If you’re looking to rebuild your credit, a secured personal loan can help. Since secured personal loans offer a structured repayment schedule, most people find it easy to stay on track with loan payments (especially when compared against revolving credit). Over time, consistent on-time loan payments will reflect positively on your borrowing history, and can positively impact your credit score.
A lot of people choose to consolidate their debt (specifically credit card debt) with a secured personal loan. In this case, a secured personal loan is a better option than a HELOC since you’ll likely benefit from a more structured repayment plan. By consolidating your debt with a secured personal loan, you’ll end up paying down your debt faster (usually at a lower rate) and rebuilding your credit at the same time. It’s a win-win.