Unsecured personal loans versus secured personal loans
Monday December 15, 2008
If you're after a personal loan, but aren't sure of your options, here is a simple overview of the different types of personal loans.
A secured personal loan requires you to offer some type of collateral to the banks. This helps ensure that you make all your repayments and if you're forced to default, the bank is able to recoup their money. Secured personal loans are usually required for car loans of if your credit history is a bit spotty.
Unsecured personal loan don't require collateral. Unsecured personal loans can be used for almost any type of worthwhile purpose, such as taking a holiday, renovating your house, getting new furniture, or consolidating your debts.
Depending on what type of personal loan you select, the amount you borrow and the interest rate you are offered may be different.
For example, St George unsecured personal loans allow you to borrow up to $40K, while St George secured personal loans allow you to borrow up to $80K.
The features of St George personal loans include:
- Your choice of variable interest rates or fixed interest rates.
- You choice of weekly, fortnightly or monthly repayments.
- Competitive establishment fees.
- Low monthly fees.
- Debt consolidation is available.
- Redraw facilities available.
- Loan insurance available.
Apply online for the St George personal loan online and think about what type of personal loan you're after.
Compare personal loans and car loans.