Loans can be classified into two major types: secured and unsecured. In this video, we’ll explore how these loan types might fit different needs. Secured loans, such as home loans, gold loans, and loans against property, require collateral. These loans often come with specific usage restrictions. For example, a home loan could help you buy, build, or renovate a house. Similarly, a car loan might help you finance a new or used vehicle.
Unsecured loans, by contrast, do not require collateral. Personal loans, education loans, and business loans are some examples. A personal loan might give you the flexibility to use the funds for various purposes. Education loans may cover tuition fees and living expenses during your studies. If you’re a business owner, a business loan might help you fund your operations or expand.
We’ll also discuss balance transfer loans, which could help lower your interest by switching lenders. A top-up loan might allow you to borrow more once you’ve repaid part of your existing loan.
By the end of this video, you might have a clearer understanding of these loans and how they could work for you.
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