pay around £315 a month.

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