After the news hit that eight lenders will no longer be offering a secured loan rate UK package, the interest rates have gone up even further for these loans. The decision not to offer any more secured loans has hit consumers hard, particularly since it seems to indicate a growing trend that is not likely to be reversed any time soon.
“With the effects of the credit crunch continuing to bite, it seems likely that rates for all types of borrowing will continue to increase,” Moneyfacts.co.uk predicted. Hit particularly hard are secured loan rates UK. The previous high point for interest on this type of loan, particularly for a short term loan was 20%. This has now gone as high as 27.9% with some lenders.
Even larger amount secured loan rates UK are seeing an increase in their overall interest rates. Previously, those who were able to get low secured loan rates UK did not have to worry if they needed a large loan. However, this has changed recently and these loan products are also undergoing a significant raise in their interest rates. Coupled with tightening restrictions, this spells bad news for those who need a low secured loan rate UK.
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