Loans FAQs

Shall I get a secured or an unsecured loan?

It would be a good idea for you to read the secured and unsecured loans page. We recommend that you apply for both so that you can compare rates and terms so that you can make an informed decision about which type of loans are best for you.

What is equity?

Equity is the difference between the value of your property and the amount of credit you have secured against it. So, for example if you have a mortgage of £50,000 and your home is worth £100,000, you have 50% equity. Most home owners do not own their home outright but most home owners have a mortgage that is less than the value of their home so most home owners will have equity.

Will I be declined because of bad credit?

Bad credit in itself will not stop you obtaining loans through us. Some lenders even lend to people regardless of their credit rating. Some lenders can ignore certain adverse units, for example if you have a default that is less than £250 or if it is over 3 years old, some lenders will not even count it against you.

How much money can I borrow?

Different loans lenders offer different loan options. Unsecured loans will usually be less than secured loans (often maximum of £15,000) Some secured lenders have a maximum of £75,000, some have a maximum of £100,000, some may not have a maximum although very large loans will need to be referred. The main thing that will restrict the amount of a secured loan is the amount of equity you have in your property (note: some lenders even offer up to 125% equity home loans now).

I am self employed, is this a problem?

No. There are many loans lenders now who are happy to lend to self employed people whether they have been self employed for a long time and have certified accounts, or if they have been self employed for just a few months and have no accounts. Some lenders will allow you to self certify your income. Self certification or self declaration is between you and the lender and this income is taken at face value.

I have never used the Internet for finance, how do I know you are a reputable company?

All loans enquiries are passed to large companies who are brokers for panels of large reputable banks and finance companies. These companies should always try to place you with a lender who offers the best terms and best rates for your circumstances. To check the lender that you are being placed with to ensure you are comfortable using them, you should look them up on the Internet and read about their services. Ask the broker any questions to make you comfortable.

I am on DSS benefits, is my income a problem?

Many lenders are able to accept certain benefits. The DSS benefits that can normally be used to contribute to a loan are invalidity benefit, long term disability benefit, carers allowances, foster care allowances, some companies accept state pension, Working Families Tax Credit and maintenance for children from an ex partner. The lenders that can help you will be restricted, but this should not be the sole reason for a loans decline.

How long will it be before I get my money?

It depends on who your case is placed with. Some companies can take longer than others, for example if you have a complicated case which includes divorce settlements and awaiting land registry to be updated etc, it can take weeks. Other loans companies can complete a secured home owner loan within just a couple of weeks. Some unsecured loans companies can complete a loans application in the same week.