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(PRWEB) June 14, 2012 In general, it’s best to avoid no credit check loans unless you’re truly out of options. They should not be used to purchase “wants” or luxuries – they’re best for “needs.” If you need to fix your car so that you can keep getting to work (and earning an income), one of these loans might make sense. The same is true for a medical procedure that you have no other way of funding. If you are going to get a long term secured bank loan for bad credit, there are some caveats you need to know as well. Since secured loans will require collateral, you are at risk for losing these pledged assets in the event that you default and cannot pay back the borrowed funds. If you have several types of valuable assets to choose from, pick the one that will not affect you too much if it is really repossessed by the banks. Another criteria is that your collateral must be of higher value than the maximum amount of personal secured bank loan you need. For example, if you are going to borrow $10000 secured for poor credit, you will not want to use your $100,000 house as collateral. It is not worth risking that much for a $10000 loan. A bad credit home equity credit line will be more appropriate in your case. However, borrowing $10,000 against a car title makes a lot of sense when you have bad credit and cannot get a signature loan from banks and credit unions.
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