What about personal loans?

The advantage of a personal loan is that it is a fixed amount with regular repayments; this makes it much easier to budget for.  The disadvantage of a person loan is that some loans may penalise you for repaying early with an early charge fee.  Whilst with secured loans you risk loosing your property if you cant make your repayments.

Unsecured Loans.

An unsecured loan is where you do not need to provide security in order to get the mortgage deal you want, where you don’t have to provide security, such as your home, against the amount you have borrowed.  If you are looking to consolidate your debts an unsecured loan is best for you.  The more you borrow, the less you have to pay back is the general rule.

Secured Loan.

Secured loans are the opposite, they are backed by your property, and so if you can’t keep up with your repayments, then your home will be repossessed.  These kinds of loans have minimum advances and longer minimum terms than unsecured loans.  Lenders may also charge you an arrangement fee, so for smaller borrowings it is advised you go for an unsecured loan.

Over Drafts.

The advantage of an over draft is that it is especially useful if you need to pay back a small amount over a short period of time, and once established you can dip into your over draft when and if you need to, so it is a good safety net if you come into financial difficulty.  However, there is a disadvantage, unauthorised over drafts can cost you vast amounts of money, so be aware of what you are letting yourself into.