The UK's largest range of secured loans
- Loans from £1,000 to £2,500,000
- See your quote before you apply
- Quote won’t affect your credit score
A long term loan is any loan product that’s designed to be paid off over more than five years, which is the standard limit for regular personal loans. While there are some unsecured loans that offer terms of up to 10 years, long term loans generally refer to secured loans, which are a type of personal loan that uses your home equity as collateral against the cost of the loan.
No, short-term or payday loans are only offered with limited loan terms, generally anywhere from one week up to six months, and should be paid back as soon as possible. The longer it takes you to repay your short-term loan, the more expensive it will be.
A secured long term loan may be a suitable option if you have a poor credit rating. You’ll be considered a higher risk than someone with a good credit rating, so using security against your loan can help mitigate that risk for the lender, meaning you have a better chance of being approved.
As a longer loan term also reduces the size of your monthly payments, lenders may think you’ll be more likely to pay off the loan on time, which could also help your chance of approval. However, this may also work against you, as a longer loan term means there’s more time for your financial situation to change, and therefore more risk that you could default on the loan.
If you have bad credit, you’re also unlikely to get as competitive a rate, which is one of the major benefits of a secured, long term loan.
Long term personal loan. Most lenders provide personal loans with terms of 1 to 5 years, but there are some unsecured personal loans that have terms of 10 years. However, this option may only be available to borrowers with good credit history, and you’ll have to check with a specific lender to see.
Credit card. You could also consider applying for a credit card, which offers ongoing access to an agreed credit limit. As long as your account remains open and you meet the minimum monthly repayment, you’ll be able to continue using your line of credit for as long as you need. Some credit card providers also offer extended interest-free periods, meaning you won’t have to pay any interest on the credit you use for up to two years.
Business overdrafts can be a useful safety net, but be aware of fees and charges.
Find out which insurance group the Abarth 595 falls under and how much it costs to insure.
Find out which insurance group the Ford Ecosport falls under and how much it costs to insure.
Find out which insurance group the Hyundai i40 falls under and how much it costs to insure.
Find out how your investments can contribute to saving the planet. Paid content.
Find out if you can take out immediate breakdown cover after you’ve broken down, what it includes and what other options you have.
Learn what accident and sickness insurance means, what it includes and whether it’s worth taking out.
In the event of being made redundant, insurance can provide financial protection. Find out what’s included in redundancy insurance.
If you find yourself unable to work, a loan protection insurance policy will pay out monthly benefits straight to your bank account.
Despite its questionable past, PPI can help protect you financially if you lose your income and are unable to make repayments on loans.
finder.com is an independent comparison platform and information service that aims to provide you with the tools you need to make better decisions. While we are independent, the offers that appear on this site are from companies from which finder.com receives compensation. We may receive compensation from our partners for placement of their products or services. We may also receive compensation if you click on certain links posted on our site. While compensation arrangements may affect the order, position or placement of product information, it doesn't influence our assessment of those products. Please don't interpret the order in which products appear on our Site as any endorsement or recommendation from us. finder.com compares a wide range of products, providers and services but we don't provide information on all available products, providers or services. Please appreciate that there may be other options available to you than the products, providers or services covered by our service.