Difference between secured and unsecured loan
Secured and unsecured loans offer two different ways of accessing the cash you need. Secured loans are only available to those who own their own home. Loans of this type usually provide better interest rates and allow potential borrowers to borrow larger amounts.
Unsecured loans are more easily accessed by customers with a strong credit rating or those who are looking to borrow smaller amounts. Typically, lenders see these borrowers as a low risk, so don’t need to offer the security of an asset to support their loan application.