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Welcome to the Loan Type Section
This section provides information on different types of loans and finance that are available for a wide range of purposes.
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SECURED LOANS |
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A secured loan is only available to homeowners. This type of loan uses your home as security but there are also a number of benefits. A secured loan can be repaid over a longer term than unsecured borrowing. Secured loans over 25 years are not uncommon and there are lenders/brokers that offer secured loans up to £100,000.
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UNSECURED LOANS |
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These type of loans are ideal for homeowners looking for unsecured borrowing. The maximum amount for an unsecured loan is usually £25,000. This makes it a regulated loan by the Office of Fair Trading (OFT). Typically with this type of unsecured loan, repayments can be made over 5 years and sometimes as long as 7 years. Tenants with a good credit rating and a provable income can also apply for an unsecured loan.
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TENANT LOANS |
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These type of loans are ideal for tenants and most circumstances are considered. The amount you can borrow varies between lenders. The usual maximum for a tenant loan is £10,000, although amounts up to £25,000 are available from some lenders to tenants with a good credit history.
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MORTGAGES |
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A mortgage is used for buying a house or flat. This type of loan is secured on your property and as it is a first charge on the property this loan is known as a mortgage. There are many different types of mortgages available but this is outside the scope of this section. |
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COMMERCIAL MORTGAGES |
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This type of loan is usually for buying any type of commercial property. Typically commercial mortgages start at £25,000 and there is no maximum amount. The maximum amount is determined by LTV (loan to value). Applicants can borrow up to 80% LTV and in some case 85% LTV without any security. With additional security it is possible to borrow up to 100% of the purchase price. Security would normally be in the form of another commercial or residential property.
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