Low Rate Loans

Low Rate Loans



Low Rate Loans
Low rate loans are available from our market leading lenders and the​ one you​ choose will depend on​ how well they satisfy your particular requirements .​
One way to​ get the​ most competitive low rate loans is​ to​ look at​ the​ loans that offer the​ lowest APRs or​ Annual Percentage Rates .​
This is​ usually a​ good indication but should be considered along with the​ type of​ interest rate you​ are being quoted .​
Firstly,​ a​ typical interest rate is​ only an​ indication of​ the​ rate you​ may be offered as​ it​ is​ the​ average rate that over 50% of​ applicants receive .​
You will be offered an​ exact rate from the​ lender for low rate loans once your specific circumstances,​ the​ amount you​ wish to​ loan and the​ length of​ time you’ll need to​ pay back the​ loan has been considered .​
When a​ lender refers to​ a​ set rate then this is​ the​ rate offered to​ all successful applicants regardless of​ their credit history,​ loan amount or​ term.
Generally speaking,​ secured loans are low rate loans which will have the​ most competitive interest rates .​
This is​ because when you​ bet your home that you​ will repay the​ money borrowed; the​ lending company is​ taking a​ much lower risk lending you​ money .​
If you​ fail to​ meet your repayments and don’t pay back the​ loan then you​ will be putting your home at​ risk of​ repossession .​
The lower risk is​ reflected in​ the​ lower interest rates charged by lenders .​
In the​ case of​ unsecured loans,​ there is​ no requirement to​ secure the​ loan with your home and this means that the​ lender is​ taking on​ a​ higher risk .​
The lender compensates for this by charging you​ a​ higher interest rate .​
Unsecured low rate loans are usually processed quicker than secured low rate loans but it​ is​ important to​ make sure that you​ can comfortably afford the​ repayments as​ creditors have been known to​ act very aggressively in​ order to​ protect their money.
Low rate loans could be the​ answer for you​ if​ you​ are finding it​ difficult to​ meet your monthly debt repayments on​ credit cards,​ store cards or​ other loans .​
a​ debt consolidation loan could enable you​ to​ reduce your monthly payments but you​ will probably be paying back the​ loan for a​ much longer period .​
Another advantage is​ that you​ could find that you​ are under less pressure with just one creditor instead of​ many and this can also simplify your monthly budgeting .​
It is​ a​ good idea to​ take a​ look at​ your income and expenditure and the​ amount you​ owe and then work out a​ budget which also takes emergencies into consideration.
Another factor to​ consider with low rate loans is​ your method of​ application .​
Lenders can offer different APRs for telephone or​ postal applications with the​ lowest APRs for online applications .​
The reason for this is​ that when applying online the​ overheads to​ the​ lender are lower and this saving is​ passed on​ to​ you​ .​
APRs are a​ major consideration when looking for low rate loans but you​ should also be aware that some lenders charge an​ early settlement fee or​ redemption penalty for loans which are paid off before the​ agreed end date .​
This could be up to​ two months interest which is​ why it​ is​ wise to​ consider whether you​ would rather pay a​ slightly higher interest rate but with no settlement clause .​
It is​ also important to​ check whether the​ lender is​ quoting you​ a​ fixed interest rate (remains constant throughout the​ term of​ the​ loan) or​ a​ variable interest rate (can fluctuate with changes in​ the​ bank base rate).




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