Who Is Eligible To Apply For A Secured Loan And How Much Can I Borrow?

Typically, anyone over 18 who is a homeowner and currently resident in the UK. Joint owners, however, usually must apply jointly for a secured loan if they are both resident in the property against which the loan is to be secured.

A major feature of the secured loan is their ability to permit borrowers to lever the value of their home to maximum advantage by using the property's equity to release large amounts of cash in the form of a loan. Depending on the property and the individual circumstances of the borrower, the amount that it's possible to borrow can be from £5,000 upwards. Repayment periods for a secured loan are also much longer than other forms of credit, ranging from five years to 25 years.

All in all, secured loans offer more flexibility for a borrower including:
• cheaper interest rates
• longer repayment periods
• and higher loan amounts.

The actual details of a secured loan vary depending on the borrower's personal circumstances. Among the factors determining the interest rate to be paid are the amount being borrowed and the repayment period.