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What is a signature loan?
#1
I want to know your thoughts about how or what you understand about signature loans. What are its perks and its downsides.
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#2
A signature loan, also known as a good faith loan or character loan, is a type of personal loan offered by banks and other finance companies that uses only the borrower's signature and promise to pay as collateral. If you want to apply for a loan and you don't prefer having collateral then this type of loan is for you.
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#3
(01-24-2018, 08:35 AM)kaisantos2229 Wrote: A signature loan, also known as a good faith loan or character loan, is a type of personal loan offered by banks and other finance companies that uses only the borrower's signature and promise to pay as collateral. If you want to apply for a loan and you don't prefer having collateral then this type of loan is for you.

Thanks for your explanation. I have a few questions: Do these types of loans generally have high interest rates? What are the risks involved with a signature loan?
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#4
This type of loan is self-explanatory. Signature. You leave your signature and get the loan. The main demerit of signature loan is its high interest rate and that is due to no collateral involved.

Another risk that is involved in a signature loan is fine you are going to get if you don't pay the allocated money as at when due. So if you pay late there is a penalty for that.
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#5
What Is a Signature Loan?
A signature loan is a type of unsecured personal loan that requires only your signature for collateral. There is no need for personal property or asset as collateral to secure or guarantee the loan. Because of that, this loan is a little less risky for borrowers. Lenders, on the other hand, take more risk with unsecured signature loans. Because lenders take more risk, these loans are difficult to obtain. Also, because banks take more risk, they charge higher interest rates for a signature loan than they do for secured loans, such as a mortgage loan.

A signature loan is a fixed rate, fixed term unsecured personal loan that can be used for many purposes. This loan is a good option if you have a good community reputation and need quick access to funds in the form of an unsecured personal loan.

A signature loan is an unsecured personal loan that is secured by nothing but your signature. You promise to pay the loan using your signature, and you receive financing in return from the lender. Signature loans are commonly available for amounts ranging from $500 to $1,500.
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#6
Hmmmn, for me a signature loan, also known as a good faith loan or character loan, is a type of personal loan offered by banks and other finance companies that uses only the borrower's signature and promise to pay as collateral.
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#7
(01-28-2018, 07:20 AM)Uyj143 Wrote: What Is a Signature Loan?
A signature loan is a type of unsecured personal loan that requires only your signature for collateral. There is no need for personal property or asset as collateral to secure or guarantee the loan. Because of that, this loan is a little less risky for borrowers. Lenders, on the other hand, take more risk with unsecured signature loans. Because lenders take more risk, these loans are difficult to obtain. Also, because banks take more risk, they charge higher interest rates for a signature loan than they do for secured loans, such as a mortgage loan.

A signature loan is a fixed rate, fixed term unsecured personal loan that can be used for many purposes. This loan is a good option if you have a good community reputation and need quick access to funds in the form of an unsecured personal loan.

A signature loan is an unsecured personal loan that is secured by nothing but your signature. You promise to pay the loan using your signature, and you receive financing in return from the lender. Signature loans are commonly available for amounts ranging from $500 to $1,500.

A personal loan, sometimes also referred to as a Signature Loan, is a loan that can be used for many purposes. A Signature Loan is an unsecured personal loan. It's not secured by the equity in your home (such as in a home equity loan) or by some other personal property or asset (such as a car loan).
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