UK Loan Features - Guide to UK Loans

All types of UK loans (& UK loan features) fall into one of two categories - secured loans or unsecured loans. For more detail on these terms, click here.

Whether a loan is secured or not, there are a number of features associated with it. The main features are:

* Charges, fees and interest applied to a loan are essentially the cost of borrowing the money, i.e. the APR.
* In addition to the normal conditions of a loan, there may be some promotions and special conditions that are applicable to the particular loan you are considering.
* The term of the loan refers to the length of time the loan is granted for.
The flexibility of the loan refers to the agreement between you and the lender for certain periods during the term of the loan when you are not using the money.
* Penalties refers to charges that the banks will apply in the eventuality of you breaching some of the conditions of the loan.

You should consider the facts and practicalities of your proposed purchase or investment in light of the above features before deciding which is the most manageable and affordable type of loan for you.

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