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THINK CAREFULLY BEFORE SECURING OTHER DEBTS AGAINST YOUR HOME. YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON A MORTGAGE, SECURED LOAN OR ANY OTHER DEBT SECURED ON IT
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Capital raising is one of the major reasons people apply for a secured loan. Unlike a mortgage, a secured loan is quick and simple to arrange, and generally can be used for any legal purpose, including, holidays, business use, debt consolidation, to pay for a wedding, a holiday, basically whatever you require. A secured loan can be used to quickly fund the purchase of a property at an auction for example, which can be sold off or funded by a conventional mortgage at a later. More convenient time.
The amount of capital raising that can be done depends largely on the amount of equity in your property, for example a lender who will lend up to 90% of the value of a property would lend £45,000 on a £100,000 property with an existing mortgage of £50,000.
Remember with a secured loan there is no big redemption penalty, all you usually need to pay on repayment of the loan is 1 months interest.