Secured loans have many uses, including consolidating credit cards

See how we helped our broker's customer with £50,000 of credit card debt

Situation: The customer was looking to consolidate six credit cards, totalling £50,000. The customers knew they could potentially be extending the term of their payments, but were looking to reduce their monthly outgoing and have just one payment, instead of six.

Problem: The broker was unable to find a suitable product, as the Mrs on the application was recently self-employed; therefore, she had a limited proof of income, which was limiting the options available to the customers.

Solution: Our Customer Relations Manager (CRM) was able to source a solution based on Mr’s income alone. The CRM would be extending the term of their debts slightly, but when reviewing their credit, it would still be beneficial to the customers’ situation.

The rates of the loans available to the customers were significantly cheaper than those of the credit cards, so even though the term may have been longer than that of the credit cards, the interest rate that was chosen was making them a significant saving of around £900 per month. The customers did disclose that they were aiming to remortgage in around 5 years, when they