secured loan providers

Secured Loan FAQ

Below you will find a list of commonly asked questions regarding secured loans
To apply for a secured loan simply complete the application form below
homeowner loans
Think carefully before securing other debts against your home. Your home may be repossessed if you do not keep up repayments on your mortgage.
Loans subject to status and secured on residential property by way of a second charge. Consolidating debts may increase the term and total amount payable. A broker fee of up to 15% may apply. Minimum age 18 years.


Frequently Asked Questions

What is a Secured loan?
A Secured loan is essentially a second mortgage on your house, as in order to borrow finance the lender requires security to lend. This means that the second charge on your house sits behind your existing mortgage (your first charge).

Why a Secured Loan and not a Personal Loan?
Personal loans can be more expensive as you are unable to spread the payments over as long a term as a secured loan. Also, obtaining finance with the high street banks is very difficult given the current economic climate and they will not accept any adverse credit where secured loan lenders do.

How long does it take to get a decision?
We are able to get an agreement ‘in principle’ the day we speak to you and will also issue a loan offer to the client. You are under no obligation until the loan completes.

How long does it take to process my secured loan?
This can vary depending on the loan and the lender. We will aim to keep you up to date during the process and will be able to give an estimate on the timescales.  We aim to complete every loan as soon as possible.

I jointly own my property; do I need to do a joint secured loan application?
Yes you do. If you jointly own a property, both parties have to agree to the loan.

I am married, but my partner is not on the mortgage. Do I need to do a joint application?
Yes, if you are married you both have an interest in the property; therefore a joint application would need to be made.

What information will I be asked for?
If you decide to proceed there will be some additional information required such as proof of income and proof of address. Every application is different and you will be provided with a personalised list of requirements along with the loan documents. Depending on the lender the following can be used as proof of income:

Employed Self Employed
Payslips Bank Statements(Sole Trader Only)
Bank Statements Accountants Reference
Employers Reference Self Assessment Tax Returns
Confirmation of DLA/DSS/Pension Income

 

Will I have to pay any fees?
There are no upfront fees to complete an application for a secured loan. We will charge a broker fee if you proceed with the loan. The fee will be added to the amount you borrow, which you then pay interest on, but this will be incorporated into the monthly payments. Some of our lenders may also charge a lender fee. This also is only charged if you proceed with the loan and is added to the amount you borrow.

How much can I borrow and what term can I repay it over?
You can borrow between £1,000 to £1,000,000, depending on the value of your property and the current mortgage amount outstanding. You can repay the loan up to a 30 year term.

Are there any age restrictions?
We can lend between the ages of 18-80 years.

What can Secured loans be used for?
Generally any legal purpose. Majority of people take out a secured loan to consolidate debts, home improvements, if they currently have a low tracker rate and do not want to remortgage to a higher rate to obtain finance, also if they have been refused by the high street lenders.

Will a credit search be done and will it affect my credit rating?
Yes we will have to carry out a credit search to process your application. This may affect your credit rating as it is used by the lender when deciding whether to lend money to you.

Repaying the Secured Loan?
Your home may be repossessed if you do not keep up your repayments.

© Copyright Secured Loan Providers 2019
Secured Loan Providers is regulated by the FCA registration no : 0658837