No_Collateral__Don_t_Want_To_Risk_Your_Home__Get_Credit_With_Unsecured_Loans

Document Sample
No_Collateral__Don_t_Want_To_Risk_Your_Home__Get_Credit_With_Unsecured_Loans Powered By Docstoc
					Title:
No Collateral? Don’t Want To Risk Your Home? Get Credit With Unsecured Loans


Word Count:
610


Summary:
If you are a tenant and do not have anything to offer as the collateral to a lender- unsecured loans are for
you. These come without any collateral and are given after a check on the creditworthiness and repayment
capacity of the borrower. Many people who otherwise have a home, but do not want to risk it as the
collateral also find unsecured loans very useful. Read this article to know more about unsecured loans.



Keywords:
Secured loans,secured personal loans,secured debt consolidation loans,Unsecured loans



Article Body:
The striking increase in the collateral repossession rates in UK is becoming a concern for borrowers, who
have taken secured loans. Taking this fact into consideration, a borrower, who is not absolutely sure of his
financial future, would not like to put his home at risk. Besides this, sometimes a person might not have
anything to offer as the collateral for the secured loan. With all their restraints and preferences, people like
these, can get the desired credit by unsecured loans.


As indicated by their name unsecured loans do not require any collateral or security. The lenders, unlike the
case of a secured loan, do not ask the borrower to pledge his house to avail the loan. Before giving an
unsecured loan the lender verifies the credit history of the borrower. He might take the help of credit rating
agencies like Experian and Equifax for this purpose. The lender will also satisfy himself about the
repayment capacity of the borrower. The sign of a good lender is that he won’t carry out a credit and
background check on a borrower, without his explicit concurrence.


<a href="http://www.easyfinance4u.com/unsecured_personal_loan.html">Unsecured loans</a> come with
many benefits. The approval for such loans is very quick. Since, there is no need for the valuation process of
the collateral, time and money are saved on this front. Unsecured loans are readily available to those who
live as tenants and those having an adverse credit history. Taking an unsecured loan also averts the risk of
collateral repossession. Unsecured loans find a wide spectrum of usage; from debt consolidation to financing
a holiday, buying a new car to immediate home improvements - the list is ever increasing.


The element of risk is far greater for the lenders when they give unsecured loans. The obvious reason for
this is the lack of collateral. Lenders do not have anything to bank upon in case a borrower defaults in his
repayments. To compensate for the inherent risks, unsecured loans come with a higher rate of interest. The
typical APR’s of an unsecured loan can range from 7% to 30%. If a lender finds a borrower with good credit
history and a dependable repayment capacity, he will not hesitate in giving a good interest rate. The
repayment term for an unsecured loan starts from six months and can go up to ten years. Due to the lender’s
concerns, unsecured loans do not offer large sums. An average borrower can get an unsecured loan for any
amount between £1000 and £25000.


The lending market in UK is teeming with lenders who provide unsecured loans. Borrowers today, are
surrounded by flashy advertisements and lucrative offers. The borrower will have to make a sincere effort,
to clinch the best deal from the numerous offers scattered before him. Before reaching on any decision the
borrower should consider his financial position, the amount he wants to borrow and the repayment schedule
he will be easily able to afford. Based on these requirements he should look for the lender who provides the
best possible offer on APR, loan amount and the right repayment options.


The best lenders use the most modern means to become efficient. In this pursuit they establish an Internet
presence and offer online application and approval facilities. Searching for these lenders is very easy and
can be done by using any popular Internet search engine. Borrowers should take the advantage of these
online lenders. By promptly submitting a duly filled up online application and supporting his case by proper
information regarding his credit history, income details and bank statements, a borrower can get an
unsecured loan very quickly.




Credit Dispute Letter

				
DOCUMENT INFO
Shared By:
Categories:
Tags:
Stats:
views:1
posted:1/7/2012
language:
pages:2
hashournonos hashournonos
About