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Unsecured Loan- No Guarantee Required

Written by Dian Herdiana on 5:49 AM

Whenever finances fall short, borrowing is the first thought that occurs to us. But, there remain many apprehensions in the mind regarding the loan deals. Most borrowers are lured by the idea of unsecured loans and fear taking secured loans that require an underlying asset or collateral.

In case of unsecured debts, the creditor lends money on the basis of the credit profile of the borrower and doesn't demand the home as security. For this reason, unsecured loans carry more risk for the lenders that they compensate by charging a high rate of interest and less flexibility in terms of repayment options.

Cited below are some of the characteristic features of unsecured loans.


    • The lender does not attach any value to the loan i.e. no security is demanded


    • A credit check of the borrower is carried to know his repayment history and paying capacity


    • The amount generally ranges in between £500 to £ 25,000


    • The repayment period can stretch from one to ten years


    • These loans generally carry high rate of interest because of the absence of security


    • If the borrower owns a house, he may get an unsecured loan at cheap rate


    • In case of default by the borrower, he can be sued by the creditor in the court of law


    • The processing of unsecured loans is faster than secured loans


    • Elimination of legal property evaluation and less documentation makes the disbursal fast

    As stats reveal, most borrowers in Brits are in debts, and the year 2006 saw an alarming hike in the number of personal insolvencies. This clearly indicates the growing market of bad credit personal loans. Since most of the borrowers already have many debts against their homes, unsecured loans are their only saviours. The high street banks have declared their stringent policies in terms of unsecured loans, and they seldom grant any ad credit loan. So, private and online lenders are the ones who come handy to the borrowers. Though the interest charged on these loans is considerably high, borrowers avail them to get rid of their multiple debts on credit cards and other personal loans.

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    Debt Consolidation Loans Make your Debts Easily Manageable

    Written by Dian Herdiana on 3:30 AM

    The hassle of unmanageable debts is not wanted by anybody. It hampers the mental peace of a person and blocks the financial self. So, it is necessary to take timely steps to get rid of unmanageable debts. But, there is no measure that can help you efface your debts overnight. Of course, if you suddenly get hold of huge cash to pay off your debts then it is different. Otherwise, you have to use the traditional method to make debt management easy and finally pay it off.

    One effective method of easy debt management is the use of debt consolidation loans. Under this method your multiple debts will be converted into a single loan. This will give you freedom from dealing with more than one lender. It will not be necessary for you to distribute your monthly income to various creditors. Instead, you have to make only one payment to a single lender.

    Moreover, the repayment term of your debts will be stretched over a longer duration of time. So, your bigger monthly instalments will be replaced by relatively smaller premiums. Thus, every month all your income will not be spent in making repayments. Rather, you will start saving some money in each month. If you search thoroughly then you may also get consolidation loans at lower interest rate. This will help you save good sum on the overall debt repayments.

    However, if you do not get debt consolidation loans at lower rate then you may end up paying a little extra cash. This is because you have to pay interest for longer time. This method of making debt management easy can be used by both homeowners as well as tenants. Tenants can take it only in unsecured form. But homeowners can avail it in both secured and unsecured form. Both forms of debt consolidation loans have their respective merits and demerits.

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    Debt Consolidation Loan: One to Counter Others!!

    Written by Dian Herdiana on 2:43 AM

    Author: Henry Kruz

    It is truly fulfilling to have extravagant holidays, Christmas shopping, a car and a house. But all of these luxuries are not for free; they are pretty expensive to say the least. You have to either rob a bank or borrow some from it! Loan looks as an easy way of realisation of your dreams into reality. But the repayment of these loans in terms of instalments seems pretty intimidating.

    Well brother, it happens with everyone for there are a few who are born with a silver spoon. The rest just have dreams of luxuries and temptations that we succumb to, the moment they call on us. However, they come with penalty... a vicious circle of loans and their instalments. Our salaries look paltry against them and it becomes tough to carry on like that.

    The solution for you and at least a thousand others is to go for debt consolidation loans. Basically this kind of loan is specially made for those borrowers who can pay their multiple loans in a consolidated manner. To simplify it further, when all your multiple loans are clubbed together with a single rate of interest, it becomes a debt consolidation loan. In this way, all the minor and major loans are consolidated into one and so is their rate of interests. The biggest advantage of debt consolidation loan is that you have to pay a common rate of interest over all these loans.

    The other advantage of debt consolidation loan is that you don't tend to miss out on those small loans that always skip from ones’ mind in the presence of those huge loan amounts and bigger instalment. It is also helpful to retain a clean credit history and avoiding arrears and defaults in the recorded loan history.

    Applying for debt consolidation loan has become much easier and hassle free thanks to the revolution called online marketing. One is able to apply for these loans totally on line. In this way, this loan can be easily obtained by a mere click on your desktop/laptop and for that matter even through your mobile phone! Ways are many, solution only one that can ease of all your tension regarding your uncertain financial future.

    About the Author:

    Henry Kruz is an expert editor who write the articles on various themes. His aim, in this article, to describe about debt consolidation loans how it is beneficial. Visit for more information on secured loan & unsecured loans too.

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