FAQ Home | General Questions | Critical Illness Insurance | Life Insurance | Home and Contents
Mortgage Payment Protection | Mortgage Life Insurance | Short Term Income Protection Insurance
Mortgages | Car Insurance | loans | Private Medical Insurance | Travel Insurance
Hot Topics
- What exactly is a personal loan?
- A personal loan is a sum of money which you borrow. This could be from a bank, building society or another financial institution.
- How much can I borrow?
- How much you can borrow is dependent on a number of categories: your income, your assets and your credit history to name but a few.
- What if I die before my loan is paid off?
- If you die before your loan has been fully repaid, the loan will still need to be repaid by your estate. This may mean that your family will have to cover the cost of the loan for you.
- What is the maximum value of the secured loans I can have in relation to the value of my property (LTV ratio)?
- The industry average for the LTV ratio (Loan to Value Ratio) is 75%. This means that if your property is valued at £100,000 – you will be able to borrow £75,000 against it. It may be possible to get more than that – for example 85% or 90% - however you will need an excellent credit history and must in general be considered a ‘no risk’ customer by the loan provider.
- I am having trouble making repayments on my loans, should I get a debt consolidation loan?
- If you have a number of debts and are having trouble managing them all, then a debt consolidation loan may be your only option.
Can I borrow again in the future?
Your ability to borrow again in the future will depend largely on how well you managed your loans and other forms of credit in the past.
Paying a loan or credit back on time and with no arrears will improve your credit rating vastly, and lenders will be keen to offer you credit as they will see you as a low risk borrower. You may also be able to borrow more than you have in the past because your history proves that you can manage a debt well.
If however you gained a bad credit history from a past loan or credit card – you may have more trouble obtaining a cheap loan deal. You will be able to borrow money but you will have to pay higher interest rates with a loan provider that specialises in bad credit customers. If you’re in a secure financial position and know you will easily be able to stick to the repayment schedule, it’s an excellent opportunity to fix your bad credit history. One you have proven yourself to a be a low risk customer you will again be able to get the lower interest rates and more favourable terms that lenders offer those with a good credit history.
Risk Warning
Your home may be repossessed if you do not keep up repayments on a mortgage or any debt secured on it. Security by way of a charge on your home may be required.
Think carefully before securing other debts to your home.
- How much can I borrow with a debt consolidation loan?
- No proof of income ?
- What is a tenant loan ?
- How quickly can I get a decision ?
- What if I die before my loan is paid off?
- What interest rates will I have to pay and are they negotiable ?
- What is not covered by personal loan protection insurance?
- What happens if I can make the repayments for my loan ?
-
Car Loans - Holiday Loans - Home Improvement Loan - Career Change Loan - Debt Consolidation Loan - Bridging Loans




