Asset finance loans are used to purchase physical assets. A common type of asset finance is a loan to buy a new car. In many cases, the asset you’re purchasing could be used as collateral for the loan – which is referred to as a ‘secured loan’. With this
arrangement, the lender provides cash to finance the asset purchase, and you’re require to pay back the lender, with interest.
Our job is to help you get a personal loan, making the process hassle free and simple.
The purpose of a secured loan is to use an existing asset such as a car, as security to borrow money. Alternatively, it can be used to purchase a new car using the car as collateral against the loan. Having a collateral lets minimise the risk of a loan and generally secured loans carry lower interest rates and charges.
An unsecured personal loan is taken when you do not wish to use your asset (car) as a collateral against the loan. Unsecured loans carry higher risks and so, you generally pay a higher interest rate. The idea behind an unsecured loan is that it can help you get what you need now, with a simple arrangement to pay for it over time. Clients can choose from either fixed or variable interest rates of interest.
Why take a personal asset finance loan?
A secured or unsecured personal asset finance loan has many advantages. Some are:
Better interest rates than credit card
A personal asset finance loan goes through all the basic steps of administering a loan but is usually taken up for smaller amounts than a home loan. Whilst a credit card can be used for the same purpose and easy to use, a credit card debt is costlier because of a higher interest rates post the interest free period (usually 55 days)
Faster approval
Personal asset finance loan is easy to apply and approved faster. A loan can be applied online and many lenders are quick to approve a loan (depending on your credit rating).
Can Sure Finance help secure a Personal Asset Finance loan?
Sure Finance will utilize their experience in helping you assess the correct type of personal asset finance loan and facilitate the loan application to funding process.
