Like many people, you may be in the process of looking for a loan. May it be a mortgage loan, personal loan, business loan, or just a quick cash loan.
Before getting together with a lender, it's important to know the different loan types out there and how they differ.
- Secured loans, are loans like mortgage loans, where there is an asset that the lender uses as collateral.
- Unsecured loans, are loans without collateral, where you credit score is the primary form of evaluating and deciding terms.
Interest rates on unsecured loans are much higher, especially if your credit score is less than ideal. Prior to getting a personal loan, it is a good idea to talk to multiple lenders, to see which one may have the most favorable terms for you.
Here are some popular reasons for a personal loan.
- debt consolidation
- credit card consolidation
- unexpected expenses (like medical bills)
- other large expenses (like vacation, house work, or wedding)
Before getting together with a lender, it's important to know the different loan types out there and how they differ.
- Secured loans, are loans like mortgage loans, where there is an asset that the lender uses as collateral.
- Unsecured loans, are loans without collateral, where you credit score is the primary form of evaluating and deciding terms.
Interest rates on unsecured loans are much higher, especially if your credit score is less than ideal. Prior to getting a personal loan, it is a good idea to talk to multiple lenders, to see which one may have the most favorable terms for you.
Here are some popular reasons for a personal loan.
- debt consolidation
- credit card consolidation
- unexpected expenses (like medical bills)
- other large expenses (like vacation, house work, or wedding)