secured loan providers

Secured Loan Process

Below you will find an explaination of how the secured loan process works
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.

How The Secured Loan Process Works

Stage 1 - initial fact find

During that initial call we will carry out a basic fact find. Although the loan amounts on secured loans are generally much lower than on bridging loans, the secured loan fact find is actually much more detailed as a far greater emphasis is placed on income and affordability.

The fact find will cover off areas such as:

• Full name, DOB and three years’ of addresses

• Details of the property being used as the security

• Employment status, e.g. employed, self-employed

• If self-employed, limited company or sole trader?

• Availability of proof of income, e.g. payslips, accountant’s details or SA302?

Once we have all this information we will know whether or not the application is likely to succeed and with which lender.

Stage 2 - searches

Nine times out of 10 we will be able to offer an instant decision and indicative terms subject to credit and Land Registry searches, which we ask the broker to approve on behalf of the client.

Once the results of the searches come back, we will then know 100% whether or not the loan application can go ahead.

Depending on the results of the credit search, the loan could be offered on slightly amended terms, e.g. a higher interest rate or a lower LTV.

Stage 3 - client contact

At this point, if the broker didn’t ask us to deal with the client directly from the very start (this can happen), we will ask for his or her permission to speak to the client direct.

The client will be talked at length through all fees, the size of the loan, its terms and conditions and all other relevant information.

At this point, how the application proceeds depends on whether or not the loan is secured against the applicant’s main house or a buy-to-let property.

If the former, it will be classified as a CCA-regulated loan, while a loan secured against a buy-to-let property will not be regulated. Let’s look at CCA-regulated loans first.

Stage 4 - CCA-regulated loans

With CCA-regulated loans, once someone at Enterprise has called the client and talked them through the details of the loan, we will issue a pack containing all the relevant loan documentation, which the client must fill in and return.

They will be required to formally provide full proof of ID, address and proof of income, e.g. SA302, accountant’s details, pensions awards letters or payslips if retired, or even proof of benefits.

Essentially, everything that was discussed with the broker in the first call will now need to be supplied by the client.

During the call, we will also explain to the client that we will not be in touch during the next eight days, as we are required to enter into a legal consideration, or ‘cooling-off’ period. The same applies to the client’s broker.

Eight days later, and presuming we have received back all the information requested in the first pack, we will send the client a second pack of documents containing the legal credit agreement and the mortgage deed.

At this point, we then enter into a second 8-day cooling-off period but this period can be broken once the legal credit agreement and mortgage deed have been returned.

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