Keep your low mortgage rate. Borrow against your equity instead.
Compare secured loan rates — second charge mortgages from £5,000 to £500,000 — across the whole market. Your existing mortgage stays exactly as it is, and comparing uses a soft search only.
Whether you're consolidating debt, funding home improvements or raising capital for something that matters, we'll tell you honestly whether a second charge is the right route, what it will cost, and why.
Your enquiry is handled in-house by one FCA-authorised adviser — we never sell or share your details with third-party brokers.
14 products match
£30,000 over 10 years · clean credit · 60% combined LTV · Edit
Results are ordered only by the sort you choose — no lender can pay to appear higher. Our broker fee on this loan is £2,495, the same whichever lender you pick. Fees explained
Rates shown are illustrative only and depend on your personal credit profile and circumstances. All loans are subject to affordability assessment and credit checks.
Matching secured loan products, sorted by total cost
Lenders also consider income, property type and the detail of any credit history — an adviser can check cases the tool can't.
Rates shown are illustrative only and depend on your personal credit profile and circumstances. All loans are subject to affordability assessment and credit checks. Monthly payments use the initial rate for the fixed period, then the lender's current reversion rate for the rest of the term; totals repayable exclude fees. The APRC shown is worked out for your loan amount and term and includes the lender's arrangement fee and our broker fee, assuming both are paid at the start rather than added to the loan. APRC is variable.
Our Broker Fee: £2,495 for loans above £25,000 | Maximum 10% of the net loan amount for loans below £25,000 (minimum loan £5,000). Payable on completion only. How our fees work
Your home may be repossessed if you do not keep up repayments on a mortgage or any other debt secured on it.
Second charge vs remortgage
Why borrow alongside your mortgage, not instead of it
Your mortgage stays put
Same lender, same rate, same direct debit. The new loan is a separate agreement registered as a second charge behind it.
Soft search to compare
Only you can see a soft search. A hard search happens once, when you choose to go ahead with a lender.
Past credit problems considered
Panel lenders underwrite CCJs, defaults, IVAs, DMPs and discharged bankruptcy case by case — not by scorecard.
Market data · Q1 2026
The UK secured loan market in numbers
Second charge lending is growing fast. Latest industry figures for Q1 2026.
11 FCA-authorised UK specialist lenders on our panel, each reviewed by Samantha Turner against current rates, criteria and case fit. Open any lender for the full review, including strengths, limitations and a representative example.
How to borrow against your home equity without remortgaging
A second charge mortgage lets you borrow against your home equity. Your existing mortgage stays intact. Around 1.8 million UK homeowners hold 2021 fixed-rate deals below 2.5% that expire in 2026 (UK Finance). New 5-year fixes were around 5.7% in May 2026. Remortgaging means giving up the cheap legacy rate. A second charge mortgage keeps it.
How it works: your current mortgage does not change. Same lender, same rate, same direct debit. A second charge loan sits behind it as a separate agreement with a different lender. It is registered as a second legal charge against the property. You make two monthly payments — one to each lender. Terms are usually 5 to 30 years. If the property is sold, the first charge lender is paid first.
Best fit: borrowers with a cheap legacy fix who need £10,000 to £500,000. Common uses include home improvement, debt consolidation, school fees, tax bills, and property purchase deposits. Current lender rates start at 6.34% (9.7% APRC on Selina Finance's Home Equity Loan 5yr Fixed (up to 50% LTV), £30,000 over 10 years including the lender fee and our broker fee). Factor in the blended cost of refinancing the whole mortgage and this often beats remortgaging. The Finance & Leasing Association recorded £625m of new second charge lending in Q1 2026, up 33% year-on-year.
How we compare homeowner loans using a soft credit search (no hard credit check UK)
A soft credit search checks your credit file without affecting your score. Other lenders cannot see it. A hard credit search is the opposite. It leaves a permanent mark on your file. Other lenders can see it. Several hard searches in a short time can lower your score. This matters because applying to lenders directly triggers a hard search each time.
Our comparison tool uses a soft search only at the quote stage. You can compare rates across our panel of FCA-authorised UK specialist lenders. You can see APRCs, monthly payments, and which products fit your case. Your credit file is not affected. Only you can see the soft search.
A hard credit search happens only when you formally proceed with a lender. That is the full application stage, not the comparison stage. You can shop around freely. You can take your time to compare. You commit to a single hard search when you choose to move forward. This is the credit-file protection that FCA responsible-lending rules are designed to enforce.
Second charge mortgages for adverse credit borrowers — bad credit, CCJs, defaults, IVAs & bankruptcy
Adverse credit is one of the most active parts of the UK second charge market. Several panel lenders underwrite to this profile. These include Pepper Money, Norton Finance, Masthaven, Interbridge Mortgages, Evolution Money, and Step One Finance. They accept CCJs, defaults, missed payments, IVAs, DMPs, and discharged bankruptcy. Underwriting is human-led and case-by-case — not scorecard-driven.
Typical UK adverse-credit secured loan interest rates in October 2026 (APRCs are higher once fees are included):
Lenders assess three things on every adverse credit case. Recency: events over 24 months old matter much less than recent activity. Severity: a small satisfied CCJ is very different from multiple unsatisfied CCJs. Current affordability: strong current income offsets historical markers.
Reviewed by Samantha Turner, FCA-authorised specialist lending broker (FRN 624668) · Published · Pricing last reviewed
What are secured loan rates?
Secured loan rates are the interest rates charged by lenders when you borrow money against your property. Unlike unsecured personal loans, a secured loan (also called a homeowner loan or second charge mortgage) uses the equity in your home as collateral — as defined by the FCA's guidance on second charge mortgages. This means lenders take on less risk, which is why secured loan rates are typically significantly lower than unsecured alternatives.
In October 2026, UK lender rates start from 6.34% — 9.7% APRC on Selina Finance's Home Equity Loan 5yr Fixed (up to 50% LTV), £30,000 over 10 years including the lender fee and our broker fee — and range up to around 16.2% APRC for adverse credit cases at higher LTVs on the same basis. Homeowners with clean credit and lower LTV ratios qualify for the best rates; those with adverse credit histories can still access funding at higher rates. Always compare on APRC (Annual Percentage Rate of Charge), the FCA-required comparison figure that includes interest plus fees — full panel APRC tables by month are in our market snapshots.
Current UK secured loan rates at a glance
Profile
Initial interest rate
APRC incl. all fees*
LTV range
Monthly (initial)*
Clean credit, low LTV
6.34% – 6.39%
9.7% – 9.8%
Up to 65%
£338 – £339
Clean credit, standard LTV
7.61% – 9.10%
11.2% – 13.4%
66% – 80%
£358 – £382
Clean credit, high LTV
6.99% – 9.96%
10.5% – 14.5%
81% – 90%
£348 – £396
Minor credit issues
8.51% – 9.17%
12.2% – 13.6%
Up to 85%
£372 – £383
Adverse credit / CCJs
12.90%
16.2%
Up to 95%
£446
*Based on £30,000 over 10 years across current panel products. APRC includes the lender arrangement fee and our £2,495 broker fee; monthly payment is at the initial rate. Representative examples only — your rate will depend on individual circumstances.
What affects your secured loan rate?
Several factors determine the interest rate you will be offered:
Loan-to-value (LTV): The lower your combined LTV (existing mortgage plus new loan as a percentage of property value), the better your rate. Most lenders offer the best rates with an LTV of 60–65%, however some specialist second charge lenders will lend up to 100% combined LTV depending on the applicant's profile, property type, and circumstances.
Credit history: A clean credit profile will secure the lowest rates, but second charge lenders accept the full spectrum — including CCJs, defaults, IVAs, DMPs, missed payments, and discharged bankruptcies. See the section below for full detail.
Loan amount and term: Very small loans (under £10,000) may attract slightly higher rates. Extending your term is one of the simplest ways to reduce your monthly payment; most people choose a longer term to keep repayments as manageable as possible, though this does increase the total interest paid over the life of the loan.
Property type and location: Standard residential properties attract the widest choice of lenders. Non-standard construction, ex-local authority flats, or properties in certain postcodes may limit options.
Income and affordability: Lenders assess your ability to repay alongside existing commitments. Higher disposable income relative to the loan amount can unlock better terms.
Adverse credit applicants welcome
A clean credit profile will secure the lowest rates, and prime applicants with no adverse history will achieve the best rates available in the market. However, one of the key advantages of a second charge mortgage is that lenders in this space are accustomed to working with the full spectrum of credit profiles. Unlike many high street mortgage lenders, second charge lenders will consider applicants with:
CCJs (County Court Judgments)
Defaults
Bankruptcies (discharged only)
Individual Voluntary Arrangements (IVAs)
Debt Management Plans (DMPs)
Missed or late payments
While adverse credit will affect the rate offered, it does not necessarily prevent you from obtaining a secured loan. Please note that applications can only be considered once a bankruptcy has been formally discharged — lending is not available to undischarged bankrupts. For discharged bankruptcies, specialist lenders assess each case on its individual merits, taking into account the severity and age of the adverse, alongside the overall application.
You can check your credit report for free via Experian, Equifax, or TransUnion before applying.
Secured loan vs other UK borrowing options at a glance
How a secured loan compares against the four main alternatives in October 2026:
Rates shown are lender interest rates. Your actual APRC will include broker fees and lender fees.
Option
Typical rate
Max amount
Speed
Works with past credit problems?
Best if you…
Secured loan(second mortgage)
From 6.34% to 14.9%
£500,000+
2–4 weeks
Yes — including county court judgments, payment plans, old bankruptcy
Need a large amount; have credit issues; want to keep your existing mortgage rate
Remortgage(switch your main mortgage)
From 4.5% to 7%
Based on your home's value minus what you owe
6–12 weeks
Usually not — mainstream lenders are cautious
Your fixed-rate deal has ended and you want to compare new rates
Further borrowing(ask your current lender)
Similar to remortgage rates
Limited — depends what your lender allows
4–8 weeks
Usually not
Need extra cash and your lender has already approved you for more
Personal loan(unsecured)
From 6% to 30%+ per year
£25,000 – £35,000
1–7 days
Difficult — lenders want clean recent credit
Need a small-to-medium amount; have good credit; want speed
Bridging loan(short-term, property-backed)
From 0.55% to 1.5% per month (higher than mortgages)
£500,000+
5–14 days
Yes — based on the property, not your credit history
Buying a property quickly; between house sales; renovating before selling
Rates shown are lender interest rates. Your actual cost will be higher and is expressed as an APRC (Annual Percentage Rate of Charge), which includes the broker fee and lender fees.
The rates above are indicative and based on current lender pricing as of October 2026. Your actual rate will depend on the loan amount, your property value, the loan term, and your credit profile.
Rates vary significantly by lender and product. For a personalised quote showing your full APRC, contact us.
All secured loans are subject to affordability assessment and property valuation.
Typical rates shown are for illustrative purposes only. Your rate may be higher or lower depending on your circumstances.
Secured loans vs remortgaging — which is cheaper?
Many homeowners assume remortgaging is always the better option, but this is not always the case. A secured loan (second charge mortgage) sits behind your existing mortgage and does not disturb it. This can be the better choice when:
You have a low fixed rate on your current mortgage that you don't want to lose
Your existing mortgage has early repayment charges that would outweigh the savings
You need funds quickly — secured loans can complete in as little as 10 days
You want to borrow a smaller amount without restructuring your entire mortgage
Your circumstances have changed since your original mortgage (e.g. self-employment) and you may not qualify for the same rate
You have already explored a further advance with your existing mortgage lender and it was not suitable or available to you
Before taking out a secured loan, it is always worth checking whether your existing mortgage lender can offer a further advance — this may be simpler and cheaper if your current rate is competitive and you are within their lending criteria.
How to get the best secured loan rate
The single most effective way to find the best rate is to compare multiple lenders — which is exactly what the comparison tool above does. Beyond that, you can improve your chances by obtaining an updated property valuation to maximise your available equity, addressing any credit issues before applying, and ensuring your income documentation is up to date. Using an FCA-authorised broker like Charles Frank Finance gives you access to specialist lenders that do not accept direct applications.
Comparing is free and nothing is payable upfront. Our broker fee is published in full and payable only if your loan completes.
Same day decisions
We have the ability to issue you with an agreement in principle within hours of your enquiry.
Quick and simple
Click apply, fill out one short form and we'll do the rest.
No credit history restrictions
We can cater for customers with all types of credit history, from clean credit scores to heavy mortgage arrears and CCJs.
Completion in 2–4 weeks
Most secured loans complete within 2–4 weeks from application to funds release, depending on your individual circumstances and how quickly the valuation and legal work progress.
No borrower restrictions
We work with all borrower types and circumstances, including debt consolidation, home improvements, tax liabilities, business funding, self-employed applicants, complex income, and those with adverse credit histories including CCJs, defaults, IVAs, DMPs and discharged bankruptcies. If you have been declined elsewhere, we may still be able to help.
How it works
01
Adjust the sliders
Enter your loan amount, LTV, and preferred term to filter lenders in real time.
02
Compare rates
See indicative rates, monthly payments, and total repayable side by side.
03
Apply in about 3 minutes
Click Apply on any lender and an adviser will call you to confirm your rate.
A secured loan (also called a homeowner loan or second charge mortgage) is a loan secured against your property. Because the lender has security, rates are typically lower than unsecured loans. Loan amounts range from £5,000 to £500,000. Your home may be repossessed if you do not keep up repayments.
How much can I borrow with a secured loan?
Most UK lenders offer secured loans from £5,000 to £500,000 depending on your property equity, income, and credit profile. The best rates are typically available at LTVs of 60–70%, but second charge lenders will consider applications up to 100% combined LTV depending on the applicant's profile, property type, and circumstances — meaning cases that may be declined elsewhere can still be placed.
Will comparing rates affect my credit score?
No. Comparing rates on this tool only uses a soft search which is not visible to other lenders and does not affect your credit score. A hard credit search only happens if you formally apply with a lender.
What LTV do I need for the best rates?
Lenders typically offer their best rates at LTVs of 60–70%. Above 80% LTV you will find fewer lenders available and rates will increase. However, second charge lenders will consider applications up to 100% combined LTV depending on the applicant's profile, property type, and circumstances — meaning there is no one-size-fits-all maximum, and cases that may be declined elsewhere can still be placed.
Can I get a secured loan with bad credit?
Yes. Second charge lenders are accustomed to working with the full spectrum of credit profiles — including CCJs, defaults, IVAs, DMPs, missed payments, and discharged bankruptcies. While adverse credit affects the rate offered, it does not necessarily prevent you from obtaining a secured loan. Specialist lenders assess each case on its individual merits, taking into account the severity, value, and age of the adverse, alongside the overall application.
What is the difference between a secured loan and remortgaging?
A secured loan, also known as a second charge mortgage, is a separate loan secured against your property that sits behind your existing first charge mortgage. Crucially, it does not disturb your current mortgage deal in any way — your existing lender is unaffected and your current rate remains intact. A remortgage, by contrast, replaces your existing mortgage entirely with a new one, either with your current lender or a new one. Whilst this can be beneficial in some circumstances, it is not always the right solution.
Are there any fees on a secured loan?
All second charge lenders charge an arrangement fee, though the amount varies by lender and product. Applicants do have the option to add the fee to the loan rather than paying it upfront, which reduces the initial outlay — however, doing so will increase the total interest payable over the term of the loan. Unlike a remortgage, second charge mortgages do not typically require legal fees, making them a more straightforward and cost-effective process. The only exception is where a lender specifically requires Independent Legal Advice (ILA) for an applicant during underwriting, which is uncommon. The APRC includes all compulsory fees so it is the best figure for comparing the true cost of different products.
How long does a secured loan take?
Most secured loans complete within 2–4 weeks from application to payout. Some lenders offer faster completions from 10 days for straightforward cases. Complex cases or those requiring a full surveyor valuation may take slightly longer.
Popular guides
In-depth answers to the questions homeowners ask us most often.
Relationship Director, Head of Specialist Lending · Charles Frank Finance Limited (FCA FRN 624668, Companies House 07791769)
Samantha has 25+ years of UK specialist lending experience, advising on second charge mortgages, bridging finance, and adverse credit cases across the full panel of FCA-authorised UK lenders. Secured Loan Rates is operated by Charles Frank Finance Limited, a family-run FCA-authorised UK brokerage. Rate ranges, lender criteria and market commentary on this page reflect panel pricing as last reviewed on 20 October 2026.
