What’s the Difference Between a Secured and Unsecured Loan?
The difference between a secured and unsecured loan is whether or not you put up collateral for a better rate or to offset bad credit. If your credit history is less than stellar, you may be required to get a secured loan, using the money in your Staley CU accounts as collateral. With an unsecured loan, you’ll be able to use your good credit to get a loan without collateral, but it will likely come with a higher rate and/or lower borrowing limits.
Unsecured Personal Loans
Qualifying members can receive an unsecured loan for up to 5 years. This way you can leverage your credit score instead of your savings account to borrow the money you need. The borrowing amount is dependent upon a variety of factors and must be configured on an individual basis.
- The maximum term for an unsecured loan is 60 months and the amount available is determined on an individual basis.
Secured Personal Loans
If you don’t qualify for an unsecured loan, or you’d like a better rate or to increase the borrowing amount, you can use the money in your Staley CU Accounts as collateral to make it happen.
- Our secured personal loans utilize the money in your savings or certificate accounts in the Credit Union as collateral.
- The terms and interest rates vary and are dependent upon the type of collateral used.