Borrowing money secured on your property is an alternative method of raising funds to a remortgage.
How does it work?
The secured loan lender places a 'legal charge' on your property and 'sits behind' your mortgage lender in terms of legal preference should a sale of your property ever be needed to redeem the loans. In other words your mortgage lender has the 'first charge' on the property and the secured loan lender has the 'second charge'.
The terms are often more preferable than an unsecured loan and the lenders will often allow individuals to borrow more than a personal loan if there is enough equity in the property and the loan is affordable.
Secured loans by law are only allowed to charge 1 or 2 months interest if the loan is paid off early which makes them a lot more of a flexible option that previously.
You can apply for a secured loan through us as brokers for most reasons (such as home improvements, a deposit on another property or to consolidate/pay off other debt etc..)
If you want further information then please give us a call free on 0800 0029555
Think carefully before securing other debts against your home