What's the distinction between a secured loan and an unsecured loan?

There are differences when considering bad credit loans which come under secured finance and short term loans. These are: Collateral: Collateral is necessary for an unsecured loan. In secured finance, there is absolutely no such requirement. Interest: The interest rate for secured personal loans is low whereas the interest rate in quick unsecured loans is high. Simply because the danger when it comes to bank is much more in quick unsecured loans. Tenure: The tenure…