Skip to main content
_FB_2018-Icons-finalized-cleaned-up_new_FB_2018-Icons-finalized-cleaned-up_newGroup 9
Find Your Local Branch
Back
Scroll to top

What is an Unsecured Personal Loan?

Personal Finances 2 min read

Ready to talk to an expert?

Find A Location Get In Touch

If you need help covering unexpected expenses, you may be asking the question, “What is an unsecured personal loan?”

An unsecured personal loan is a loan given out without the involvement of any collateral. It is based solely on the trust that the borrower will pay back the money under the terms of the loan.

Unsecured vs. Secured Personal Loans

According to Investopedia:

“A loan that is issued and supported only by the borrower’s creditworthiness, rather than by a type of collateral. An unsecured loan is one that is obtained without the use of property as collateral for the loan. Borrowers generally must have high credit ratings to be approved for an unsecured loan.”

This is different from a secured loan, where an item of collateral such as a vehicle or piece of property is put down to secure the loan. If you fail to repay the loan, the lender takes the item of collateral.

What do Unsecured Personal Loans Cover?

Most personal loans are taken out for things like costly medical procedures, home renovations, and vehicle purchases.

First Bank offers a personal credit line* that may or may not require any collateral. Typically, the better your credit history, the better your chances of qualifying for an unsecured personal loan. Because you’re not risking the loss of any collateral, unsecured personal loans typically come with higher interest rates than secured loans.

Contact First Bank Today

If you need an unsecured personal loan, seek out a First Bank location and speak to one of our friendly associates about getting the money you need.

*Loans subject to credit approval.

———

Sources:

Investopedia: http://www.investopedia.com/terms/u/unsecuredloan.asp#ixzz3sGyigwlj

Ready to talk to an expert?

Find A Location Get In Touch
Share:
First Bank’s Good To Know Logo
Sign up for our newsletter and be the first to know about new tips, insights, and products from First Bank.
First Bank may use this email address to contact you about products, services, and promotions.

You may be interested in...

Mature woman at home looking at the bills and taxes and trying to calculate and pay them. Ways to protect yourself against check fraud Check fraud is on the rise. Here’s what you can do. These days fraud is everywhere, and fraudster methods are always evolving. A growing number of methods are targeting your checkbook. Did you know that checks are now one of the least secure forms of payment? Criminals are combining old-school methods of theft with readily available technology to steal checks, impersonate account holders, and sell to the black market. Arm yourself with the knowledge to protect your identity and checking account. How is check fraud committed? Lifting ink: Lifting ink from a check, or “check washing”, can be done using chemicals as readily available as nail polish remover. Criminals can remove your intended payee’s information and replace it with theirs while also increasing the dollar amount. They then deposit the fraudulent check into their account. Targeting mailboxes: Once mail is stolen from a residential mailbox or a USPS blue box, criminals sift in search of checks that can be washed and forged. The frequency of mail theft is directly correlated to the spike in check fraud. Selling check images on the dark web: There is a growing network of darknets and encrypted communication platforms that criminals use to sell check images. Criminals can use the personal information from your check and your banking information to commit identity theft scams.   Consider these check-writing alternatives and services. If you can, try to avoid placing checks in the mail. First Bank offers a number of alternative options for mailing checks like BillPay, Zelle, External Transfer services, and more. Bill Pay: This free service lets you avoid the hassle of writing checks or visiting multiple websites to stay on top of your payments. See how convenient it is to manage your payments from one place. External Transfers: For those who support their kids in college or if you’re constantly writing checks between your First Bank account and one at another bank, First Bank’s External Transfer option makes it quick and easy to securely transfer funds. If you own both accounts, learn how to set up a transfer here. Zelle®1 : In your First Bank mobile app, you have access to Zelle®, a fast, safe, and easy method to send money directly from your bank 4 min read
Hand handing a lightbulb to another hand on a ladder 10 Easy Ways to Save On Home Energy Costs Looking to save on home energy costs? You could shell out big money for new, more energy-efficient appliances. You could move to a more energy-efficient home. Or, you could start with the low-hanging fruit. 3 min read
Best Bank to Open a Checking Account Are you looking to open a checking account but are having trouble finding the right bank? You shouldn’t have to settle for a bank that doesn’t meet all of your needs. First Bank focuses on the needs of all of our customers, and we strive to be the best bank for you. Open a checking account with us, and our team of experts will help you choose the option that works best for your financial needs. Checking Account Options at First Bank Whether you need a personal checking account or an account for your business, First Bank is the best bank to open a checking account. With multiple options and plenty of benefits, we make your banking experience easier and your financial goals more attainable. Personal Banking We offer three types of personal checking accounts that range from basic to premium. The Everywhere Checking account is our most basic account and features benefits such as access to free online and mobile banking and credit cards with rewards. With the Everywhere Plus account you receive all of the benefits of Everywhere Checking, plus the chance to earn interest at a minimal balance requirement. Our Everywhere Premium account gives you all the basics of Everywhere Plus, but includes perks like no First Bank transaction fees on out-of-network ATM withdrawals. We also have two account options designed with college students and seniors in mind. Our Campus Checking account provides students under the age of 25 with no monthly maintenance fees as long as certain requirements are met. Seniors who use direct deposit may qualify for no monthly maintenance fees and other benefits with our Senior Checking account. Banking for Businesses Whether you are a seasoned business owner or just starting out, we have checking account options designed with your needs in mind. Find a Local Branch Near You Our easy and convenient banking options make First Bank the best bank to open a checking account. Click here to find a local branch near you.  Account holders may avoid the Monthly Maintenance Fee by meeting any of the requirements listed in the Keep it Fee FreeTM section of the account summary table for their account type. Other account service fees may apply as described in 3 min read
Cropped shot of a businesswoman sitting alone and typing on her laptop during the day at home Learn the Cybercrime Warning Signs The number of cybercrimes continues to increase day by day. This can sometimes make it hard for you to completely protect yourself from these threats. But the more you know about these scams, the better chance you’ll have at identifying and avoiding them. What is a cybercrime? Cybercriminals aim to exploit your information for their own personal gain, causing harm to financial stability and exposing secure information. Cybercrimes are those criminal activities where a computer or the internet is used as a tool for fraudulent claims, to gain personal or business information, or to infect networks and devices. *First Bank will always take the appropriate measures to keep your personal information safe. In this article, we have outlined some common cyber scams, so that you can understand what to look out for. Some common scams/fraud includes: Phishing Email Scams Perhaps the most common type of scam is phishing, usually done via email and designed to look like they are coming from someone at your company, someone you know, or a notable figure. Because these emails look like they can come from anyone, it is easy to be caught in this form of scam. It may be hard to fully protect yourself from them, but it is always best to double check who is requesting your information. Payroll Scams In Protecting Against Fraud from Nacha, a payroll scam is when, “fraudsters target individual employees by directing the employees to update or confirm their payroll information via a fake payroll platform that spoofs their employer’s actual payroll platform. In some cases, the fraudster may claim the employee must do one of these: view a confidential email from human resources or the payroll department, view changes to the employee’s account, or confirm that the account should not be deleted.” Cybercriminals will use the stolen credentials to change payment information within the business’s payment platform. This type of scam can be extremely dangerous to an individual and a company because it exposes both user and business information. Romance Scams According to fbi.gov, romance scams, or online dating scams, “occur when a criminal adopts a fake online identity to gain a victim’s affection and trust. The scammer then uses the illusion of a romantic or 7 min read
First Bank logo
Powered by  GDPR Cookie Compliance
Privacy Overview

This website uses cookies so that we can provide you with the best user experience possible. Cookie information is stored in your browser and performs functions such as recognizing you when you return to our website and helping our team to understand which sections of the website are the most popular and useful.