While every method of finance has its own methods, secured loan lenders tend to look at – amount, length of time, credit profile, and equity – to come up with their secured loan calculations. By combining the length of time of the loan with the cost of interest, it can give you an idea of what your secured loan would likely cost you.
This gives you a much clearer idea about the cost of your loans, and what you are expected to pay. Many loans can come with extra fees on-top, though, so it is imperative that you look very closely at the loan you are being offered.
Also, remember that our secured loan calculator is only providing an estimate for you to use. Your rates could change – up or down – based on the kind of financial history that you have. Exact terms would be provided to you by the secured loan lender, once your credit checks have been completed.
2. How much can I borrow?
Of course, this is dependent on various factors that are reliant on your financial history. Your loan will be determined by how much you can afford to repay per month, and the loan type. Typically, we provide our secured loan calculator for a secured loan only.
These loans give you chance to get a loan for up to 25 years, with security that is often a high-value asset, like your home. Lenders want to ensure they can get back the best return on their opportunity, and a secured loan gives them either proof of repayment or the chance to claim an asset if you cannot make payments.
If you are in any doubt at all about your ability to consistently meet repayments, you should consider alternatives.