It's a well known fact that the vast majority of UK consumers looking to borrow money prefer to take the unsecured loan route. But why? In simple terms it's often easier, faster and less risky to use an unsecured loan than take the secured loan path. But there's still a strong market when it comes to loans that are secured.

Quick secured loans are often a second port of call for borrowers who have been drawn in by the benefits of an unsecured loan facility, not realising some of the obstacles facing them. On a best buy table or newspaper advert you see the attractive % APR offer and think that's exactly what you were looking for and go for it.

But after a credit check, a few questions about you and your finances you could quickly see the rate jump, sometimes as much as 50%, as the lender turns the advertised rate into a rate that they feel is realistic for the risk of lending the money to you. The rates advertised are often a 'best case scenario' so you'd be well advised to check and double check the rate on offer before you apply.

On the face of it unsecured loans look like the cheap option and in some cases an unsecured loan will work best. Our advice, "buyer beware". The goalposts can quickly change before your eyes so make sure you are comparing the unsecured facility with the quick secured loan option and make an educated decision from there taking into account all of the risks and benefits of each. And if you're unsure, get in touch and we can run over the options with you.

Remember as well that secured loans are taking security, normally against your house, for the debt which reduces the risk to the lender and may make access to funds easier for you. This is especially relevant for anyone looking to borrow a large amount of money, say anything over £20,000.