Sometimes a Debts Management Plan or an IVA is not your best debt solution to your debt problem. Debts Management may be able to offer you one of our secured lending opportunities which might be more suitable.

What is Secured Lending?

Secured lending can allow the debtor to consolidate their unsecured debts into a secured loan. This may often most suitable for those who have equity in their home, can afford to make the new secured loan payment and want to take advantage of a potentially lower interest rate.

Secured Lending Benefits

Benefits of Secured Lending, in comparison with alternative debt solutions, could include:

• Lower monthly payments
• Payments are more affordable to you
• One single payment which is easier to manage
• Often a better interest rate than with an unsecured loan

Secured Lending Implications

You should be aware that as well as any benefits of Secured Lending, there can be some implications which must be noted. These include:

• Not everyone is suitable for secured lending
• Longer time to clear your debts
• Risk that spending may continue on the consolidated debt.

Debts Management Services

Secured lending services which Debts Management can offer you advice on, include:

• Secured Loans – A Secured Loan is otherwise known as a homeowner loan, and is secured against an asset of value. It is normally most suited to homeowners who have equity in their property.
• Remortgages – A Remortgage can be a great way to consolidate your unsecured debt or raise additional funds using the equity in your home.
• Consolidation Loans – Consolidation Loans are often secured against an asset. They are used to clear high-interest unsecured debt, such as store cards, overdrafts and credit cards.

Each section seeks to provide you with the basic information about each product area, such as who they are suitable for, how they work to help you with your debts problems and any benefits and implications.

For advice and information about secured lending or other debt solutions, contact Debts Management today on 0800 0481 777 or fill out the QuickEnquiry for a free callback.

THINK CAREFULLY BEFORE SECURING OTHER DEBTS AGAINST YOUR HOME. YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE. IF YOU ARE THINKING OF CONSOLIDATING EXISTING BORROWING YOU SHOULD BE AWARE THAT YOU MAY BE EXTENDING THE TERM OF DEBT AND INCREASING THE TOTAL AMOUNT YOU REPAY.

For mortgages and re-mortgages the overall cost for comparison is 5.5% APR variable and for secured loans 14.5% APR variable. The actual rate will depend upon your circumstances. Ask for a personalised illustration. A broker fee may be payable on completion, and will depend on your circumstances. For mortgages and re-mortgages this fee is typically between 0% and 3% of the gross mortgage amount, subject to a minimum of £2,495 and a maximum of £3,995. For secured loans, the fee is typically between 0% and 10% of the loan value.

A Consolidation Loan could allow you to consolidate your existing debts so you are left with one monthly payment. Debts Management will search our panel of lenders to see if we can find you a consolidation loan to suit your personal circumstances.

The main advantages of a consolidation loan can be that you are dealing with one single creditor, you make a lower monthly payment as well as a lower interest rate than your unsecured debt.

Although you could be paying your debts off over a longer period through the loan, it will leave you with one creditor and a lower payment meaning that you may find that your financial stresses are reduced. There is also the risk that if you are unable to make your repayments to your consolidation loan then your home is a risk of repossession.

Unsecured Consolidation Options

Remember, if you are struggling to pay your debts there are other options such as a debts management plan. A Debt Management Plan offers you similar consolidation advantages, without the risk of losing your assets.

For advice and information on how to deal with your debts, call us free on 0800 0481 777.

THINK CAREFULLY BEFORE SECURING OTHER DEBTS AGAINST YOUR HOME. YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE. IF YOU ARE THINKING OF CONSOLIDATING EXISTING BORROWING YOU SHOULD BE AWARE THAT YOU MAY BE EXTENDING THE TERM OF DEBT AND INCREASING THE TOTAL AMOUNT YOU REPAY.

For mortgages and re-mortgages the overall cost for comparison is 5.5% APR variable and for secured loans 14.5% APR variable. The actual rate will depend upon your circumstances. Ask for a personalised illustration. A broker fee may be payable on completion, and will depend on your circumstances. For mortgages and re-mortgages this fee is typically between 0% and 3% of the gross mortgage amount, subject to a minimum of £2,495 and a maximum of £3,995. For secured loans, the fee is typically between 0% and 10% of the loan value.