Tenant loans are not secured on any property and are underwritten, taking into account age, income and past credit rating. It is a homeowner secured loan that is secured on property, not a tenant loan. The underwriters at the tenant loan lenders, as they do not have a property as security, often offer lower amounts. The maximum is £25,000 for a tenant loan, however it is very unlikely that a tenant loan would be granted for that amount in the credit crunch we are experiencing at the moment. (What ever your credit rating)
Tenant loans as the name suggests are fot tenants but are really classed as personal loans or unsecured loans. Tenants of council houses or housing associations (HS) are more favorable than private tenants, as tenants of private properties often move after 12-18 months, while council and HS tenants stat in the property for an average 7-8 years. Tenant loans can also be targeted by brokers who charge up front administration fees to obtain or look for the tenant loan, the percentage of tenants who in reality who are granted a tenant loan is very low indeed. These tenant loan brokers may also ask you to find a homeowner to act as a guarantor, which is the same as a secured loan, however it is in join names, so if the tenant defaults on the tenant loan re-payment the homeowner guarantor will be reasonable to pay the tenant loan. The main reason for underwriters to refuse a tenant loan is income, as people applying for a tenant loan many not be able to prove their income or already have outgoing matching their disposable income.
Tenant loans are often only granted to people with an excellent credit rating, and a good repayment history. Most high street lenders only have loan plans for unsecured loans if you are a homeowner. Tenant loans can often carry a higher rate of interest than, unsecured homeowner loans, or even secured loans. There are still many lenders who will grant loans for tenants, but you need to find a broker who has the whole of market plans like JST Financial to give the best possible chance of obtaining the tenant loan that you require.
JST Financial specialist in tenant loans, so we invite you to fill out one short tenant loan application forms, we will find you the best loan to suit your circumstances and will not charge you any fees for doing so.
Apply for a tenant loan today and get the freedom you deserve! JST Financial offer a free service and we search a multiple panel of tenant loan lenders to get you the best tenant loan option available. Use our Calculator and see how much you can save.
Applying for a JST Financial tenant loan couldn't be easier; it takes just minutes to apply using our short tenant loan application form. Use the money as you wish or why not consider consolidating all your debts into one low cost easy payment?