| Many Brits find themselves in a fix when they are left | | | | that taken without any security. The former one will |
| with no money. The modern demanding lifestyle leaves | | | | also involve flexible loan conditions. These conditions |
| them with little option and many are not able to save | | | | may provide you flexibility in the repayment period and |
| enough for the rainy days ahead. In such difficult times, | | | | flexibility in the manner of repayment. The rate of |
| they have to opt for borrowing money. | | | | interest can be variable, fixed or capped. |
| Loans are the traditional tools of financial management. | | | | The monetary policy committee of the Bank of |
| Of course, you have to be little circumspect not to | | | | England fixes base rate of interest. It reviews the rate |
| indulge too much in loans. Otherwise, these may prove | | | | from time to time. Any change in the base rate would |
| more of a trouble than a tool for financial management. | | | | be reflected in the loan take on variable rate of |
| As a borrower, you have to fulfil two fundamental | | | | interest. However, if you have taken out a loan on |
| conditions - you must be a UK resident and eligible to | | | | fixed rate of interest then it would remain independent |
| enter into a contract. It means that you must be above | | | | of any change in the base rate of interest, at least for |
| 18 years of age. | | | | a specified period. In case of capped rate of interest, a |
| A borrower can be a homeowner or a tenant. In the | | | | ceiling is specified beyond which the rate of interest |
| UK, loans can be applied online. Different types of | | | | cannot move. So, when taking out loans UK you |
| loans UK are available for the borrowers. These loans | | | | should consider the effect of these terms and |
| have different terms and conditions. A loan taken | | | | conditions. |
| against your home is likely to be more economical than | | | | |