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2008-03-29 01:23:20
Bad Credit Second Mortgages - Am I Eligible for a Secured Loan with Poor Credit?
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 Home ownership is the great "equalizer" when it comes to applying for a loan.
If you have poor credit but own a home, companies will still be more than eager to do business with you. The reason? You are able to offer collateral in the form of the equity in your home. Meaning, regardless of your poor credit history, banks or other lenders will still be eager to lend you money due to the fact that their loans will be "secured".
A second mortgage is when you add another company to your mortgage, and in exchange, they lend you a sizable amount of money.
To calculate how much you can borrow, you simply take the total appraised value of your home or flat and subtract any and all mortgages or secured loans that are outstanding from the balance.
So if your home is worth 200k pounds, and you have 150k of mortgages and secured loans outstanding, then typically you would be able to borrow up to 50k pounds, regardless of your credit history.
It's not just poor credit either. It's arrears, poor credit or even CCJ's. If you own a home then banks will still deal with you. It's as simple as that.
Second mortgages can be taken out for a wide variety of different reasons, including:
-debt consolidation
-home improvements
-new vehicle purchase
The advantages of taking out a second mortgage on your home versus taking out an unsecured loan are numerous. They include:
-greatly increased borrowing power
-flexible repayment schedule
-much lower interest rates
The biggest advantage is the lower interest rates. With a secured loan you are likely going to pay in the neighborhood of 8-9% APR - with an unsecured loan, you would be paying closer to 15-16%. Add this up over the course of your loan and you will see that this is a major difference.
Applying for a second mortgage is quick and easy. Simply click on this link and fill out our three minute application form. This is a free loan offer and you are under no obligation to take out the loan should you be approved.
Apply for a Lending Place secured loan today!
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Get Your Free Loan Offer Today - Click Here
There is NO FEE and you are under NO OBLIGATION!
We'll Compare over 250 loan plans and search over 90% of the loan market.
Applicants with bad credit history, Mortgage Arrears, Missed payments or CCJs are welcome.
A lot of big banks are competing for your business - Apply Today
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