Calculate exactly what a secured loan will cost you with instant results showing monthly payments, total interest, and rates from our panel of 50+ UK lenders. Used by over 15,000 homeowners since 2020 to make confident borrowing decisions.
Your exact monthly payment amount based on current market rates
Total amount you'll repay including all interest charges
How much interest you'll pay over your chosen loan term
Your loan-to-value (LTV) ratio and available equity
Realistic rate estimates based on your credit profile
Completely free to use. No credit check. Instant results. No obligation.
Our secured loan calculator gives you everything you need to understand the true cost of borrowing against your home. Within seconds, you'll see detailed breakdowns that would typically require speaking to multiple lenders individually.
Your Monthly PaymentThis is the exact amount you'll pay each month based on the loan amount, interest rate, and term you select. Having helped over 15,000 customers since 2020, we know this is the number that matters most when assessing affordability. The calculator uses current market rates from our panel of 50+ UK lenders to give you realistic figures.
Total Amount RepayableMany borrowers focus only on monthly payments, but understanding the full cost over the entire loan term is crucial. This figure shows the loan amount plus all interest charges combined. For example, a £50,000 loan at 7.9% over 15 years means repaying £83,700 in total—that's £33,700 in interest charges.
Total Interest ChargesSee exactly how much you'll pay in interest over your chosen term. Longer terms reduce monthly payments but significantly increase total interest. Our experience arranging over £200 million in secured finance has shown that understanding this trade-off helps customers make better decisions about loan terms.
Available EquityThe calculator shows how much equity you have in your property after deducting your existing mortgage. This is the maximum amount lenders will consider for your secured loan. Most lenders cap total borrowing at 75-85% loan-to-value (LTV), meaning you need to retain at least 15-25% equity.
Your LTV RatioThis critical figure compares your total borrowing (existing mortgage plus new secured loan) to your property value. Lower LTV ratios typically qualify for better interest rates. The calculator shows your LTV so you can see how your borrowing request affects the rate you're likely to receive.
Indicative Rate RangeBased on your credit profile and LTV, the calculator estimates the APR range you're likely to be offered. In our experience working with customers across all credit profiles, this gives you a realistic starting point for comparing options.
Our calculator is designed to be straightforward, but getting the most accurate results requires understanding what information you need and where to find it. Here's how to use it effectively.
Before you start, having the right figures ready ensures accurate calculations. You'll need three key pieces of information about your property.
Your Property ValueUse the current market value of your home, not what you originally paid for it. The Office for National Statistics reports that UK average house prices stood at £285,000 in September 2024, but your property's value depends on your specific location and property type.
You can estimate this by:
The calculator accepts values from £50,000 to £2,000,000. For properties worth more, specialist lending may be required—speak with our team for guidance.
Outstanding Mortgage BalanceThis is how much you still owe on your existing mortgage. You'll find this figure on your most recent mortgage statement, typically shown as the "outstanding balance" or "amount remaining."
If you can't find a recent statement, you can:
Enter the exact figure from your statement. Even if you overpay monthly, use the balance shown rather than estimating lower.
Desired Loan AmountHow much do you want to borrow? The calculator accepts amounts from £10,000 to £500,000. Based on our panel data, most UK homeowners borrow between £25,000 and £75,000 for secured loans.
Consider what you actually need rather than the maximum available. In our experience helping thousands of customers, borrowing only what's necessary keeps monthly payments affordable and total interest charges lower. Remember that larger loans typically offer better rates per £1,000 borrowed, but the total interest still increases with the amount.
The loan term—how many years you'll take to repay—dramatically affects both monthly payments and total costs. Our calculator offers terms from 5 to 30 years.
Shorter Terms (5-10 Years)Monthly payments will be higher, but you'll pay significantly less interest overall. A £40,000 loan at 7.5% APR costs:
We've found that customers choosing shorter terms typically have stable incomes and want to minimize total costs rather than monthly payments.
Medium Terms (12-15 Years)This balances affordability with reasonable total costs. These terms are most popular with our customers consolidating debt or funding major home improvements.
Longer Terms (20-30 Years)Monthly payments drop considerably, but interest charges can exceed the original loan amount. Many lenders restrict 25-30 year terms to younger borrowers who will complete repayment before age 70-75. We've arranged longer-term secured loans for customers in their 40s who prioritize cash flow flexibility over total cost savings.
Choose based on:
Your credit score significantly impacts the interest rate offered. The calculator uses four brackets based on UK credit scoring ranges:
Excellent Credit (720+)This typically qualifies for the lowest available rates, currently 5.9-7.2% APR based on our panel of lenders (rates verified November 5, 2025). Excellent credit means no missed payments in recent years, low credit utilization, and established credit history.
Good Credit (650-719)Expect rates of 7.3-9.9% APR. This range includes most UK homeowners with generally positive credit histories but perhaps one or two minor issues in the past few years, such as a settled default or occasional late payment.
Fair Credit (580-649)Rates typically range from 10.0-13.9% APR. Fair credit indicates some past credit difficulties—perhaps multiple late payments, high credit utilization, or debt management plans now completed. Having helped hundreds of customers in this range, we've found specialist lenders who understand that past difficulties don't define future reliability.
Poor Credit (Below 580)Rates from 14.0-18.9% APR reflect higher lender risk. This range includes CCJs, defaults, IVAs, or bankruptcy history. While rates are higher, secured loans remain one of few options available when mainstream lenders decline. We've successfully arranged over £30 million in loans for customers with adverse credit since 2020.
If you're unsure of your credit score:
Once you've entered all information, the calculator instantly displays your results. Understanding what each figure means helps you make informed decisions.
The Monthly PaymentThis is what you'll pay each month throughout the loan term. According to Money and Pensions Service guidance, your total monthly debt payments (including this secured loan) shouldn't exceed 40% of your gross monthly income for sustainable affordability.
For example, if you earn £3,000 monthly before tax, your maximum comfortable debt payments are £1,200. If you already pay £600 monthly for your mortgage, this leaves £600 for the secured loan. Use this rule to assess whether the calculated payment fits your budget.
The Total RepayableThis eye-opening figure shows the real cost of borrowing. When your application reaches underwriting, lenders assess whether you can afford not just the monthly payment, but the total commitment. We've found that customers who focus on this figure make more sustainable borrowing decisions.
The Interest vs. Principal BreakdownNotice how much of your repayment goes toward interest rather than reducing the loan amount. In the early years of any loan, most of your monthly payment covers interest. This breakdown helps you understand why overpaying when possible reduces total costs significantly.
Your Equity PositionThe available equity figure shows your cushion. In our experience arranging secured finance, customers with 30%+ equity remaining after borrowing have more negotiating power and access to better rates. If your calculation shows less than 20% equity remaining, consider whether you're borrowing too much.
The calculator's results depend on several interconnected factors. Understanding these relationships helps you optimize your borrowing to get the best outcome.
Equity is the portion of your home you own outright—your property value minus any secured borrowing. The more equity you have, the more you can potentially borrow and the better the rates you'll likely receive.
How Equity Affects RatesLenders view borrowing against substantial equity as lower risk. Based on our panel data:
75% LTV or below: Access to best rates (5.9-8.5% APR for good credit)75-80% LTV: Standard rates (typically 0.5-1% higher than best rates)80-85% LTV: Higher rates reflecting increased risk (1-2% above best rates)
For example, with a £300,000 property and £150,000 outstanding mortgage:
The Equity Sweet SpotWe've found that keeping your total LTV at 75% or below often secures the best rates while still accessing substantial funds. The calculator shows your LTV, so you can see how different loan amounts affect your position.
Term length creates a critical trade-off between monthly affordability and total cost. Every additional year extends your commitment and increases total interest paid.
Real-World Example:Sarah from Manchester needed £60,000 for home improvements. With good credit, here's what different terms cost her:
10-year term:
15-year term:
20-year term:
Sarah chose the 15-year term, balancing a £557 payment she could comfortably afford with £40,260 total interest—£16,860 less than the 20-year option despite only £69 higher monthly payments.
What Term Makes Sense?In our experience, the right term depends on your priorities:
Choose shorter terms (5-10 years) if:
Choose medium terms (12-15 years) if:
Choose longer terms (20-30 years) if:
Your credit history creates the single biggest difference in interest rates offered. Based on current panel data, the rate spread between excellent and poor credit can be 8-12 percentage points.
How Credit Score Impacts Real Costs:Consider a £50,000 loan over 15 years:
Excellent Credit (720+) at 6.5% APR:
Good Credit (680) at 8.5% APR:
Fair Credit (620) at 11.5% APR:
Poor Credit (560) at 15.5% APR:
These aren't hypothetical figures—we've arranged secured loans across all these credit profiles. The calculations show why improving your credit score before applying can save tens of thousands of pounds.
Can You Improve Your Credit Before Applying?If your calculation shows higher rates due to fair or poor credit, consider whether waiting 3-6 months to improve your score makes sense. Actions that can boost your credit include:
Based on helping customers in this position, three months of focused credit improvement can reduce APR by 2-4%, potentially saving £15,000+ on a larger secured loan.
The amount you borrow affects rates in sometimes surprising ways. Both very small and very large loans can attract different pricing.
Loans Under £15,000Setup fees (£1,000-£2,500) and administrative costs mean small secured loans become proportionally expensive. A £2,000 setup fee on a £10,000 loan represents 20% additional cost before any interest. Most lenders prefer secured loans above £15,000 for economic viability. For smaller amounts, personal loans often make more financial sense despite higher APRs.
The Borrowing Sweet Spot (£25,000-£75,000)This range represents the majority of secured loans we arrange. Lenders compete actively for this business, setup fees are proportionally reasonable, and rates are typically at their most competitive relative to risk.
Larger Loans (£100,000+)While rates per £1,000 borrowed may be favorable, the total interest pounds can be staggering. A £150,000 loan at 7.5% over 20 years costs £145,500 in interest alone. Applications this size receive more scrutiny, require more detailed income verification, and often need specialist underwriting. We've successfully arranged loans up to £500,000, but these require compelling affordability evidence.
Understanding how the calculator works in practice helps you interpret your own results. Here are three actual scenarios from customers we've helped in 2024, showing how different circumstances affect outcomes.
Background:James and Emma, both 38, from Birmingham had accumulated £32,000 in unsecured debts across four credit cards and two personal loans. Combined monthly payments of £1,240 were straining their budget with their two young children. Their property was worth £320,000 with £180,000 remaining on their mortgage, giving them £140,000 in equity.
Calculator Inputs:
Results:
What Happened:James and Emma reduced their monthly debt payments from £1,240 to £372—a saving of £868 per month. This freed up crucial cash flow for their young family's needs. While they'll pay £18,568 in interest over 12 years, they were previously paying 15-22% APR on their cards and personal loans, which would have cost them £28,000+ in interest over the same period even if they never used the cards again.
Application to completion took 22 days. Their good equity position (67% LTV even after borrowing) helped them secure a competitive rate despite the credit card late payments in their history.
Why It Worked:
James told us six months later: "The calculator showed us exactly what it would cost before we applied, which made the decision straightforward. The £372 payment is manageable, and we're finally getting ahead instead of just surviving month-to-month."
Background:Rachel, 52, a self-employed architect from Surrey, wanted to build a rear extension and loft conversion costing £68,000. Her property was worth £580,000 with only £95,000 remaining on her mortgage, giving her substantial equity. With excellent credit maintained throughout her career, she qualified for the best available rates.
Calculator Inputs:
Results:
What Happened:Rachel's excellent credit and very low LTV (28.4% even after borrowing £70,000) meant she accessed our panel's best available rate at 6.4% APR. The £827 monthly payment fit comfortably within her £4,200 monthly drawings from her architectural practice.
She chose a 10-year term rather than longer to minimize total interest, knowing her business income could handle the higher monthly payment. The project added an estimated £95,000 to her property value according to local estate agents—substantially more than the £70,000 borrowed plus £29,240 interest.
Because Rachel was self-employed, we prepared her application with two years' SA302 forms and tax year overviews, plus 12 months' business bank statements. This documentation added 4 days to the preparation phase but meant underwriting proceeded smoothly. Application to funds released took 26 days.
Why It Worked:
Rachel said: "I ran multiple scenarios on the calculator before deciding. Seeing that the 10-year term only cost £140 more monthly than 15 years but saved over £18,000 in interest made the decision easy. The calculator's estimates matched my actual offered rate almost exactly."
Background:David, 44, a long-distance lorry driver from Leeds, needed £22,000 to purchase a newer HGV truck after his 15-year-old vehicle failed its MOT beyond economical repair. His property was worth £195,000 with £118,000 outstanding on his mortgage. However, three years earlier, David had a County Court Judgment (CCJ) for £2,400 (now satisfied) and a debt management plan from a period of unemployment, both impacting his credit score.
Calculator Inputs:
Results:
What Happened:David's adverse credit meant mainstream lenders declined his application, but our panel includes specialist lenders who understand that past financial difficulties don't always indicate current reliability. His three years of perfect mortgage payments since his difficulties, plus stable self-employed income from his trucking work, helped his case.
The 12.4% APR reflected his credit history, but it was still considerably better than other options available to him. A car finance company had quoted him 24.9% APR for a similar amount, which would have cost £15,680 in interest rather than £8,240—saving him £7,440 by using his property equity instead.
The £360 monthly payment was actually £65 lower than his previous vehicle finance payment, while purchasing a newer truck (2019 rather than 2009) reduced maintenance costs significantly and improved his work reliability.
Because of David's CCJ, we matched him with a lender specializing in adverse credit secured loans. They required evidence the CCJ was satisfied (David provided the certificate) and 12 months' bank statements showing his trucking income. Application took 31 days due to the need for specialist assessment.
Why It Worked:
David told us: "I thought my past CCJ meant I couldn't borrow at all. The calculator showed me rates higher than I wanted, but when I compared it to vehicle finance or trying to save up, this made sense. My new truck paid for itself within four months through better reliability and lower maintenance. I'm actually saving money overall."
Across thousands of customers we've helped since 2020, several patterns emerge that can guide your own calculator use:
1. Equity Position Matters More Than Most RealizeRachel's 28% LTV secured her 6.4% despite self-employment documentation requirements. David's 72% LTV meant he could still access lending despite adverse credit. James and Emma's 67% LTV gave them negotiating room. Your equity cushion creates lender confidence—the calculator shows your LTV so you can see your position.
2. Credit Score Impacts Pounds, Not Just PercentagesThe 6-point APR difference between Rachel (6.4%) and David (12.4%) meant £21,000 different total interest on similar-sized loans. When the calculator shows your estimated rate, understand that improving credit before applying can save thousands.
3. Term Length Requires Real Cost AnalysisDavid chose 7 years despite fair credit because he understood that his 12.4% APR over longer terms would cost more total interest than he wanted to pay. Rachel chose 10 years despite excellent credit and the ability to afford shorter because it balanced her priorities. The calculator lets you test different terms to see these trade-offs.
4. Monthly Payment Isn't EverythingJames and Emma's £372 payment looked great compared to their previous £1,240, but the real win was sustainable debt reduction. Rachel's £827 payment was higher than a 20-year term would require, but saved her £25,000 in interest. David's £360 was lower than previous vehicle finance despite higher APR due to secured borrowing advantages. Look at the total picture the calculator provides.
5. Purpose Matters for Decision QualityRachel was improving an asset (home extension adding £95,000 value). David was maintaining income capability (truck for work). James and Emma were consolidating expensive debt. The calculator doesn't know your purpose, but you should evaluate whether the cost shown makes sense for what you're achieving.
Having helped over 15,000 customers use calculation tools since 2020, we've seen several recurring mistakes that lead to unrealistic expectations or poor decisions. Avoiding these ensures you get accurate, useful results.
The Problem:Michael wanted to borrow £55,000 but hoped his property had increased to £340,000 since he bought it for £285,000 three years ago. He entered £340,000 in the calculator, which showed affordable payments and good LTV. When the actual valuation came back at £305,000, his LTV jumped from 75% to 82%, changing his rate from 7.2% to 9.1% APR—costing £87 extra monthly.
The Solution:Use conservative property valuations. Check recent sold prices for similar properties on your street via the Land Registry. If you're between two values, use the lower one. Being pleasantly surprised by a higher valuation is better than basing decisions on optimistic estimates.
The Problem:Sandra calculated a £28,000 loan to cover her kitchen renovation quoted at exactly £28,000. She didn't account for secured loan arrangement fees (£1,495), valuation fee (£345), and legal fees (£650)—totaling £2,490. She either needed to borrow £30,500 or find £2,490 from elsewhere, significantly affecting her budget.
The Solution:Add 8-12% to your required loan amount to cover fees when using the calculator. Typical secured loan costs include:
According to the Financial Conduct Authority's Consumer Credit Sourcebook, all fees must be disclosed in the Total Amount Repayable, which our calculator includes. But you need to borrow enough to cover both your need and the setup costs.
The Problem:The calculator might show your secured loan payment as affordable, but lenders assess your total debt burden. Peter's calculation showed £520 monthly for a £65,000 secured loan fitting his £3,800 monthly income. However, he already paid £950 for his mortgage, £380 for car finance, and £285 for credit cards—totaling £1,615 before the new £520 secured loan. That's £2,135 monthly (56% of his income), exceeding most lenders' 45-50% maximum debt-to-income thresholds. His application was declined despite the calculator showing affordable payments.
The Solution:Before celebrating affordable calculator results, list all your monthly debt commitments:
Total these and add your calculated secured loan payment. If the combined figure exceeds 45% of your gross monthly income, lenders will likely decline or require explanation of other income sources. Money and Pensions Service recommends keeping total debt payments below 40% of gross income for financial health.
The Problem:Robert, 64, calculated a 25-year secured loan with affordable £485 monthly payments for a £75,000 loan. The calculator didn't warn him that most lenders require loan completion by age 70-75, making a 25-year term starting at 64 impossible with mainstream lenders. He needed either a shorter term (increasing payments to £850+ monthly) or a specialist later-life lender at higher rates.
The Solution:Check lender age restrictions before relying on longer-term calculations:
If you're over 50, calculate based on terms that complete before age 70 for the widest lender choice. You can explore longer terms with specialist lenders, but expect different rates than standard calculations show.
The Problem:Many customers run the calculator once, see results that look reasonable, and stop there. They miss opportunities to optimize their borrowing. For instance, Karen calculated a £50,000 loan over 20 years showing £447 monthly. She didn't test whether £60,000 over 20 years (£536 monthly, just £89 more) might be better, or whether £50,000 over 15 years (£487 monthly, just £40 more) would save her £15,000 in interest.
The Solution:Run at least three scenarios:
The calculator allows unlimited calculations—use this to explore your options thoroughly. We've found that customers who test multiple scenarios make more confident decisions and have fewer regrets later.
While our calculator provides accurate cost estimates, several important factors don't show up in the mathematical results. Understanding these helps you make a fully informed decision.
The calculator shows rates based on your profile, but it can't capture the service quality differences between lenders. Having worked with 50+ lenders in our panel, we've seen significant variations in:
Processing SpeedSome lenders consistently complete applications in 18-22 days from submission to funds released. Others routinely take 35-45 days for the same profile. If timing matters for your project, lender choice matters beyond just the rate.
Flexibility with DocumentationSelf-employed customers, contractors, and those with non-standard income find that some lenders assess their circumstances more favorably than others. Two lenders offering the same APR might have completely different income assessment approaches, affecting whether you're actually approved.
Overpayment TermsThe calculator shows your scheduled payments, but what if you want to overpay when you have extra funds? Most lenders allow 10% annual overpayments without penalties, but some allow more and others less. These terms aren't reflected in basic calculations but significantly affect your flexibility.
Rate Reduction OptionsSome lenders review rates after 2-3 years of perfect payments, potentially reducing your APR without remortgaging. Others maintain the original rate throughout. If you're borderline between credit profile tiers, choosing a lender with review options might be worthwhile even at a slightly higher initial rate.
Income StabilityThe calculator assumes consistent income throughout your loan term. If your income varies seasonally, you're facing redundancy risk, or you plan career changes, even "affordable" payments might become challenging. We've helped customers in these situations structure contingency plans—sometimes that means borrowing slightly less than calculations show you can afford.
Future PlansAre you planning to move house in 5-7 years? Taking a 15-year secured loan means you'll need to repay it when selling (from sale proceeds) or port it to your new property (not all lenders allow this). A 7-year term aligned with your moving plans might make more sense despite higher monthly payments.
Life Stage ConsiderationsParents with children approaching university age often need to balance secured loan payments with upcoming education costs. Those approaching retirement should consider whether payments remain affordable on pension income. Empty nesters downsizing in 10 years might prioritize different terms than young families in their forever home.
Current Rate EnvironmentThe Bank of England base rate stood at 5.25% in August 2023, up from 0.1% in December 2021—a dramatic increase that affected secured loan pricing across the market. When base rates are at multi-year highs (as they are in late 2024), some borrowers wait for expected decreases. However, timing the market is difficult, and life circumstances often dictate borrowing need regardless of the rate environment.
Based on our panel data, secured loan rates have stabilized in 2024-2025, with the range narrowing as lenders competed for business. But predicting future movements remains uncertain—we suggest making decisions based on whether current rates work for your situation rather than gambling on future changes.
Seasonal Lending PatternsProperty valuers and solicitors experience backlogs in spring/summer (busy house-buying season), potentially extending your application timeline. Legal firms take holidays in August and late December, affecting completion speeds. While the calculator shows costs accurately regardless of season, timing your application away from these peak periods can mean faster completion.
The calculator empowers you with information, but it doesn't replace personalized advice. When your application reaches us, we consider:
Lender Matching StrategyYour calculation might show one rate, but we know which of our 50+ panel lenders is most likely to view your specific circumstances favorably. Self-employed customers might get better terms from Lender A, while those with past credit issues might find Lender B more accommodating, even if both offer similar headline rates.
Application PresentationHow you present your case significantly affects outcomes. The calculator can't know that organizing your bank statements to highlight consistent income, or explaining a past CCJ with context about circumstances, can influence underwriter decisions. We've turned declined applications into approved ones through proper presentation—something calculations can't capture.
Alternative Structuring OptionsSometimes the most obvious approach isn't optimal. We've helped customers who thought they needed a £70,000 secured loan realize that a £45,000 secured loan plus a £25,000 personal loan gave them better overall terms due to their specific credit profile. Or structured joint borrowing differently for married couples where one has significantly better credit. These strategies don't appear in calculator results.
Long-Term Financial PlanningThe calculator shows what a loan costs, but not whether it's the best move for your overall financial position. Should you borrow, or save for another six months? Would remortgaging your main mortgage achieve the same goal more cheaply? These strategic questions benefit from discussing your full situation.
Is this secured loan calculator free to use?Yes, our secured loan calculator is completely free to use with no hidden charges. You can run as many calculations as you need to compare different scenarios and loan amounts. Using the calculator won't affect your credit score and there's no obligation to proceed with an application. We provide this tool because having helped over 15,000 homeowners since 2020, we understand that making informed borrowing decisions starts with accurate cost information.
Will using this calculator affect my credit score?No, using our calculator has absolutely no impact on your credit score. The calculator provides estimates based on the information you enter without running any credit checks or recording any searches against your credit file. Only if you decide to proceed with a formal application would a credit check be required—and we'll always inform you before that point.
How accurate are the calculator results?The calculator provides accurate estimates based on current market rates from our panel of 50+ UK lenders, verified as of November 5, 2025. However, your actual rate will depend on your full application details, credit history, property valuation, and lender assessment. The results give you a realistic indication of monthly payments and total costs to help you plan your borrowing, but formal offers may vary by 0.5-2% APR from calculator estimates depending on your full circumstances.
In our experience, customers with straightforward situations (standard employment, clear credit history, mainstream property types) find calculator results typically within 0.5% of actual offered rates. More complex situations (self-employed, adverse credit, unusual properties) see wider variation as lenders assess individual factors.
What information do I need to use the calculator?You'll need five pieces of information:
If you're unsure about any of these details, the calculator includes guidance to help you estimate realistic figures. It's better to use conservative estimates (slightly lower property value, slightly lower credit score) than optimistic ones.
Can I save or share my calculator results?Yes, you can email your results to yourself for future reference or print them directly from the calculator page. This allows you to compare different scenarios side-by-side or share the information with family members when making your decision. The emailed results include all inputs you entered and the calculated outputs, creating a useful record for your planning.
What if my results seem too expensive?If your calculated monthly payment or total cost seems higher than you expected, several options can help:
Try a longer term: Extending from 10 to 15 years can reduce monthly payments by 25-30%, though total interest increases. The calculator lets you test this immediately.
Borrow less: Reducing your loan amount by £10,000-£15,000 can significantly impact monthly payments. Consider whether you absolutely need the full amount you initially calculated.
Improve your credit first: If the calculator placed you in "Fair" or "Poor" credit brackets, spending 3-6 months improving your score could reduce your APR by 2-4%, saving thousands in interest. Check your credit report for errors, reduce credit card balances, and ensure all payments are on time.
Consider alternatives: For amounts under £15,000, personal loans might actually be more economical once you factor in secured loan setup fees. For debt consolidation specifically, speak with us about whether debt management alternatives might suit your situation better.
Based on our experience, if calculations show payments exceeding 30% of your monthly take-home income, step back and reassess whether the borrowing amount or timing is right.
What do these figures really mean for my situation?The calculator provides several key figures—here's how to interpret each:
Monthly Payment: This is what you'll pay each month throughout the loan term. Compare this to your monthly disposable income (income after essential bills, mortgage, and living costs). If it exceeds 40% of your disposable income, affordability might be stretched.
Total Amount Repayable: This often surprises people because it reveals the true cost. A £50,000 loan might cost £83,000+ to repay. Ask yourself: is what I'm borrowing for worth this total cost?
Total Interest Payable: This is what the loan costs you. Compare it to the interest you'd pay on alternatives (credit cards, personal loans) to assess whether secured borrowing makes sense.
LTV Ratio: Lower is better. Below 75% LTV usually qualifies for best rates. Above 80% often means higher rates and fewer lender options. Your LTV also affects how much cushion you have if property values fall.
Rate Range: This indicates what APR you're likely to receive based on your credit profile. If it's higher than you hoped, this signals whether credit improvement would be worthwhile before applying.
How do I compare different scenarios effectively?Run calculations for at least these three scenarios to understand your options:
For each scenario, write down the monthly payment and total interest payable. This creates a decision matrix:
Example comparison:
Now assess: Is £107 extra monthly affordable to save £16,380? Or is monthly cash flow more important right now? This structured comparison beats gut-feel decisions.
What's considered a "good" result from the calculator?Context determines whether results are "good," but these benchmarks help:
Monthly payment under 25% of gross monthly income: Generally sustainable for most households, leaving room for other financial commitments and unexpected costs.
Total interest under 60% of borrowed amount: For example, £30,000 interest on £50,000 borrowed (60%) is at the higher acceptable range. Above this suggests either too long a term, too high an APR, or both worth reconsidering.
LTV below 75%: Positions you for better rates and maintains a healthy equity cushion in your property.
APR within 2% of base rate + 2-3%: With the Bank of England base rate at 5.25% in late 2024, competitive secured loan rates for good credit start around 7-8%. If you're seeing 9-11% with good credit, there's likely room to negotiate or shop further.
These benchmarks come from helping thousands of customers assess whether their calculations represent value. However, "good" ultimately means "works sustainably for your specific circumstances and goals."
What should I do after calculating my costs?After reviewing your calculator results, follow these steps:
Immediate actions:
If results look affordable:
If results concern you:
We're here to discuss your specific situation regardless of what the calculator shows. Call us on 0800 XXXXXXX or request a callback, and we'll review your calculations with you.
How do I get an actual quote after using the calculator?The calculator provides estimates—getting a formal quote involves several steps:
Step 1: Initial Discussion (15-20 minutes)Contact us via phone or our online form. We'll discuss your situation in detail, reviewing what the calculator showed and confirming all circumstances affecting your application. This includes employment status, credit history, property type, and borrowing purpose. We're a broker, not a lender, so this discussion helps us match you with the right lenders from our panel of 50+.
Step 2: Soft Credit Check (instant to 24 hours)With your permission, we'll run a soft credit check that doesn't affect your credit score. This confirms your credit profile and shows us which lenders are likely to offer favorable terms for your circumstances. You'll receive an indication of realistic rates based on actual lender criteria rather than calculator estimates.
Step 3: Formal Quote (24-48 hours)Based on the soft search and your information, we'll provide a formal illustration showing the exact loan amount, APR, monthly payment, total repayable, and all fees. This illustration is specific to you and the lenders we're recommending. It's still not a binding offer, but it's much more accurate than calculator estimates.
Step 4: Application Decision PointYou decide whether to proceed based on the formal quote. If you do, we move to full application with hard credit checks and property valuation. If the quote doesn't meet your needs, there's no obligation—you can walk away or wait until circumstances improve.
Based on our experience, about 85% of customers who receive formal quotes proceed to application, suggesting the calculator provides realistic expectations that align with actual offers.
Do calculator results guarantee approval?No, calculator results don't guarantee approval. The calculator shows costs based on rates typically available for your stated circumstances, but actual approval depends on comprehensive lender assessment including:
Full Credit AssessmentThe calculator uses broad credit score ranges. Lenders review your complete credit report including specific details: are there multiple recent credit applications (suggesting financial stress)? Are there satisfied CCJs from years ago (less concerning) or recent unsatisfied ones (major red flag)? Total debt levels relative to income matter beyond just your credit score number.
Income VerificationYou can enter any income figure in the calculator, but lenders require proof. Self-employed customers need 2+ years' accounts or tax returns. Employed customers need payslips and P60s. If your stated income can't be verified, approval fails regardless of calculator results.
Property ValuationThe calculator accepts your property value estimate, but lenders commission independent valuations. If your property values lower than expected, your LTV increases and your rate may rise or approval might be declined. Properties with unusual features, serious disrepair, or in declining areas might not meet lender criteria at all.
Affordability AssessmentUnder FCA rules (CONC 5.2A), lenders must assess whether you can afford repayments sustainably. They review all your financial commitments, regular expenses, and dependents. Even with sufficient income, if your total debt burden or essential expenses leave inadequate margin, they'll decline.
Policy CriteriaEach lender has specific criteria: age limits, minimum income thresholds, acceptable employment types, property restrictions, and credit history requirements. The calculator can't know whether you meet every criterion for every lender.
In our experience arranging over £200 million in secured loans since 2020, approximately 78% of customers who use our calculator and receive estimated rates go on to receive formal approval. The 22% who don't typically face valuation issues, undisclosed credit problems, or overstated income that can't be verified. Being honest with calculator inputs and in your discussions with us maximizes approval likelihood.
How long are my calculator results valid?Calculator results reflect current market rates verified as of November 5, 2025. These estimates remain reasonably accurate for 4-8 weeks under normal market conditions, after which changing base rates or lender policy adjustments might shift rates.
However, several factors affect validity:
Market Rate ChangesIf the Bank of England changes the base rate, secured loan rates typically adjust within 2-4 weeks. A 0.25% base rate increase usually translates to 0.25-0.5% APR increases on secured loans. Monitor financial news and re-run calculations after base rate announcements.
Lender Criteria ChangesIndividual lenders adjust their criteria monthly based on appetite for business. A lender offering 6.9% APR today might increase to 7.4% next month if they're oversubscribed, or reduce to 6.4% if they're actively seeking more customers. We track these changes across our panel, which is why formal quotes often differ slightly from calculator estimates.
Your Personal CircumstancesCalculator results assume your circumstances remain stable. If your credit score, employment status, income level, or property value changes between calculation and application, your actual rates will differ. Positive changes (credit score improves, property value rises) help; negative changes (lose employment, property value falls) hurt.
Seasonal FactorsCompetition among lenders typically increases in January-March as they set annual targets, sometimes resulting in better rates. Summer and December see less competitive pressure. These seasonal variations typically affect rates by 0.2-0.5% APR.
Practical Guidance:If you're seriously considering a secured loan, use the calculator now to understand costs, but contact us for a formal quote when you're within 4-6 weeks of wanting to proceed. This ensures you're making decisions based on current rather than outdated information.
Unlike most lender websites that require full applications before showing costs, our calculator provides comprehensive results in seconds without affecting your credit score. You can explore different borrowing scenarios throughout your decision-making process without accumulating credit searches that might concern future lenders.
According to research by Which? Money (2024), 68% of UK homeowners don't compare secured loan rates before applying, often accepting the first offer they receive. Our calculator empowers you to understand realistic costs before any lender contact, putting you in control of your borrowing decisions rather than reacting to sales presentations.
The calculator lets you adjust amounts, terms, and see immediate impacts on monthly payments and total costs. This scenario analysis reveals trade-offs between affordability and overall interest charges that aren't obvious without detailed calculation. Having worked with over 15,000 customers since 2020, we've found that those who test 3-4 different scenarios before applying make more confident decisions and experience fewer regrets later.
You might discover that borrowing £5,000 more than initially planned only increases monthly payments by £35, providing useful contingency funds. Or that choosing a 12-year term instead of 15 years costs just £62 more monthly but saves £11,000 in interest. These insights only come from comparing options the calculator makes immediately visible.
Our calculator reflects rates from our entire panel of 50+ UK lenders, not just one provider's pricing. This gives you realistic market-rate estimates across credit profiles rather than promotional rates that few customers actually qualify for. The rate ranges shown match actual approvals we've secured for customers in each credit bracket throughout 2024-2025.
Many comparison sites show "rates from" figures that apply only to perfect-credit customers borrowing large amounts at lower LTVs—circumstances that exclude most borrowers. Our calculator provides rate ranges for each credit tier, giving you realistic expectations regardless of your profile.
The calculator's underlying formulas incorporate our 10+ years of secured lending experience. We've calibrated rate estimates against thousands of actual customer outcomes to ensure accuracy across different circumstances. The calculations include often-overlooked factors like the relationship between LTV and rate tier thresholds, credit score impact bands, and term length adjustments that generic calculators miss.
We update the calculator's rate data weekly based on our panel lender pricing, ensuring you're seeing current market costs rather than outdated information. When base rates or lender criteria change, our calculator reflects these movements within days, maintaining accuracy for your planning.
‘’Secured loans may be a good option if you need to borrow a large amount of money and have a home to use as collateral. They often come with lower interest rates, making them useful for things like debt consolidation or home improvements.”
We make secured loans easier with detailed guides that walk you through every step.
If you are struggling with debt, seek advice from one of these debt advice services:
