Harsh words indeed but that is exactly what one of our customers said to us the other day after she went to a UK loan broker and had a pretty terrible experience. Apparently, because she had no house to offer up as security and was living in rented accommodation, the broker decided to treat her with contempt and made her feel small and insignificant.

Her crime?

She wanted a tenant loan, sometimes known as an unsecured loan. What this lady didn’t know is that a tenant loan is worth far, far less to a broker than a secured loan simply because the amounts that can be lent to a tenant are far lower than a traditional homeowner can borrow and this means that the lower the loan, the lower the lenders commission will be and the lower the fee that the broker will be able to charge. All in all it means;

Hence the fact that she was treated as if she was a hindrance and they couldn’t wait to get her out of the door. Yet the reality is that many more people require tenant loans these days because they are quick to apply for, simple to apply for and in most cases, the money can be in the clients account within a matter of hours. What this broker didn’t realize is that one day, this lady will move from being a tenant to becoming a homeowner and his attitude means that when she does buy a house and needs a mortgage, she most definitely will not be calling him!

As long as you are working, have a fairly decent credit history with no serious adverse credit problems such as CCJs, defaults, missed credit card payments or rent arrears, then you should easily qualify for a tenant loan and the beauty of the current economic environment is that you will also secure a fantastically low interest rate and in many cases, benefit from no upfront fees at all.

Tenant loan applications now. are the homeowner applications of the future.

Paula Harrison is the owner of guarantor loans. The company specializes in tenant loans and advice and guidance on other forms of unsecured personal loans.