Personal
Loans
About
Personal Loans
A personal
loan is an amount of money that you borrow from a bank, building
society or some other lender. This is usuallya lump sum. You then
agree, in return, to make regular repayments which are usually monthly
although these payment can vary. The most common personal loan is
a repayment loan, whereby some of the money you repay will go towards
servicing the loan ( interest payments ) and the rest of your payment
will be used to pay off capital and reduce the outstanding debt.
The
two basic types of personal loan are secured and unsecured. With
an unsecured loan you will normally make payments on a regular basis
to the lender who, if you should default on the payments, would
have to take legal action to obtain the outstanding money. With
a secured loan the terms are different since the lender will ask
for the amount that you borrow to be 'secured' against a piece of
your property, usually your home although other items of value can
normally be used, These would become the property of the lender
in the case of default.
Please
note: that this is a very basic description and
you should always check very carefully with lenders about their
terms and conditions before entering any agreement since these may
vary.
List of Major Secured Loan Providers
List
of Major Unsecured Loan Providers
List
of Major Debt Consolidation Loan Providers
OCIS
provide general financial information, we urge you to consult an
Independent
Financial Adviser ( IFA )
before making any important decisions about your finances. |
