Homeowner Loans (Call 0800 138 2657)
Whenever a property is used to secure finance it is described as a Secured Loan or Homeowner Loan. A homeowner loan reduces the risk to the lender therefore borrowers can generally get a loan with lower monthly repayments than a personal or unsecured loan.
Homeowner loans can be for loans from £3000 to £500,000 or higher depending on the equity (risk). Loans that are registered at the land registry after a mortgage are often called a homeowner loan. If a mortgage is already in place on the property this sort of loan is known as a second charge.
Homeowner loans are generally taken out between four and twenty five years. If the borrower should wish to repay a homeowner loan early there may be a penalty charge. Early repayment can differ for individual lenders. Homeowner loans for £25,000 or less are regulated by the consumer credit act. Lenders are obliged to charge no more than 30 days interest as an early settlement penalty for homeowner loans of £25,000 or less.
Interest on homeowner loans will be charged on the sum borrowed, which is measured by the Annual Percentage Rate (APR). The amount borrowed, the APR and the term available, will all depend on your own circumstances and the lenders view of your ability to repay your homeowner loan. Some lenders will lend up to 125% of the value of your property (excluding the amount outstanding on any original mortgage).
Homeowner loans are generally easier to get than unsecured loans. As the lender secures a charge on your home, their risk is much less than if no security is given. It also makes it easier for homeowners who have recently changed jobs, are self employed or have a poor credit history to obtain loans. The maximum lending facility is much higher for homeowner loans. The maximum amount of any homeowner loan will directly depend on the mortgage balance or the mortgage company's maximum liability (for a flexible mortgage) and the value of the property.
Applying for a Chase Saunders Homeowner Loan:
After simply filling in our quick enquiry form, an underwriter will call to discuss your personal circumstances. All homeowner loan enquiries are taken by an underwriter as we employ NO tele-sales staff whatsoever nor do we have a call centre. This means that you simply ask for your underwriter by name after the initial contact and they will be able to discuss your loan personally without the interference from unskilled 'messengers'.
The application will be quickly assessed and in most cases a quote will be given immediately after the underwriter has taken some basic details. The Consumer Credit Act regulates loans under £25,000, which requires a consideration period of seven days to be given to ensure that you are happy with all the terms and conditions. This delay is unavoidable for loans less than £25,000
