Tenants, End Your Hunt For Loan: Unsecured Tenant Loan

Posted by Nick Niesen on November 8th, 2010

Being a tenant, I was facing a problem in availing the loan. I have always been refused loans by various lenders only for a reason that I didn?t have my own property. Unsecured tenant loan showed a faith on me. It is a kind of blessing for me, other tenants and the people who are facing problem in availing loan just because of the reason for not owing a property.

Now taking a loan is no longer a dream. Unsecured tenant loan enables us to get loan though we are not a property owner. Unsecured tenant loan is just a form of unsecured personal loan. Nowadays the market is full of lenders who provide unsecured tenant loan at your convenience and that suits your budget.

Unsecured tenant loan are sanctioned and approved quickly as they do not involve any asset valuation. The person to avail unsecured tenant loan has to furnish some details such as his identification, proof of residency and his source of income to the lender.

Apart from all banks and building institution, the online lenders also provide this loan. Online lenders just ask you for certain details in the application form and if they find you eligible for the loan, they get back to you within few hours. In addition to speedy applications of online tenant loans, one of the benefits is that the borrower can apply for loan from the home itself and at anytime. Now almost every lender uses electronic fund transfer, so the borrower can receive the money within few hours of getting loan approved.

Unsecured tenant loan are much safer than any other loan as your property is not involved. The person can use the unsecured tenant loan for consolidation of his debts, for his home improvements, financing his car and paying off its previous debts or any purpose.

The people with bad credit history, such as with arrears, bankruptcy can also apply for such loans without any hassle. But the person should always remember that the good credit history is always a positive score in availing a loan. The good credit score helps the person to borrow on easy terms.

One of the shortcomings of such loans is that the interest rate is charged higher than any other secured loan. As the borrower is borrowing money without collateral, to compensate the risk, he charges higher rate of interest. As no property is involved, the borrower should not think that the lender could not liquidate his asset when he misses any of his payments. It is correct that he cannot liquidate the asset but he has the right to take the borrower to the court in case of any miss payment. Therefore, the person should consider his ability to pay back before going for a loan.