Tag Archives: secured
Unemployed Loans – Timely Loan For Cash Requirements
When there is no job in hands, then it becomes harder to meet your cash needs for regular purposes or for starting a small business to support yourself. Unemployed loans may be a good option in such circumstances. Even if you have lost a job recently, these loans can help you in borrowing timely cash help.
However, the applicants should prove their repayment capability in order to get approval from the lenders. Tell the lenders the way you are going to have the money for timely repaying the loan installments.
It is advisable to take unemployed loans with a co-signer who has a good credit history for instant approval. The co-signer may be your parent or anyone who is willing to take responsibility to repay the loan. The co-signer will also be useful in borrowing the money at comparatively lower rate of interest.
These loans are available in secured or unsecured options. The secured loan requires you to borrow against a vehicle, home or any other valuable property as collateral. Such a loan comes at low rate of interest because of collateral. Depending on value of collateral, you can borrow up to £75000 or less for its repayment in 5 to 30 years.
The unsecured unemployed loans are given without collateral. But you will be approved smaller amount ranging from £1000 to £15000 for a shorter repayment duration ranging from few months to 10 years. But such loans carry higher interest rates.
Your bad credit history of late payments, defaults and CCJs is well taken care of if you can prove your repayment capability and if you take the loan along with a co-signer having a good credit history.
Compare as many offers of unemployed loans on Internet as the online offers of the loans are generally less expensive due to intense competition amongst the lenders. Make sure that you borrow the money to repay it on the due date of the installments.
How important is payment protection for a secured loan?
Your home is one of your dearest and most treasured possessions. So, taking loans against your home is definitely to some extent putting your home at risk. But, at times, when you need money to fund major concerns, you may require hefty amounts at low rates of interest. In such cases, only a secured loan can get you what you need and that too with flexibility in repayment terms.
So, how do you ensure that any future event won’t risk your house? You may decide to be regular with your monthly loan instalments, but can you guarantee what happens in the future? Definitely not! Future is unpredictable and so; one should not take any chances, especially when it comes to your home. So, why not take a payment protection scheme on your secured loan and protect your collateral.
All secured loan lenders provide the PPI that stands for Payment Protection Insurance. To define, PPI is the credit insurance that provides life insurance that pays a lump sum towards a loan upon the death, sickness, job loss, that makes the borrower incapable of paying the loan further. Thus, PPI helps the borrower in the following ways:
A secured loan is pledged against the borrower’s home and so, he should always opt for a PPI scheme. So that in case his is unable to keep up with the payments in future, the insurer will pay the outstanding debt to the creditor. The instalments you pay regularly to the insurer will be returned to you after the maturity of the loan. In case you decide to take the insurance cover from the same lender from whom you are availing your secured loan, there is a possibility that you may be able to get a refund back of your PPI at the end of the loan tenure in case its not been used.