Getting Bad Credit Secured Loans Has Never Been Easier!

Melinda (Milli) Haine Melinda (Milli) Haine | Loan Underwriter

If you are someone with less-than-stellar credit rating, you know how difficult it can be to obtain new credit when you most need it. Lenders are not always willing to give cash to borrowers they deem to be risky. However, if you own a home, your credit problems could be a thing of the past. Bad credit secured loans are available from many lenders willing to allow you to borrow against the equity in your home.

image one

The main advantage of the secured loan is that it looks beyond credit issues as long as the borrower has sufficient equity. Lenders are willing to make these sorts of loans because they always have the option to repossess and sell the borrower's property in the event of default. In light of that, understand that there is always a potential risk when you borrow.

If you cannot afford to make your loan payments down the road, you could very well lose your home. So make sure your budget will accommodate monthly payments without any stress to your finances. Keep in mind that changing interest rates may cause your payments to go up in the future.

Fast Approval

Getting fast approval is yet another reason to appreciate bad credit secured loans. After comparing the different loan products in our whole of market comparison tables, you can choose the best lender deal and get one of our experts to help you make an immediately application. Our experts know which lenders will give you preliminary approval in just a few minutes. In many cases, the entire process can be completed in one business day.

The only catch with fast approval is how you accept delivery of your funds. A bank or building society may charge you extra to have funds deposited into your bank account within a couple of hours. Be sure to ask about such fees before you agree to immediate delivery. You might be better off waiting a day or two so that you do not incur the extra charges.

Please also keep in mind that preliminary approval does not guarantee you will get the rates and terms you are looking for. Your application will still have to be reviewed by a loan officer who will verify the information provided. Based on that review, you may end up paying a higher interest rate or be presented with less favourable terms. You can always turn down a loan offer that comes back as unacceptable.

Low-Cost Loans

Secured Loan Expert always recommends consumers compare poor credit secured loans just as they would car insurance or energy tariffs. There are many different lenders offering products with different interest rates and additional fees and charges. Our definition of a low-cost secured loan is one that combines the lowest possible interest rate with the fewest charges. The only way to know this is to compare loan products side-by-side.

We make comparing secured loans easy by showing you offers from the UK's biggest names in consumer lending. These offers are only estimates until you gain approval, but they will help you put together a short list of lenders from whom you are most likely to apply. Then you can talk to our experts who will help you to choose the best options depending on your personal circumstances.

Pay attention to three important numbers when you are comparing – representative APR, loan-to-value (LTV) ratio, and loan term. Representative APR is a number that estimates the combination of annual interest and additional fees and charges. LTV ratio tells you the percentage of the equity in your home that you will be able to borrow against. As for loan term, that's the amount of time you'll have to repay what you borrow.

These three numbers define the total cost of borrowing. If you are looking for a low-cost loan, you need to analyse the numbers carefully in light of your current budget. They are the numbers that will really tell you whether you are getting a good deal or not.

We recommend bad credit secured loans for people who have home equity. This is one type of consumer financing that looks beyond credit issues, allowing you to borrow tens of thousands of pounds over a long period. It is one of the best types of consumer financing out there.

Instantly compare 950+ of the UK's best secured loans

Rates from as low as 3.75%