All About Loan In Singapore
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Secured And Unsecured Personal Loans For The Unemployed

If you happen to be legally unemployment, you can still get access to cash through programs created to offer personal loans for the unemployed. Loans can be generally classified into 2 broad types. Secured with collateral, and unsecured without collateral. However, these days even unsecured loans require you to provide a personal guarantee for the loan. Just like general loans, personal loans can be classified into these 2 types of loans.

If you have collateral in your possession that you are more than comfortable to use as collateral for the personal loan, by all means use it. Secured personal loans are more easily approved by the lenders because it gives them more peace of mind in giving you a personal loan. If the asset you are using as a collateral has a high market value, be sure to ask for a fair quantum of personal loan from the lender. It wouldn’t make sense if you are pledging $50,000 worth of common stock for a $10,000 loan.

Unsecured loans can be subject to more stringent assessment because there is no collateral involved. Lenders wouldn’t want to put unnecessary risks on their money loaned out to you as a personal loan.

Both secured and unsecured personal loans will have differences on loan amount quantum, repayment periods, and interest rates. Because when a collateral is used as a security, it is a safer lower risk transaction. Therefore, lenders will be more willing to offer you good terms for your personal loan as they classify it as low risk. That means that you can expect higher loan amounts, lower interest rates, and longer repayment period when you are taking up a secured personal loan compared to an unsecured personal loan.

So you get a better deal when you have some collateral of value to pledge for your personal loan. Personal loans for the unemployed are widely available. You should conduct proper research of the market to know what is available in the market and what is the market terms and rate. You can easily find information online about personal loans for the unemployed. Some lenders even allow you to apply for the personal loan online. That means you can find them any time of the day. Because these loan products are created for the unemployed, the criteria is pretty basic. Most people can qualify for them easily.