{"id":89,"date":"2017-03-08T05:10:04","date_gmt":"2017-03-08T05:10:04","guid":{"rendered":"https:\/\/www.cashamericatoday.com\/blog\/?p=89"},"modified":"2026-04-16T12:48:16","modified_gmt":"2026-04-16T12:48:16","slug":"secured-and-unsecured-installment-loans","status":"publish","type":"post","link":"https:\/\/www.cashamericatoday.com\/blog\/secured-and-unsecured-installment-loans\/","title":{"rendered":"How to differentiate between secured and unsecured installment loans?"},"content":{"rendered":"\n
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Looking for quick cash online or in store, for emergency expenses? First, learn the different types of loans available to consumers and the basic differences between each. Lending products such as installment loans or any loans in general, usually fall into two broad categories- secured and unsecured.<\/p>\n\n\n\n

What is a secured installment loan?<\/h2>\n\n\n\n

It is a personal loan that is usually backed or protected by collateral. The borrower pledges some sort of assets such as personal property (home), bonds, stocks, vehicle, etc. in order to secure the cash advance. Banks or alternative online lenders will hold the deed until the loan amount is completely paid back along with the interest and other fees applicable.<\/p>\n<\/div>\n\n\n\n

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Secured Loan Features:<\/strong><\/h2>\n\n\n\n

Larger amount of money:-<\/strong> Traditional lenders find it risky to lend funds to borrowers who lack personal guarantee. However, with these types of collateral loans, you can get easy access to big sum of cash easily.<\/p>\n\n\n\n

Secured loan rates:-<\/strong> Usually, such online loans are offered with low rates making it affordable to repay. Since you guarantee the loan repayment with your personal valuables, the risk to lenders is considerably lessened and thus you get lower rates.<\/p>\n\n\n\n

Repayment terms:-<\/strong> It is important to repay your loan with collateral as per the agreed terms and conditions. If you default on the payment, there may be a risk of losing your property or any other security that you have pledged. However, secured loan lenders provide better terms and hence there is no threat to your valuables.<\/p>\n\n\n\n

Examples of the best secured loans:<\/strong><\/h3>\n\n\n\n