Secured loans
- Backed by an asset such as property or equipment
- Lenders may be able to offer larger amounts
- You risk losing the asset if you default
Unsecured loans
- No asset is pledged
- Approval relies more on your credit and income
- Amounts may be smaller or costs may be higher
The right choice depends on your needs, your assets, and how comfortable you are with the risk.
General information only, not advice. See our glossary.