What is a Secured Personal Loan?

Perhaps you’ve heard of loans wherein the borrower has to present collateral to the lender. The collateral can be any form of valuable property that provides added security for the lender because the latter can seize it at any time if repayments are not completed. This setup is the main idea behind the secured personal loan that plenty of banks and other financial institutions in the Philippines have been offering for many years already.

Got Bills to Pay and Things to Buy?
Do you need extra cash?

apply now

Different Types of Collateral

What is a Secured Personal Loan?

So what are the different types of collateral that you can present and will be often be acceptable by lenders in the country? Filipinos often possess cars and other vehicles, so this is the usual collateral given. Even jeepneys or taxi cabs can be accepted.

Moreover, there are also plenty of Filipinos with one or more properties which can also be used for collateral. Some people who are in the lower and middle classes have inherited lands from ancestors but are often not knowledgeable about how to handle these assets. Sometimes they may resort to getting a secured personal loan as a financial solution and end up losing the assets. Hence, you should be very careful in this regard. Before taking out any loan, think about it thoroughly and make sure to finish the repayments.

In addition, some lenders would also accept stocks, bonds, and other paper assets as collateral. Furthermore, you can also present your savings account and even luxury items of great value.

Many offices and some micro-lending companies also offer the ATM loan wherein a regular employee surrenders his/her ATM card affixed to his/her salary. This serves as the collateral.

The Benefits of a Secured Personal Loan

Why should you opt for a secured personal loan rather than just avail of the unsecured one?

One major reason that some people opt to go for this secured personal loan is because they don’t have the necessary documents to submit for the application. Hence, they are given the alternative to just provide collateral. There are also those who don’t have fixed income so lenders are hesitant to approve their personal loans. But with collateral, it is possible.

Oftentimes, these secured loans are advantageous too because they enable you to borrow a bigger amount than usual. What’s more, you might actually be given more attractive terms too as part of the package. Another great thing about it is that many of these loans also come with much cheaper interest rates. After all, the risk is lessened because of the collateral.

Another benefit is the fact that many can depend on this type of loan if they need urgent cash. Robinsons Bank, for instance, can provide an immediate cash loan to someone who turns in valuable jewelry in gold and/or diamonds.

Certainly, secured personal loans are very common in the Philippines and provide several benefits that many Filipinos are able to enjoy. If you’re seriously considering applying for one, you ought to go over several offers first and choose one that is most suitable for you and with terms you believe you can stick to throughout the repayment period. This way, you won’t have to worry about the confiscation of your collateral.

Our Gift to You for Visiting Our Site


Learn the Secrets To:
  • Saving money on food & eating healthy.
  • Decreasing your bills instantly.
  • Commute, Holiday and Have Fun,CHEAPER!
Your guide is emailed to you INSTANTLY!
Get Gift Here Now
We will email you the complimentary guide. Your details are safe with us.

See Our Most Recent Articles Below

How to get a fast loan
How to Get a Fast Loan

As the loan industry continues to grow and competition becomes even tougher, there’s a growing number of private financial institutions or lending companies that are coming up with offers for faster processing and easier approval. After all, these are the top two factors that will provide them an edge over others, aside from interest rates. […]

The secret to reducing your expenses.
The Secret Solution to Reducing Your Expenses

Why do a lot of people live from paycheck to paycheck? Yes, the lack of money is a very common problem among many Filipinos, even those who have good paying jobs. This is because many ordinary Filipinos are not…

What Can I Use my Personal Loan for?
What Can I Use my Personal Loan for?

It can be quite common for many Filipinos to avail of a personal loan for a wide variety of purposes. If you’ve also been contemplating on applying for a personal loan, perhaps you’re…

What is a Secured Personal Loan?
What is a Secured Personal Loan?

Perhaps you’ve heard of loans wherein the borrower has to present collateral to the lender. The collateral can be any form of valuable property that provides added security for the lender because the…

Show All Articles and News
How much can I borrow?
How much can I borrow?

You will only be approved for a loan that you can afford based on your salary and existing expenses. This depends on what your current salary is and it depends on how much you borrow.

What are my repayments?

Your repayments will be based on how much you borrow. You will be provided with a loan that you can afford to repay. You won't be approved for a loan that you can NOT afford to repay.

Is this secure & safe?

Yes. We help thousands of Pinoys get a loan each year. And we have not yet had any 1 issue reported to us. The services we provide are secure and online. Your information is cared for like it is our own.

Who are you?

We're based right here in the Philippines. We match our clients to the right lenders. So you can have the best chances of approval and the quickest turn around time. We have partnerships with the biggest banks and lenders in the Philippines.

Need Extra Funds Fast? Holiday? School Fee's? Medical Bills? New Gadgets? or Home Improvements?

apply now