Unsecured tenant loan UK


Unsecured tenant loans UK
Just because you are a tenant, it does not mean that you have to be at a disadvantage compared to home owners. Lenders do provide loans that are designed specially for tenants just as they provide loans to people who have their own house to use as security.

In terms of tenants, any tenant who resides in the UK is eligible for an unsecured tenant loan. This can include Ministry of Defence tenants, council tenants and people who are residing in housing association property. The UK faces a mini crisis due to the ongoing credit crunch in 2008 and as this shows no signs of abating in 2009, the availability of credit and loans to tenants is more important than ever before. By utilizing an unsecured tenant loan in the UK, the tenant can place all of their unsecured credit into one payment. It doesn’t always mean that the loan will consolidate all of the tenants outgoings into a cheaper monthly payment but it will help to keep track of their finances far better than before.

As long as you can satisfy the following requirements then you have a pretty good chance of obtaining a loan.

You must earn at least £10k a year
At least 18 years of age
Current (Bank) account
Proof of residency. Either on the voters roll or produce a utility bill covering the last 12 months

You can usually borrow anything between £300 all the way up to £30,000. In terms of interest that a borrower would pay, an unsecured tenant loan in the UK will attract a higher rate of interest so you need to be aware of this. All in all, any loan that is being offered to a tenant that does not have the security of a house, is always going to be more risky and lenders will price for this which is why those loans attract a usually higher rate of interest than a normal secured loan or mortgage.

Reblog this post [with Zemanta]

Related posts