A second charge is another term for a secured
loan, or second mortgage. Any first mortgage or subsequent
secured loan will be arranged by way of a legal charge that
is secured against a property.
Second charges exist within the finance industry
as a flexible and viable capital raising option for many
homeowners. They can offer a fast solution to a borrowers
finance needs and can be used for any purpose. In most cases,
loan sizes are made available from £5,000 to £500,000
upwards over terms ranging from 5 years up to 30 years.
The appeal of a second charge loan to many
borrowers is the speed in which the finance can be arranged,
the competitive rates of interest on offer compared to unsecured
lending, the minimal charges applied on early redemption,
the accessibility and flexibility. For those borrowers with
a poor credit history or limited proof of income may find
that the lenders security over the property can result in
a more accessible route to obtaining finance.
In the event that a property is repossessed
and subsequently sold; the proceeds from the sale will firstly
be used to pay off the outstanding first mortgage and then
the balance of any further charges, in order of registration
at the land registry - any funds left over will go to the
borrower.
Your property may be repossessed if
you do not keep up repayments on your mortgage.
The products and services promoted here are
not part of the Openwork offering and are offered in our
own right. Openwork Limited accept no responsibility for
this aspect of our business. These products are not regulated
by the Financial Services Authority.
