Can someone explain what a secured loan is, i have not been able to find any info on this?
Answers:
From Wikipedia:
"A secured loan is a loan in which the borrower pledges some asset (e.g. a car) as collateral for the loan. The loan is thus secured against the collateral — in the event that the borrower defaults, the lender takes possession of the asset used as collateral and may sell it to regain the amount originally lent to the borrower".
It basically means that you have to have something of equal value to the amount you are borrowing, which is used as collateral. So, if you put a (paid off) car up to secure the loan, you cannot sell that car until your loan is paid off. If you don't pay the loan back, they'll take your car. The collateral can be anything of value, like real estate, or precious diamonds, etc.
Hi,
It's a loan where something else that you own is used as "security" against the amount you borrow.
Let's say you borrow $10,000. The lender secures that loan against something you own, worth at least that much, for example your car might be worth $30,000.
This way, if you don't make the repayments, the lender has the legal right to sell that car and get its money back.
I trust this is helpful.
Warmly,
Slav
Let's say for example at bank x you have a cd in the amount of $5000. If you were to go to bank x and apply for a "secured" loan in the amount of $3000, the bank would use the cd as collateral if you were to default on the loan. So basically, the bank would use any assests that you have as collateral (if you are deemed "high risk") as opposed to a conventional loan.
something that is secure. as in collateral.
You can be need of extra money irrespective of your financial status. In this case, opting for an secured loan is the simplest thing to do as it is secured against the collateral of your home. But if you are a tenant or do not own a home it is not right for you and the situation worsens if you have a bad credit. In this case, the best way out for is to go for a loan meant for people with bad credit. This need can be easily fulfilled by online secured loan.
If you plan to pay back the money , you can ask for a loan at Prosper. More information at http://www.acreditlibrary.com/prosper.ht... . You can also try your luck at online charities, people may send donations. More information at http://www.laodn.org/
The Secured Loan information post by website user , LoanSecuredLoan.com not guarantee correctness.