

ARTICLES
 FINANCE
  Loans
Getting a Loan When You're a Tenant
By Michael Strauss |
In
Loans
Wherever we go these days we're bombarded with
offers of credit, whether loans, credit cards,
re-mortgages - there seems to be no end to the number
of companies asking us to consider applying for
finance through them. It's true that gaining credit
is easier than ever before, a fact borne out by the
record levels of personal debt we see revealed in
survey after survey. Whether or not you think
borrowing is a good idea, a necessary evil, or to be
avoided at all costs, in the modern world it's
increasingly taken for granted and many feel that
easy access to credit is almost a right. The problem
for many people is that getting approved for a loan
is not as easy as it might at first appear. We've
all heard about the problems encountered by people
who have a poor credit rating for whatever reason,
but there are millions of other people with no bad
credit history on their files who nonetheless find
it more difficult to arrange a loan. Many of the
loans advertised on TV, in the press and online are
aimed solely at homeowners.
These kind of loans are known as secured loans and
are fairly easy to be approved for as the applicant
agrees to put their home up as security for the
loan. Indeed, with house prices at an all-time high,
lenders are positively falling over themselves to
extend credit to homeowners, knowing full well that
the high equity levels enjoyed by people who took a
mortgage out before the latest property boom make it
very unlikely that the lender won't be able to
recoup their loan somehow, even if the borrower
fails to keep up with repayments. This is of little
help to people who don't own their home though, and
for these people a different kind of loan is called
for : a tenant loan. A tenant loan is a different
name for an unsecured loan, or a loan which is
offered without the need for collateral to back up
the repayments. This lack of collateral means that
the loans are more risky for the lender, which makes
them more difficult to be approved for.
view
more
About the author:
Michael writes for the personal loan comparison sitehttp://www.loantime.co.uk/
|
 Free Photo Editor
CATEGORIES :
|
 |