A Guide to Secured Loans

If you’re looking to raise money to consolidate existing debt, make improvements to your home, buy a new car or caravan, in fact just about any purpose, there isn’t a simpler way to raise large sums than with a Secured Loan…

Why chose Loans Warehouse?

Whole of market access; there isn’t a Secured Loan lender we do not have access to. Just one application will find you the cheapest Secured Loan on the market.

Loans Warehouse has access to more Secured Loan products than Money Supermarket, with over 200 Secured Loan plans available.

Loans Warehouse is an award winning Secured Loan Brokerage, winning the myintroducer.com Best Secured Loan Broker award for the last two years – the only recognised award in our industry.

A dedicated team with combined experience of over 100 years in arranging Secured Loans for all types of customers.

We are Secured Loan specialists. We don’t offer Debt Management, IVA’s, Guarantor or Log-Book Loans, we just offer Secured Loans.

We don’t do hard sell. All our Secured Loans go through a cooling off period so from the day the loan is sold, the customer is left to consider their options without the broker initiating contact for the first 16 days.

Loans Warehouse is authorised and regulated by the Office of Fair Trading (OFT) and all our Secured Loans are regulated by the Consumer Credit Act.

Why chose a Secured Loan?

Everyone else has said no

Because you are using the equity in your property as security for the loan, you can borrow large amounts over longer terms even if you have a poor credit history.

An Unsecured Loan is too expensive as it’s over such a short term

Secured Loans can be over any term from 36 to 300 months

I’m looking to borrow more than your unsecured lenders have offered

You can raise any amount between £5,000 and £500,000

My mortgage rate is extremely low

If you are currently benefitting from a low rate mortgage, raising money through a remortgage could increase that rate. Secured Loans offer an alternative that would allow you to keep your existing low rate mortgage in place but still borrow large sums at rates from just 7.9%

I’m tied into a fixed rate on my existing mortgage

If you are currently tied into a fixed rate mortgage, borrowing extra funds from your existing lender or switching lenders with a remortgage would mean a large redemption penalty. A Secured Loan does not impact your mortgage so your fixed rate will carry on as it is and you will not be charged any redemption penalties.

My credit rating isn’t the best

Remortgages and unsecured loans only cater for one type of customer, those with a very good credit rating.

Secured Loans give options to a full spectrum of customers:

·        Rates from 7.9% for customers with excellent credit ratings

·        Rates from 8.9% for customers with mild adverse (missed payments on unsecured credit, maybe even a mortgage arrear)

·        Rates from 15.9% for customers with high levels of mortgage arrears, CCJs & defaults

Our highest rate is 30.9% which will only apply to customers who have severe credit problems, with unlimited mortgage arrears, CCJs & defaults accepted **

** The higher the adverse the lower the LTV; the customers with the highest levels of adverse will only be able to borrow up to 65% of the equity in their property

How do Secured Loan rates compare to my credit cards and other debts?

·        Barclaycard Platinum 17.5% APR

·        Tesco Clubcard Credit Card 16.9% - 21.9% APR

·        MBNA Visa 21.9% APR

·        Capital One Classic 34.94% APR

All figures taken from moneysupermarket website on 23^rd August 2011

Loans Warehouse Secured Loan rates start from 7.9% APR and our typical rate is just 15.9% APR - the same as the lowest credit card rate available on moneysupermarket.com.

Why is that better than a remortgage?

Most mortgages still come with a tie-in period and early settlement fees of up to 6% of the balance of the mortgage; this can run into £1000’s in the early years.

My income is too low for a remortgage

Remortgage lenders work on multiples of client’s annual income, usually restricted to 3 x a customers’ salary. Secured Loan lenders work on a completely different basis, using typical figures for ‘cost of living’ to calculate affordability.

There are several Secured Loan lenders who have no minimum income.

What if I already have a Secured Loan?

All Secured Loans only attract a very small redemption penalty, so shopping around for a cheaper loan is always a good idea. Recently especially secured loan rates have tumbled, in the last 6 months Secured Loan headline rates have dropped over 2%.

I am self-employed but I don’t have accounts

Several secured lenders will assess the income of a self-employed applicant solely by the income showing on the last few months’ bank statements and calculating it pro-rata

Can I clear my Secured Loan early?

Perhaps the biggest selling point of a Secured Loan over other forms of borrowing is that all Secured Loans can be settled at any point with just a single months’ interest as a penalty. Simply give the lender 30 days notice in writing of your intent to clear and you’ll just pay the balance outstanding at that point plus a months’ interest.

Can I fix my rates?

The choice is yours; different Secured Loan lenders will allow you to fix your repayments for either an initial period or the full term of the loan.

My income is made up from pensions and benefits

In addition to some form of private income, Secured Loan lenders accept most forms of income including tax credits, child benefit, state and private pensions, disability living allowance etc.

I need to raise money in a hurry

A Secured Loan can be arranged from start to finish within two weeks.

Summary of Secured Loans USPs

Here are some of the main selling points of Secured Loans:

·        Borrow money for almost any legal purpose

·        Rates from 7.9% APR for employed and self-employed customers

·        Borrow money over longer terms, anything from 3 to 25 years

·        Loans from £5,000 to £500,000

·        Lending up to 85% LTV

·        No minimum income requirement

·        Most forms of income accepted including pensions and benefits

·        Adverse credit accepted inc. mortgage arrears, CCJs & defaults

·        Fixed repayments

·        Low redemption penalties

All data correct as of 31/08/2011

Reduce your monthly outgoings with a Homeowner Loan

It is not unusual for people to become over stretched as regards finances every so often , and as a matter of fact it is one of the most popular features common to human kind.

We all earn different salaries and you would expect that if some one earns a lot more than another person does, that the one with the higher income will have savings in the bank.

This is often not the case as the person with the high salary sometimes has an even lower balance than his friend with the lesser earnings.

The man or woman earning around 20,000 to 30,0000 will not be able to afford a house but will own a small flat in the suburbs. He will not own a fancy car or eat out in the best of restaurants.

They will normally not dine in restaurants but will order take away Indian or Chinese food, and every week or so have dinner in a run of the mill restaurant or pub.

Those earning say about 10,000 more will spend probably a higher proportion of their earnings than the previous example.

Their home will be semi detached, they will own a better car, dine weekly in a nice restaurant and often holiday abroad. Their clothes will be more expensive and they will spend more in food and spend more money 

going out with friends.

This is the way it goes as we rise up each rung of the salary scale.

The more we have, the more we spend, and at the end of the day few are left with much money left in the bank.

It is a feature of life that many on all rungs of the salary scale have difficulty managing their finances from time to time.

If a person is having difficulty coping with all their debt, they should consider consolidation loans by means of remortgage and secured loans.

A homeowners loans or a secured loan with their low interest rates will sort out the debts caused by spending too much.

Want to find out more about homeowner loans, then visit Loans Warehouse's site on how to choose the best loan for you.

Making Your Boss A Cuppa 'Good For Career'

Making your boss a good cup of tea could help you get ahead in your career, according to new research.

A survey showed that 1,600 workers thought there was a direct link between making drinks and being promoted.

Research carried out by office supplies firm Viking claims there is a direct correlation between making lots of hot drinks for colleagues and getting promoted at work.

Sophie Christopher of Viking said: "It is mainly because being prepared to make the tea or coffee demonstrates qualities such as attentiveness, humility and pro-activity which many employers welcome."

However, whilst the study shows that workers are keen to offer their bosses drinks, the same does not apply to their co-workers.

Workers refrain from offering their colleagues tea or coffee because they were too demanding, the study said.

Ms Christopher said: "Asking how do you like it has never been more complicated because office workers are increasingly likely to specify their choice of tea or specify the precise amount of milk needed to create their perfect cuppa."

The research showed that 41% of workers maintain they make their fair share of tea.

Short Term Asset Finance - Anything from £1,000 to £1,00,000

Our introducers programme allows IFA's, mortgage brokers, accountants, solicitors, lawyers, wealth managers & tax advisors to offer short term loans of up to £1,000,000. All loans are non-status and secured against Jewellery, Luxury Watches, Gold, Fine Art, Antiques, Sculptures, Luxury Cars, Yachts, Speedboats and other high value assets, best one's I've heard to date are a tank and an Ivan Novello Awards.

Approval in Principle is provided in minutes and cash is advanced within 24 hours. There are no credit checks, redemption, expiry or penalty fees for your client, also no income proof is required.

We receive up to 7.5% commission of the loan value (Which would be split 50/50), 50% paid 15 days after completion and 50% paid if the loan is still running after 4 months

We will lend up to 70% of the value of the items (typically around 50% though) with loans from £1,000 to £1,000,000 which can be taken over a 1 to 12 month term. All valuation experts have worked for leading auction houses, including Sotheby's, Christie's and Bonham's.

In summary

· Approval in Principle within minutes
· Cash advanced within 24 hours
· All loans are non-status and secured against assets
· No set-up, extension, redemption, exit, expiry or penalty fees for your client
· No credit checks

All we need is a name and contact details for the client (Anywhere in the UK) along with a brief description of the item, we'll do the rest…

PS - Remember all assets are stored in secure and insured specialist vaults / premises for the duration of the loan

Secured Loans for Debt Consolidation

Secured loans are loans that are only available to homeowners. To be eligible for a secured loan you have to have equity in your property. Equity is the difference from your mortgage balance and your property value. The differnce in between is how much you can borrow.
Secured loans are one of the ways a homeowner can borrow cheaply. This is due to secured loans a low APR, usually lower than unsecured loans. This is due to the secured loan lender having a charge on your property and in this way the lender has more confidence in getting their money back.


Secured loans can be used for almost any legal puropse. Many have used a secured loan for debt consolidation which can be a massive saving every month and exspecially if you are taking out a debt consolidation loan to pay credit card debts as with credit cards many of us only pay the minimum payment every month and by doing this we are really only paying the interest and not getting the balance any lower. By paying the minimum payment it will take years and years to pay off the credt cards as thay are known for their very high interest rates. However by taking out a secured loan for debt consolidation the interest rate will be much lower and at the end of the period you will be debt free. A secured loan to clear credit cards can save massive amounts of money every month. Some people have saved thousands and thousands of pounds.


Anyone that is thinking very seriuosly about taking out a secured loan for debt consolidation should really consider a secured loan. This is ideal if you have high balances on credit cards. If you have loans that have not long too long to run until they are paid off or maybe at a good rate they should not be consolidated as the only way to save a good amount of money is by taking out a secured loan over a longer period of time. Although this is not always the case as some home improvement loans can be very expensive but if you are looking at debt consolidation to clear other loans you should make sure that you are saving a lot in the long run.


Secured loans have to be agreed with all members who are on the mortgage, ie. your partner and any other parties have to sign for a secured loan and be made aware of a secured loan and a secured loan therefore should benefit all parties who own the property.


Secured loans are usually taken out between five years to twenty five years although you can usually pay them back at any time with a small penality. This should be on the loan agreement or on the terms and conditions.


Some homeowners prefer to remortgage their property to raise extra funds as the interest rates with a mortgage are usually the lowest available, but sometimes a secured loan would be better. As many peoples circumstances might have changed since getting their current mortgage or some might be tied in for a certain amount of time and have penalities to come out of their current mortgage deals or some might be happy with their lender and not want to switch lender. Others might not want to ask theie current mortgage lender for extrafunds.


Secured loans are very popular and before the recession the underwriting was much slacker.Therefore being able to get a secured loan with little or no equity and unlimited adverse credit has all changed but there are signs of some improvement in the secured loans industry but it will take a long long time for the secured loan market gets back to the way things were that is if they ever come back.


Secured loans are available to employed, self employed and retired and there are still secured loan lenders lending to self employed applicants with limited proof or no proof. Secured loan lenders that lend to self employed applicants might ask to prove your income and this can be done by bank statements, accountants reference, your company letter head or business card. All these things will be accepted. Some secured loan lenders will like to see you trading for over twelve months but there are some secured loan lenders that will lend if you have been trading less than this.

Secured Loans

In this current economic climate a secured loan can be a very good way for homeowners to borrow the money they require for home improvements, weddings etc...

A secured loan can be a good way of paying for a large purchase such as a boat, motorhome, caravan or even a car. A secured loan is usually the best way to consolidate H.P, high interest loans and credit cards.

By taking out a secured loan for consolidation a homeowner can save a considerable sum of money monthly. In these uncertain times a secured loan used for consolidation can give a person peace of mind in that they only have one secured loan to pay each month instead of having numerous loans, credit cards, etc. If a homeowner is tied into his or her mortgage a great interest secured loan can be the better solution.

I Need A Secured Loan But I Have Bad Credit So Can I Get A Bad Credit Loan?

Secured loans are obviously, as their name clearly states, a form of loan that must be secured against an asset. There are numerous types of secured loans, but here today we want to discuss the secured homeowner loan.

The asset that must be put up is the equity on either a primary or secondary residence. It is only a lucky minority of people who actually have an additional property.As these loans are secured loans tenants who do not actually own the house in which they live cannot apply. The only kind of loans available to a non homeowner is an unsecured loan. However unsecured loans are not readily available, and even for homeowners an unsecured loan is hard to come by.

Therefore a secured loan is by far the best way for a homeowner to raise money for a number of purposes.In fact a secured loan can be used for almost any legal purpose such as to buy a car, to carry out home improvements, to go on a cruise or any other type of holiday or even to pay for the wedding of your dreams.

To obtain a secured loan you must have enough equity on your property and equity is what is left when you deduct the mortgage balance from the value of the property. If a homeowners property is worth 250,000 and he has a mortgage balance of 160000 the available equity is 100000.

So saying it is not possible since the advent of the recession to borrow up to 100% of the value of the property as it was until 2007. Then there was even the 125% equity plan where by it was possible to borrow up to 25% above the value of the property.

Since the credit crunch there are no longer any 100% let alone 125% equity plans. The LTV now are for employed secured loan borrowers and self employed secured loan borrowers are 80% and 70% respectively. So saying the maximum available secured loan would be therefore be 40,000 and 15,000 respectively, based on the figures already given as an example.

For homeowners wanting a secured loan but with a poor payment profile, bad credit loans still exist, but are much restricted from their position. Prior to the recession extremely adverse credit loans were available at 80% LTV.

Even homeowners on the verge of having their homes repossessed due to serious mortgage arrears could obtain these bad credit loans. Sometimes it was no bad thing, as the mortgage arrears could have been due to ill health, redundancy and no blame could be attached to the poor unfortunate homeowner.

Now bad credit loans are still available, but even if the bad credit is fairly mild the maximum LTV is normally only about 70% and the number of secured loan lenders operating bad credit loan plans has decreased dramatically during the credit crunch.
For this bad credit secured loan it would mean that if First European Securities was prepared to grant a loan advance the maximum loan would be severely restricted. For homeowners with a good credit rating a maximum loan of 100,000 can be available, but with these two bad credit lenders the maximum loan available is in the region of 25,000. To give an example if a property is worth 200000 and the mortgage is 100,000 there is no equity for a bad credit secured loan at all. The maximum mortgage balance in this instance would need to be 90,000 if the applicant wanted a bad credit loan of up to 10,000.

Therefore to sum up bad credit loans are available but with much stricter underwriting criteria now than two years ago.

Loans Warehouse has been established since 2006. We arrange secured loans for any circumstances. With whole of the market secured loans and mortgages are also available. Visit our site at www.loanswarehouse.co.uk.