03 October 2017

Unsecured Tenant Loans- No Guarantee Loans For Non Homeowners

Normally, a borrower is asked to pledge any asset to get his loan approved. In most of the situations, the lenders ask him to offer his house as a security for the loan. This is done by the lenders so that they can take over the house in case of any default in the payment. But, the problem arises when the borrower himself is living on a rented house. In other words, there are many loan seekers, who don?t own any house. These persons can?t offer any collateral while applying for the loans. Unsecured tenant loans are particularly meant for such persons only.

These Unsecured loans can be acquired by the tenants very easily. They can meet many of their demands with the help of these loans. An amount of 100-1000 pounds can be arranged very easily with the help of these loans. This amount can be used to pay some personal expenses like telephone and electricity bills, education fees or even the rent of the house in which they are living. The lenders would not interfere in any appropriation of the loan amount.

However, the unsecured tenant loans can be applied by the persons who fulfill the essential conditions of these loans. The foremost condition is the permanent citizenship of UK for last one year. They are also required to have a permanent bank account to which the money can be transferred directly. The age of the applicant must be more than 18 years. In addition to this, the lenders want a regular source of income in his hand so that he can repay the loan amount easily.

These loans may carry a higher rate of interest. This is due to the risk taken by the lender by giving an exemption for the security. However, the borrowers may insist on the lender and ask for a lower rate of interest. This helps to raise funds at low cost.