Glossary

1. Adverse Credit:

Adverse credit record refers to a bad credit record which might be due to the non repayment or late repayment of the debt installments.

2. APR:

APR refers to Annual Percentage Rate. When you apply for a loan from any lender, he has to tell you the APR beforehand. All lenders are required by law to tell you about their APR much before you sign the agreement.

3. Bankruptcy:

when any individual fails to pay his debts, he is given a bankruptcy order by the court.

4. CCJs:

CCJ is referred to as a Country Court Judgment which is issued on the failure of repayment of an outstanding debt.

5. Secured Loan:

A secured loan is the one which is given to the borrower against a fixed asset. A secured loan is given against a security which gives the surety of repayment on the part of the borrower.

6. Debt Consolidation:

Debt consolidation refers to a single loan formed by merging all the previous loans of the customer. It simplifies the repayment process of the borrower.

7. Interest rate:
Interest rate is the percentage rate at which interest is charged on a loan. The rate of interest varies according to the choice of the lender and the type of loan taken.

8. Unsecured Loan:
An unsecured loan is the loan which is given to the borrower without any security.