Unsecured loans

Personal loans where the lender does not have any rights over the customer’s assets.

Secured loans

Personal loans where the lender has some rights over the customer’s assets if the loan is not repaid. An example is a second charge mortgage.

Motor Finance

Obtained through a car dealership to allow a customer to purchase a new or used car. This can be a lease deal, Personal Contract Purchase, Hire Purchase or an unsecured loan from the dealer. Under most motor finance deals, the finance company will own the car until the last payment is made. The secured nature of the agreement allows motor finance companies to offer good deals on finance.

Consumer Finance

Includes just about any type of lending activity that results in the extension of credit to a consumer.

Asset finance

A secured loan which allows businesses to purchase new plant, machinery and equipment.

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