MyFinances.co.uk
News feeds Free newsletter

All the latest personal finance news - helping you make the most of your money

Loans glossary

Secured Loan

A secured loan is money borrowed against an asset put up as a guarantee that the loan will be repaid.

Secured loans can be secured on almost any asset that is owned by the person taking out the loan - although the most common form of secured loan is a mortgage and the security therefore a house.

Opting to secure a loan generally means a larger sum of money can be borrowed, or it can be borrowed at lower rates than would otherwise be the case.

However, when taking out a secured loan, borrowers should be aware that failure to meet the debt repayments could result in the asset that the loan is secured against being seized by the lender.


Related articles 


Disclaimer:
myfinances.co.uk is not authorised to give advice under the Financial Services and Markets Act 2000.

Terms:
By using this site, you are deemed to have accepted our terms of use.

About Us | Advertise | Contact Us | Privacy
© 2004 - 2008 www.myfinances.co.uk

myfinances poll 

Is the current account market working for you? myfinances.co.uk is running a poll to get your thoughts on how your day-to-day banking is going.