Retail Business

Personal loans are not restricted in terms of how the money is used. They can be used for anything from a holiday to a relatively huge purchase to paying off other urgent bills. A loan that establishes consumer credit that is granted for personal use; usually unsecured and based on the borrower’s integrity and ability to pay. Personal loans tend to carry higher interest rates than loans secured by collateral such as a home. The relatively high interest rate compensates for the fact that you aren’t guaranteeing repayment of the personal loan with some kind of asset.