Are secured loans common in the UK?

Over the last few years' secured loans have become an extremely popular way for UK borrowers to attain credit. Analysts believe that by 2013 the UK secured loans market will be worth approximately £11 billion pounds. The primary factors used to explain this growth, which have already been touched upon within this guide include: -

* The ability to borrow larger amounts, over longer periods of time.
* The ability to source a competitively priced loan, regardless of credit history.


However there is one other factor, which also plays a vital part in the growth of this particular loan type.
the housing market. The vast majority of applicants realise that secured loans provide the ideal vehicle to release equity from their home, especially if market conditions have been favourable. However, if economic factors were to have an adverse effect on house prices, and equity levels were to decrease as a result, it would be highly likely that the secured loans market would slow if not even decline.