In the past previous to the credit crunch all types of loans were readily available. Loans were freely flying about like pieces of confetti.
There was even a good availability of loans for tenants that is for those who do not actually own their own home but rent it from a housing association, a local council or a private individual.
There have always been firms such as Provident and Shop A Cheque who granted unsecured loans to tenants and homeowners alike, but at very very high rates of interest
Welcome Finance used to advance both secured and unsecured loans to both tenants and homeowners, and although their interest rates were high, it was a useful product which did allow tenants to borrow the money they needed. Unfortunately after many years of profitable trading, Welcome closed their doors, and this left tenants out on a limb with very little options of obtaining a loan.This is a most unfortunate situation., and one that could not be fore seen.
The situation is such that if a non homeowner really needs a loan, they are forced to go to one of the many pay day loans firms which have sprung up and their loans have interest rates of often almost 2000%. Yes 2,000%, and this is not a typing error.
There always have been money lenders in the major cities of the UK and the poorest of individuals have always had to avail themselves of their services. Now however those who would not have dreamed of obtaining money from these illegal money lenders are being forced to do so, again at unbelievably high rates of interest.
Homeowners are in the enviable position of being able to apply for secured homeowner loans at the excellent rate of about 9% if their credit rating is good.
Even homeowners with bad or even atrocious credit ratings can obtain a bad credit secured loans at tighter LTV and higher rates of interest, although these bad credit loans are still a good loan product.
Want to find out more about homeowner loans then vist Champion Finance’s site to find the best secured loan for you.
