What Documents do I Need for a Secured Loan?

To apply for a secured loan in the UK, you'll need to provide some documents to prove your identity, income and credit history.

It's important to remember that our advisors can help you if you are not sure if you have all the paperwork.

You Can Apply for a Secured Loan In The UK With These Simple Documents

• Identification documents such as passport or photocard driving licence
• Proof of income, e.g. payslips, tax returns, bank statements
• Credit history. We can soft search this electronically with your permission

Why is proof of identity needed?

In today's world, it's more important than ever to protect your personal information. That's why when you apply for a loan, you'll need to provide some proof of your identity. This helps prove that you are who you say you are and that no one can fraudulently apply for a loan in your name.

So what do you need to provide? The specific requirements will vary depending on the lender, but you'll typically need to provide some photo ID, in most cases a current driving licence photocard or passport. This may seem like a lot of information to share, but it's important to remember that your personal information is safe with us and that it's being used only to verify your identity.

Why do secured loan lenders need proof of income?

When you apply for a secured loan, the lender will require you to provide proof of income. This is because they need to assess your ability to repay the loan. They will also need to know what type of income you have (e.g. employment income, self-employment income, investment income, etc.) and how much money you have coming in.

There are a few different ways that you can provide proof of income, such as providing your most recent pay slips, tax returns, or bank statements. The proof of income requirements may vary depending on the lender and your case manager will help you with this.

In general, the lender will need to see that you have a steady income stream that is sufficient to cover the loan repayments. This is to ensure that you will be able to repay the loan on time.

How does a secured loan lender use my credit history?

Nowadays, your credit history can be searched electronically and we only need your permission to access the file.

A secured loan lender will use your credit history as one of the elements to determine the risk they are taking in lending you the money. If you have a good credit history, the lender may see you as a lower risk borrower and you may be eligible for lower interest rates. However, if you have a poor credit history, the lender may see you as a higher risk and offer higher interest rates.

While your credit history is important, it is not the only factor that lenders will consider when determining your interest rate and whether a lender will lend. Other factors, such as your income and expenditure, employment history and equity available in your property, will also be taken into account.