To take out a secured loan, you need to put down a valuable asset (usually your home) as security. Here at Together we can accept almost any type of property as security, whether you live in a house, a bungalow or a high-rise flat, even if it’s made of non-standard materials like concrete or timber.
As you’re putting your property (or another valuable asset) on the line, there’s less risk for the lender compared to a personal loan so you may be able to secure a bigger loan and lower interest rate.
Secured loans are also called second-charge mortgages because they place a ‘second’ charge against your property behind your mortgage. It means in the unlikely event you can’t make repayments, your property would be sold and the first-charge (your primary mortgage) would be paid off first.
Not all high street lenders offer secured loans, which is why people may choose to borrow from a specialist property finance expert like Together.