Search
Recommended Sites
Related Links






   

Article Content

Avail Finance At Better Terms On Unsecured Home Improvement Loan

Even if you do not want to offer your home or any other property to lenders as collateral, you can do those home improvement works if you avail unsecured home improvement loan. This loan is especially designed for people who do not like to risk their property for the fear of repossession. Unsecured home improvement loan can be utilized for numerous purposes like adding a storey to the house, painting, plumbing, redecoration etc.

As no collateral is offered to lenders, credit report, credit score and financial standing of the borrower plays a crucial role in availing unsecured home improvement loan. In the absence of collateral, risk involved in the loan offer increases. To reduce the risk, lenders first see the credit score of the borrower. Lenders consider a credit score of 620 and above as safe and risk free for offering loan to such borrowers. So to avail unsecured home improvement loan borrowers should look into their credit score. If the credit score is not good enough then make efforts to improve it by paying off easy debts and adding this in the report. This may increase your credit score.

There are three major credit rating agencies namely Equifax, Experian and Transunion. FICO score of Experion gives real picture of borrower’s credibility.

Your financial standing and loan repayment capacity also counts a lot in availing unsecured home improvement loan. You should give proof of your steady income source and show that you are able to repay the monthly installments and principal amount of the loan. Once lenders are satisfied with your financial position, getting unsecured home improvement loan becomes

easier.

Lenders offer unsecured home improvement loan to the borrowers anywhere in the range of £500 to £25,000 depending on the credibility and repayment capacity of the borrower. The loan is usually given for a repayment term of 6 to10 years.

Unsecured home improvement loan come with a higher interest rate because lender is not offered any collateral and the lender has to cover the cost of insurance policies which are taken to protect lender in case borrower fails to pay back the loan. The interest rate, however, can be brought down if the borrower applies for the loan online and out of numerous loan packages borrower can chose the one containing lower interest rate.

Borrowers should ensure to them that loan amount is within their repaying capacity so that they do not fall in a debt trap. They should also pay monthly installments in time. This way the loan will add to your financial strength.


About the Author:

Dina Wilson is an expert loan advisor at online home improvement loan. She has done MSc Management and Finance from University of Whales. To find Home improvement loans, cheap online home improvement loan, online home improvement loans visit http://www.online-home-improvement-loan.co.uk


Read more articles by: Dina Wilson

Article Source: www.iSnare.com

Written by: Dina Wilson

Informative Articles

Different Sources of Home Improvement Financing
If you are a homeowner, then home improvement and repairs are very important for you. The need for repair is bound to arise. Your heating system may break down. Something may go wrong with the plumbing in your house. You may also need to remodel...

Finding the Best Home Improvement Loan Rate
If you're looking for a good home improvement loan rate, you might have to take your time and shop around a little bit. The home improvement loan rate that you get can depend on several factors… your credit history, the amount of the loan you're...

Home Improvement Mix Match
Home improvement is simple at times, still having the ability to follow instructions is essential in getting the work done right. In this article, I will provide you a bit of insight on installing new faucets, showers, drywall, and putting...

Home Improvement Rules To Follow
Even though home improvement is pretty straightforward most of the time, it is important to carefully follow instructions in order to successfully complete a home improvement task. Many home improvement jobs take a lot of time to complete. This...

Home Improvement Websites
There are hundreds of thousands of home improvement websites out there each one jam packed full of advice, tips and hints to help you on your journey to a new and improved home. Each website is of course based on different places around the globe...

Recommended Products