GLOSSARY

Unsecured Loan

Unsecured Loan


Unsecured loans are personal loans that you apply for without offering an asset as security to the lender. If you do not make the repayments on an unsecured loan, the lender may pursue you via court action for the cash. As unsecured loans are a higher risk to lenders, you will usually be able to borrow lower amounts. You will also often receive higher interest rates in comparison to a secured loan.



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