Most of the cash advances require a person to pledge any of his or her assets with the lender before applying for any loan. It is because no lender wants to risk his or her money by granting loan without any security. This may be helpful for a money lender, but it creates an unnecessary tension for a borrower who has to now arrange for some asset to keep. To reduce his or her tension, we have introduced unsecured loans.
Unsecured loans are small loans which are designed for the people without any asset to pledge. The amount of such loans is generally very small. It may go from 100 pounds to 1500 pounds. In most of the situations, it remains at around 1000 pounds. This amount is offered for a very short span of time. This time period may vary from few days to few weeks.
Currently such loans are offered only to the permanent citizens of UK. A person should be above 18 years of age if he or she is interested in such loans. He or she should also be on some job. These loans are only for the employed persons. Borrower should be earning not less than 1000 pounds if he or she wants to take these loans. He or she should also have a valid bank account in any bank of UK. It is this bank account which will be credited by the loan amount once it is approved.
The best part of these loans is there collateral free nature. These are offered without any stress. A borrower does not need to worry about the risk of loosing the asset. But these loans also have a demerit. These are having higher rate of interest as compared to other loans.