Remortgages and secured loans are both two types of home loans that have a fair amount in common.
Although they are similar in many ways, at the same time they have a few distinct differences.
If we consider the names of these two loans, the main difference becomes apparent.
Nowadays secured loans are called exactly that by most people, or often the expression homeowner loans is used. However a few years back many referred to these loans as second mortgages.
Their old name clearly indicates what secured loans actually are.
Therefore secured loans are mortgages of sorts that come after the first mortgage that bought the property.
The mortgage is recorded at the Land Registry and so is the secured loan
Their very name, secured loans, also clearly shows that just as mortgages need the asset of a property, in the same way so do secured loans.
A remortgage is very similar to a secured loan as thay also need to be secured
The name secured loan is what i is clearly stated in its name and remortgages are the same.
The meaning of the word, remortgage, is made clear in the suffix, and it is obvious that it must be the redoing of a mortgage.
That is exactly what it is, in that it is a new home loan taken out with a different mortgage lender.
Homeowners often take out a remortgage for no more than the current mortgage, but only want a cheaper interest rate.
At other times, additional funds are taken out to raise money for a number of different purposes, and they are the exact same as secured loans in this respect.
At other times, extra sums will be borrowed to raise funds which have many different uses, and in this respect they are identical to secured loans.
In this they are identical.