Why Choose a Personal Secured Loan?Written by John Mussi
Listed below are some of many reasons why choosing a personal secured loan makes good sense. Personal secured loans are also commonly known as a homeowner loan. This type of loan is essentially an amount that is secured against property as collateral. A personal secured loan is a loan which is provided to you from a bank, building society or other financial institution. Personal secured loans require you to be able to put an asset up to secure loan, this is typically your home. Since this affords a measure of security to lender, you get lower interest rates and a longer period in which to pay back your loan. With a personal secured loan you can borrow from around £5,000 to £75,000 that can be paid back over an average period from 5 to 25 years depending upon amount repayable each month. When you are accepted for personal secured loan you will receive a lump sum in return for your agreement to make regular repayments usually by direct debit. Taking out a personal secured loan gives you opportunity to borrow money in order to increase value of your home by making improvements. You could also take out a personal secured loan in order to pay off a number of other smaller loans, credit or store card balances. You would then benefit by having to make a lesser monthly payment and ease of having to make only one payment each month. Personal secured loans can be used for a wide range of purchases or financial help, from home improvements, weddings, buying a new car to consolidating all your existing loans, credit and store cards. A personal secured loan gives you option to pay back loan borrowed over a longer period of time and at a lower interest rate. Personal secured loans also offer you ability to increase your repayments or to repay a lump sum if your financial situation changes at any time. This can help to reduce amount of time you will be paying off loan, and of course total amount of interest you pay back.
| | Kippers or red herrings?Written by Rachel & Cashzilla
Recent news has made much of parents stretching their finances to cover costs for their twenty and thirty something children. Debts and high property prices have forced many offspring to return home, tail between legs, under attractive new marketing term of “kippers”: kids in parents’ pockets eroding retirement savings.Many graduates have developed significant debts from university and have accumulated further debt in competitive graduate market. Student life provides an incubated protection from reality of financial concerns and fresher fairs become increasingly populated by banks, mobile phone companies and other brands wishing to tap into students’ borrowed finances. It is true that many young people have got themselves into very uncomfortable financial positions because of careless spending. The ethics of student finance are somewhat dubious with many financial products branded “student”, not necessarily offering best deal. Most shops, bars, cafés and restaurants on university campuses are fully commercial enterprises designed to make profit, without wanting to fit around a student’s pocket. Tuition fees, whilst significant, are not biggest problem for students. Most students run up debts because of inadequate life skills. They’re not used to doing their own washing, they don’t sew, some can’t cook and most have never been in charge of their own finances prior to university. If it’s broke, just buy a new one. One male student reported preferring to buy take-away food, rather than cook his own food, also often buying new shirts to save washing and ironing old ones. An American exchange student, who had never been taught to do her own cooking, used some of her $90,000 loan to live on take-ways, convenience meals and restaurant food whilst studying in London.
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