UK Tenant Loan for Non-Homeowners

If you are renting the property you live in then you are known as the tenant. You can obtain cash funds by applying for a Tenant Loan.

Whether you are a council tenant, housing association tenant or are paying rent to a private landlord, you are known as the leasee’ or tenant of the property.

An unsecured loan is best suited for people who do not own a property, such as council tenants or private renters although they are available to homeowners as well. As a tenant you do not own your own property so you will not be able to use it as security against a loan, this means you will be unable to obtain a secured loan. The fact that you do not own your own property means that the lender themselves have less security on the loan as it cannot be repossessed should you not be able to keep up repayments. The type of finance that you CAN apply for is a ‘Tenant Loan’ otherwise known as an ‘unsecured loan’.

It is because of the lack of security (your own property) that lenders do tend to charge higher interest rates on tenant and unsecured loans. If you have frequently moved address you could find that you have more difficulty in finding a lender who is willing to give you a loan. If you have credit problems such as arrears, ccj's etc then you may find it harder to obtain credit but at Finance Jungle we aim to find a tenant loan that matches your criteria and circumstances.

It is not all bad news a tenant loan can be processed quicker purely because you do not own a house that has to be valued before any loan can be granted.