You may be planning the holiday of a lifetime, or it could be time to replace your old car with a shinier model. You’ve sat down and worked out your finances, and it seems the most sensible option is to take out a loan – but where do you begin?

The reality is that there are many things that you have to take into account, and one of the key decisions you have to make is whether to go for a secured loan or an unsecured one.

The difference between the two is simple. A secured loan is generally only available to homeowners, and the amount of the loan is ‘secured’ against the property. Put simply, this means that, as the small print says, if you are not able to keep up with the loan repayments then your home could be at risk of repossession.

Understandably, some people don’t want to take this route and prefer to opt for an unsecured loan. This is where Direct Line can help, because our loans are unsecured.

You can borrow between £2,000 and £25,000 for a whole range of reasons and our great competitive rate – currently 8.1% APR Typical for loans from £7,500 to £14,999 - means that your repayments should always be manageable. Call us for rates applicable to other loan amounts between £2,000 and £25,000 or you can work out how much those repayments are going to be by using our online loan calculator.

To give you added peace of mind, if you are concerned about something unexpected happening, you can choose from a range of payment protection policies. We recommend you take one, but it’s not mandatory.

So if want an unsecured loan at a great rate, why not apply for a Direct Line loan today.