Mortgage News
Secured loans branded “useless”
Which? Money has branded secured loans as one of its top ten useless financial products.
Which? Money claimed people could be wasting thousands of pounds on “usually useless” financial products that they do not need and which could leave them with a poor credit rating.
It warned consumers that secured loans are risky and they should only ever take out unsecured loans, because of the risk of losing their home if unable to repay the loan.
The other top ten products branded useless by Which? Money included: payment protection insurance, mobile phone insurance, extended warranties, structured products, ID fraud cover, store cards, with profits, packaged accounts and debt management plans.
James Daley, editor-in-chief of Which? Money Quarterly, said: “Our research found that there’s a bunch of financial products on the market that most people really don’t need, but this doesn’t stop companies from trying to sell them.”
He advised consumers to do their research and get advice from an independent financial adviser.
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