Considering secured home loans as a way to help bring your debt back into check? In that case, there are some things you should know about secured home loans and ways to minimise the potential risk of losing your home.

First, consider - that's a scary sounding consequence, but it's a fact. Many lenders prefer secured home loans to unsecured personal loans because the risk of them losing their money is far less. Because you put your house or other property up as collateral to guarantee your repayment of the loan, if you don't pay back a secured loan, you give up the collateral to the lender. Given that as a consequence, there are ways to reduce the risk that you'll lose your home.

- The first, of course, is to be certain that you can manage the monthly payment on any secured home loans for which you apply. If your purpose in seeking a secured home loan is to reduce the amount of your monthly loan and credit payments, then your very first step should be to make a fearless accounting of your budget. Put the bills aside for a moment and concentrate on your income. After you've totaled up all your income, subtract all your fixed monthly expenses from it - again, leave any credit payments out of that accounting. Include only those expenses and debts that you'll still have to pay if you use a debt consolidation secured home loans to wipe out your credit debt. What's left is how much you can afford to pay out each month toward a loan repayment. Any loan that would require a monthly repayment of more than this amount is an invitation to disaster.

- Next, consider automatic payments drawn directly from your bank account. By setting up payments by direct debit for your loan, you eliminate the risk of forgetting the date and making a late payment, thus incurring late fees. Direct debit works best in conjunction with direct deposit of your wages and income, of course.

- Close the accounts that you pay off with the money from your loan. Believe it or not, the single biggest reason that people get into trouble when using secured home loans for debt consolidation is that they can't resist the temptation to use their credit cards once they've cleared the balance. If you run up your credit debts again, you'll be saddled with double the debt - the loan payment AND your credit card payments. Avoid temptation. Close the accounts.

- Insure yourself against disaster. Let's talk scary facts for a moment here. No one likes to think of the bad things that might happen - but being prepared for them can make the difference between weathering the storm or capsizing in it. Carrying the right insurance and the right amount of insurance can allow you or your family to pay off outstanding loans in the event of an accident, job loss or worse.

PPI (Payment Protection Insurance) is one of those tender subjects in UK finances at the moment. The idea of having an insurance policy that will pay your loan payment in the event that you can't is attractive, but the OFT warns that consumers need to be wary shoppers. Some lenders who also sell PPI are accused of charging as much as 30% of the face value of the secured loans for insurance premiums. That means that on a loan of £7,500, you could pay as much as £2,500 in premiums for PPI. Even worse, many policies exclude some of the most likely problems from coverage, so you could find yourself out of work with a pulled back muscle - without the coverage you expected to pay your loan payments.

Still, if there is any loan that you DO want guaranteed coverage for, it's the loan that is guaranteed by your home. If you decide that PPI is a worthwhile investment when you're looking into secured home loans, then take these tips from the OFT.

• Visit an insurance broker if you don't have time to shop around - you are NOT required to accept the PPI offered by the lender.

• Read the small print and check that PPI is not automatically included - it should be optional

• Check out the common exclusions to make sure all your circumstances are covered

• When taking out a loan or a credit card over the phone make sure that you listen carefully to what you are signing up to

• Ask for a copy of the insurance cover document

• Check that the insurance will cover the whole debt and not just minimum payment

• Check to see if the insurance cover being offered increases the loan amount as this will attract interest at the same amount as the loan

If you happen to follow the financial news at all, you've likely noticed a bit of flurry about the secured loans UK market in recent months. The source of the flurry is all the recent changes to regulation in the loans industry, and the suggestion that there is regulation coming from the FSA for secured loans greater than £25,000. If all this is confusing to you - and it's confusing to nearly everyone - here's how regulations in the secured loans UK market lay out at present, and what's happened recently to put it all in question.

- Secured loans under £25,000 are regulated by the Consumer Credit Act of 1974. Those loans come under the oversight of the Financial Services Authority, along with mortgages and unsecured loans. Those regulations include important protections for consumers, including a cooling off period during which they can rescind their loan agreement.

- The 2004 Consumer Credit (Advertisement) Act of 2004 regulates what secured loans UK lenders may advertise. It states that advertisements must convey a fair and reasonably comprehensive indication of the nature and true cost of the credit. That goes beyond the 1974 act, which merely prohibited misleading or false adverts. Now adverts for secured loans must tell you how much the loan will realistically cost you.

- Secured loans of less than ten years are also regulated by the FSA, at least in terms of how early repayment penalties are calculated. Until 2005, there were few regulations about how much a lender could charge a customer for repaying a loan ahead of schedule. That trapped many consumers in loans that charged exorbitantly high interest, even after their circumstances changed enough to allow them to qualify for a lower interest loan.

- Secured loans of over £25,000 are NOT regulated by the FSA. They do fall under the auspices of the Office for Fair Trade, however, the body that licenses them. The OFT can revoke their license if they are shown to be not playing nicely with consumers.

Unfortunately, that hasn't stopped a lot of unscrupulous secured loans UK lenders from taking advantage of the naiveté and desperation of borrowers who can't qualify for loans from the High Street banks. That's why it's vital that if you decide to take out a secured loan in the UK, you do your research to be sure that you're getting not only a fair deal, but the best possible deal.

Tips for Finding Fair Secured Loans in the UK

- Shop around. All lenders must provide information on their Annual Percentage Rate as a means of comparison. The APR that they advertise is what's called a 'typical' APR - the rate that most of those who are approved for a loan by them are offered. It is NOT necessarily the rate that YOU will be offered, but it affords you a comparison point.

- Know how much you can afford to pay per month. Yes, we know that differs from the usual advice to compare loans by total cost. The fact is, though, that you'll be paying off the loan by the month - if you can't afford the monthly payments, you risk losing your house. At that point, it won't matter that you saved £500 over the life of the loan.

- When asking for secured loans quotes, always request that the lender do a 'quotation check' rather than a full credit check. The quotation check doesn't count on your credit report as a loan application, which could bring your credit score down.

- Use online loan comparison services like "advancestart.com" to help you narrow down your choices before you ask for loan rate quotes.

If you are considering using accounts receivable factoring as a financing tool, you should carefully consider the type of billing arrangement you have with your customers. Invoice factoring relies on important considerations concerning your business model that could make it easier to get funding.

When you initially set up your agreement with the customer, you should specifically outline the work to create deliverables or milestones that allow you to invoice. By setting these milestones, the customer is obligated to pay for the work to that point and you can generate an invoice for that part of the goods or services. Contrast this scenario to progress billings, an arrangement in which the customer advances money for the job as a whole. The factor is hesitant to advance funds to the client with progress billings, since the company getting billed may become unhappy along the way and stop making payments. With milestones, on the other hand, that is not a problem.

Pre-billing for services is another example of a problem for factoring invoices. Common to the publishing and advertising industries, the customer is invoiced for invoiced for a publication that will run in the future. From a factoring standpoint, proceeds of the obligation are assigned to a third party. If the work has not been satisfactorily completed, the customer likely will not pay the entire amount, if at all because there are too many "outs". The factoring company has advanced a significant amount of funds up front, so they are left holding the bag when the customer refuses to pay. In this situation, the factoring company will almost assuredly adopt recourse factoring. This means that if the customer doesn't pay the client the full amount that was invoiced, the factoring company can collect the money that was advanced.

Even if you don't need to factor your invoices, it is usually better to structure your invoicing in such a way that the customer is obligated to pay during each step. The milestone arrangement is the best way to accomplish this goal.

Kent Harlan has been a CPA since 1984 and has provided consulting, accounting and financial services to several industries. He is the owner of Ozarks Capital Funding, LLC, a Springfield, MO based company offering financing in the areas of accounts receivable factoring, equipment leasing, asset based lending, and healthcare providers. He is an active member of the Missouri Society for Certified Public Accountants and has written several articles for various publications.

Article Source: http://EzineArticles.com/?expert=Kent_Harlan

Kent Harlan - EzineArticles Expert Author

Unsecured loans are doubtless the most popular loan in the UK. Recent trends suggest that secured loans are gaining swift ascendancy in the loan market. However, that still does not negate the impact of unsecured loans.

Unsecured loans do not require the borrower to put any collateral as security in order to avail the loan amount. Here, the borrower does not face the risk of losing his collateral, in case of an inadvertent default. The court option can still be exercised by the lender, but that may take a lot of time. Apart from the risk-free nature of this loan, there are other advantages, too, with unsecured loans UK.

Unsecured loans UK are processed relatively faster than secured loans. This is primarily due to the lack of collateral evaluation in case of an unsecured loan. Unsecured loans are ideal for short-term purposes. In other words, they can be used to meet exigencies that include, but are not limited to, funding vacations, home improvements, paying children’s education fees etc. The money one gets with unsecured loans can be deployed as per the borrower’s discretion. Of course, it is best that the funds be used for purposes that are within lawful boundaries.

With unsecured loans, one can borrow up to a maximum of £15,000, with a repayment period of a maximum of ten years.

There are a few disadvantages with unsecured loans. One is the relatively higher rate of interest with this loan type. With collateral absent, the lender looks at cushioning the risks inherent with these loans. However, with proper research and comparison, it is possible to get an unsecured loan with feasible rates and conditions. One can also get bad credit loans in the unsecured form. However, these loans will have a distinctly high rate of interest.

Still, it is important to note that the APRs are in any case higher than that of secured loans. Also, the loan amount that can be borrowed with unsecured loans is smaller, and big-time monetary needs cannot be met by these loans. To get the best deal, one has to do thorough research and compare loans that are available in the market these days.

Loans are either secured or unsecured in nature. With secured loans, the borrower needs to put up collateral as security in order to avail the loan amount. With unsecured loans, there is no need for the loan taker to put up any collateral as security in order to avail the loan amount.

There are several benefits that unsecured loans carry. These loans are generally short-term loans. In other words, they have a shorter repayment period as compared to secured loans. Unsecured loans can be availed from different sources like building societies, banks, private lenders and the Internet.

The finance that one avails from unsecured loans can be used in any (lawful) way. Unsecured loans can be deployed to meet exigencies like funding holidays, paying off children’s tuition fees etc. They can be processed much quicker than secured loans, as the evaluation of property, such an indispensable feature with secured loans, is absent in this case.

Unsecured loans have higher APRs when compared to secured loans. This is mainly due to the absence of collateral in the case of an unsecured loan. The lender faces a greater risk here, and to cushion the possibility of a repayment default, he hikes up the interest rate with these loans.

Even people suffering from bad credit history can avail this unsecured form of personal loans, which is quite an irony as credit scores are of tremendous value when evaluating the candidature of an unsecured loans applicant.

In modern times, there is the option of online unsecured loans With the advent of the Internet, unsecured loan choices have increased for the borrower. Still, the world of online unsecured loans has to be treaded with caution. There are a number of lenders who advertise seemingly perfect products that actually have hidden charges. So, a borrower should do his bit of research and comparison analysis before availing this loan type.

Unlike finances, the scope of human needs is immeasurable… We can categorise our monetary requirements as follows:

Urgent needs like surgery, extended treatments, late education fees, debt consolidation and more

Routine expenses related to home, business, health, education, wedding, vacation, holiday season, vehicle, debts, bad credit and more

Lifestyle luxuries like spa treatment, spiritual healing, flying lessons, cosmetic surgery, gambling and more

Personal loans are available in both secured (for homeowners and property owners) and unsecured (for tenants, homeowners, property owners and students) form.

Secured personal loans, as the name suggest, can be availed by offering collateral against the loan amount. Advantages are – quick attention, high credit limit, competitive low APR, flexible payback terms and negotiable loan conditions.

Unsecured personal loans, on the other hand, can be availed without offering collateral. Advantages are – no collateral (no deposit against the loan amount), less paperwork (no red tape), quick service (fast loan processing) and no immediate risks in the event of repeated defaults or non-repayment.

Secured personal loans have one risk, i.e., collateral seizure – in case of repeated defaults or non-payment, the lender gets the authority to sell the pledged asset to recover his investment. And, one limitation, i.e., slow approval process – the loan application is approved after time-consuming property evaluation along with other credibility factors.

Unsecured personal loans, too, have certain limitations – limited amount, high APR, fixed payback terms, non-negotiable loan clauses – because in the absence of collateral, the stakes are normally high for the lender.

Though both Personal loans sub-types have advantages and disadvantages, a recent figure shows that more and more people in the UK are availing secured personal loans, as they are much cheaper than other loan options like unsecured personal loans and payment cards (credit cards, store cards, charge cards and overdrafts).

On the basis of requirement, the credit market offers the following Personal loan products: bad credit loans, business loans, car loans, debt consolidation loans, education loans or career development loans, holiday loans, home loans, homeowner loans or home improvement loans, wedding loans.

The above-mentioned products list proves that the scope of personal loans is very vast… So, choose wisely for optimum benefits.

Unsecured loans are the most convenient form of loan because with unsecured loan you are not supposed to pledge any of your valuable assets for availing loans. Hence if you are looking for some sort of financial assistance in order to overcome your financial crisis then unsecured loans might be the best choice. Unsecured loans are given without asking the creditor to give anything in security

Unsecured Loans is given by the lender for car purchasing, debt consolidation, holiday and making home improvements. With unsecured loan you can easily satisfy your all needs even though you do not have anything to put as collateral. As lender giving unsecured loans does not require an individual to have any collateral, hence this loan is also ideal for people who rent their homes. Unsecured loans can assist the borrower if he/she does not have anything to put as security but they are desirous to get finance for their some important necessity.

Borrower can take an amount from £1000 to £ 25000 depending upon their requirements in unsecured loans. Lender gives unsecured loans for the time period of 12 months to 10 years. The rate of interest on the loan amount varies from lender to lender depending upon the credit rating of the prospective borrower. Hence it depends upon the lender to offer the rate of interest after taking into account the credit worthiness of the borrower.

There are many sources from which you can avail unsecured loan like banks, financial organisations and internet. However it depends entirely on your choice but it is advisable to take it through online lenders. Online you can get unsecured loans at comparatively lower interest rate after searching deeply about the interest rate of different lenders. So ultimately when you find the right lender you can take unsecured loan and gain the maximum benefits.

No teletrack payday loan companies provide cash advances for people who have financial emergencies without the need to check their credit information. These types of loans require no credit check so you can get cash loan even though you have a bad credit history. The only security that is required is your job. This is to say that you secure the loan against your next pay. The loan concept is simple and easy to do.

Applying for a no teletrack payday loan can be done online over the Internet. You can check the terms and conditions that the loan company displays in their website. Make sure that they require no teletrack as part of the verification process. Usually if teletrack is required they will clearly print it in the website to warn the potential borrowers of the qualification process.

What is Teletrack?

Teletrack is a financial service company founded in 1989 that provides lenders and businesses with the information of people’s credit information. By using their service, payday loan companies can expose your credit history, including bankruptcy and outstanding checks against existing loans. In America, many businesses across the country access their consumer data for risk mitigation, identity verification, fraud alert, and skip-tracing.

Fortunately, many payday loan lenders do not use teletrack with the consideration that the loan involves relatively small amount of money for a short-term period of time. What is more important for a payday loan is the proof that you have a full-time employment and regular salary to ensure that you can make the repayment after your payday when the loan is due.

Applying for a Payday Loan

Nowadays, getting cash from a payday loan is unbelievably easy. You can apply for it anytime anywhere given that you have Internet connection. It takes no more than 10 minutes to complete the online application. The money can be in your bank account as quick as 24 hours with direct deposit. No more trips to a local loan shop as you can do everything from the comfort of your home.

Some loan companies even go further to provide faxless payday loans, meaning that you require no paperwork at all to submit. No fax no paper required as part of the application process since everything has been managed electronically. This feature really gives a more convenience to no teletrack payday loans and improves the speed of getting the loan. When you are in a bind and face financial urgency you can simply turn into a payday loan service to get some cash instantly.

Unsecured loans are those which require no collateral or no security of your home against the loan amount borrowed. Unsecured loans generally do not have a flexible repayment plan. This is because the lender provides the loan without any security, at his/her own risk. Unsecured loans may have loaning amount as high as £ 25,000.

Loans available to tenants are always unsecured loans. This is because a tenant, by definition, does not own his/her own house. Unsecured tenant loans are available to all UK tenants above 18 years of age. Unsecured loans are a good answer to satisfy the needs of tenants, without worrying about the fact they do not have a house to pledge as security.

Unsecured tenant loans require no collateral against the loan amount. This is the basic difference between unsecured loans for tenant and secured personal loans. The terms of repayment are initially agreed upon between the lender and the borrower. After that, the loan amount can be used by the borrower to fulfil any financial need.

Various kinds of tenants, be it a student or a paying guest, can avail online loans. Another good news is that these loans are approved faster, since a lot of time is saved here which goes in the evaluation of the value of the collateral in the case of secured loans.

Unsecured tenant loans, however have a shorter loan cycle. This means that these loans have to be repaid in a relatively short time. The average cycle is one year and may extend at most to 5 years. Many attractive loans can be found on the net, designed to offer you quotes as per your needs.

Basic eligibility for applying for online unsecured tenant loans:

* You must be a legal resident of United Kingdom.
* You must be at least 18 years of age.

Documents required at the time of applying for a loan:

* Certificate of Employment
* Payday or Salary slip
* Proof of residence
* Proof of age

Your employment certificate and payday slips determine your repayment capacity, and an assurance to the lender of your authenticity. In case you are self-employed, there is a provision for self-documentation. At times, some lenders may also require a minimum employee period, say 1 year.

Unsecured tenant loans are provided by-

* banks
* high-street lenders
* online agencies

It is the borrower’s decision, how he chooses to apply for the loan.

In the growth of business, fund is considered as the most important factor. Even you might have business idea, management plan, business skills, intellectual backing and almost everything which is required for the successful business. But if you do not have required fund and equity then nothing can be done. If you are a deserving borrower than low rate business loans can be the facility for which you might be looking.

Low Rate Business Loans are available at lower rate of interest to the borrower who could not expand their business just because of financial problems. Low rate business loans are both secured and unsecured. If you have property then you can easily get the business loans at very low rate. By putting your property as collateral you can apply for low rate business loans. Lenders generally before giving secured low rate business loans count certain things like the value of the property, location and amount of loan.

Secured business loans are given for an amount of £ 50,000 to £ 1,000,000. You can repay in time period of 3 years to 25 years. Unsecured low rate business loans are given by lenders depending upon the credit record of the borrower from £ 1000 to £ 25000. Borrowers having good credit history are granted business loans at comparatively low rate than with bad credit history. Repayment term can vary from 6 months to 10 years.

With low rate business loans you can take your business to new heights. Nowadays there are a number of lenders, financial institutions and banks in the market that you can get low rate business loans the easiest terms and conditions. The better way to get low rate business loans are online mode because online you can get vast choice f selection. So when you get the right low rate business loans you can go to take it.