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When will I get my secured loan?

It could take around three to six weeks for you to get a secured loan. The exact amount of time it takes depends on the lender you apply to. Each lender follows their own application process.

3 min read
Woman on phone to bank

Understanding secured loans 

Secured loans are tied to an asset, usually your property (e.g. your house, bungalow, flat etc.). They are also known as homeowner loans or second charge mortgages.  

If you were to sell your home, the proceeds would pay off your mortgage first. Then any remaining funds would go towards your secured loan. What’s left over, if there is anything, would go to you. 

If you stop making your loan repayments, your lender has the right to repossess your home to claw back owed funds. So, make sure you can afford the repayments for the full loan term before you go ahead. 

Because the lender has this added layer of security, they may allow you to borrow more money - even if you have a bad credit history.

Plus, you can normally spread the repayments over a longer period and get more competitive interest rates compared to personal loans. 

Bear in mind, the amount you can borrow depends on several factors, including: 

  • The value of your property
  • Your equity (how much you own outright)
  • Your financial background

Why do secured loans take longer? 

It can take longer to get a secured loan compared to a personal loan because the lender needs to carry out more checks and complete more paperwork. This is due to the large sums of money involved and the fact the loan will be attached to your property.  

Tip: To save time, make sure you complete the forms as accurately as possible. That way, they’ll have less cause to query your application. 

How to prepare for your application 

You can prepare for your secured loan application in several ways. To start with, you can use a loan calculator like ours to help you work out how much you’ll need to pay each month. This is based on how much you want to borrow and for how long. However, if it’s more than you can afford, you may need to rethink your choice. 

Another thing to work out is how much equity you have in your home. Equity is the difference between your current house value and your outstanding mortgage balance. The more you’ve paid off, the higher your equity will be - and the more you may be able to borrow against your home.  

Once you’ve worked this out, take your time to shop around for a loan that works for you. You could consider using an independent financial advisor, or a loan broker like Ocean. 

What can I use the funds for? 

You can use the money from a secured loan for most things (but not gambling or anything illegal). Popular options include debt consolidation and home improvements. The choice is yours. 

Secured Loans from £10,000 to £100,000

  • Check if you’re eligible before you apply
  • We compare 100s of secured loans
  • Getting a secured loan quote won’t affect your credit score
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We have found loans with rates from 2.6% to 26.3% APRC which has allowed us to help customers with a range of credit profiles.