It is a low interest loan designed exclusively for homeowners. What this means is that, by taking out a secured loan, you are using your house to guarantee loan repayments. A Secured Personal Loan enables you to make use of this asset which will provide security for your loan.

Secured personal loans are best loans for homeowners, of course there is a greater risk attached to this loan as home is put up as a collateral. The home is under risk if repayments are not paid duly. If you continually fail to make repayments on a secured loan, you could be putting your house at risk.

Because risk is lower for lender than on an unsecured loan it is possible to get better interest rates than on a loan that is not secured on a property. This is also reason that lenders are able to offer higher sums than for unsecured loans.

So, why do people take out secured personal loans? Well, firstly you may want to borrow money in order to increase your home's value by making improvements to your home. Others may take on a debt consolidation loan, which means that you take on a large loan for a long period, which pays, off your other loans and credit cards and you end up paying a smaller monthly payment than you were paying with all of your other loans together.

The term “Remortgage” is used to explain process of moving your mortgage to a new lender. A different lender may offer a significantly better deal than your existing lender.

A remortgage means you are ending your current mortgage scheme and switching to a new scheme. A remortgage generally involves changing mortgage lenders because most lenders do not generally offer remortgage schemes to existing customers.

Mortgage lenders offer discounted interest rates and other desirable introductory offers to attract mortgage holders to switch to their particular lending institution.

Review your current mortgage. If you feel you are paying excessive rates of interest, compared to other lenders then a remortgage may save on your monthly payments. Alternatively, you may be looking for a way to finance an extension or purchase a new car, you could seek to increase your mortgage and take extra sum as cash.

Releasing equity is a good way of raising additional finance. If your home has positive equity - its market value is greater than outstanding mortgage - you can increase size of your mortgage.