Within the last few months banks and building societies are making it more difficult for people to get credit, including unsecured loans, through stricter lending criteria. This is resulting in people being refused unsecured credit and a secured loan may be the best option.


According to an article in the myfinances.co.uk website (www.myfinances.co.uk), Neil Munroe of Equifax said “What our survey supports is industry expectations that lending criteria would be tightened following the credit crunch mid 2007″ and this “Clearly this presents a challenge for consumers looking to get new credit in the early part of 2008.”

The article goes on to say “with tightening lending criteria in the aftermath of the credit crunch, lenders will be looking more closely at applicants’ credit histories. And late payments could be enough reason to refuse a loan.” This means that more people will be refused for less reason.

If this has happened to you then an alternative could be to take out a secured loan. A specialist broker may be able to organise this for you even if you have adverse credit or arrears problems.