Here’s where a large loan might help you. 

Please forgive the “Carry On Borrowing” reference, but it seems more people are now using secured loans for very large loan amounts.

Go back 10 years and the average loan was £20,000 to £25,000

Now large loans of £100,000 to £200,000 secured loans are more common

Here are some typical reasons you may not be aware of:

Debt consolidation – secured loan

lenders are far more willing to consider large amounts of debt consolidation than most first mortgage lenders. We have arranged loans well over £100,000 mainly for debt consolidation

High LTV – No equity

Secured loans could allow you to borrow up to 100% of the value of your property to release can for personal or business use.

Secured Loans for poor credit

If you have poor credit you are more likely to be accepted for a secured loan than a remortgage. Also a remortgage may mean paying a higher rate – it may be cheaper to keep the mortgage and just have extra borrowings on the loan.

The property type

Construction or property condition may not be catered for by the most competitive mortgage lenders. A secured loan could be the answer.

Tied in to a fixed rate mortgage?

Rather than remortgage to raise cash you can look at a secured loan with a variable rate or a 2 year / 5 year fixed rate with no early redemption charges – then you could remortgage at a later date when there are no penalties.

Loan Purpose

Sometimes the loan purpose restricts the choice of remortgage lender and increases the remortgage rate available – eg business purposes, tax etc – It’s often better to borrow the extra amount on a secured loan and keep the low mortgage rate

The good news is that Promise Money will look at both the secured loan and remortgage options to help you raise cash – compare the costs – and then advise you which is suitable.

So whether you are thinking of a loan or a mortgage, it makes sense to talk to Promise Money

To arrange a no obligation chat with an adviser, please call 01902 585020 or visit