One of the benefits of using Spark to finance your education is that we do not ask for security for your loan. An unsecured loan is one that does not require collateral. If you’re not aware of the concept, an unsecured loan means that you do not have to pledge an asset, such as a house or car to obtain the loan.
This means that Spark, unlike others, does not assess you based on you or your family’s assets for security, but rather your academic profile and financial capability.
In addition to this, there are several other benefits with unsecured tuition loans. These include:
1. No burden for your family
Education is a fantastic investment in your future, but it is your future – no one elses. While investing in your education is a smart decision, you may not want to burden your family with your choices, particularly if they must pledge their house for your education. Additionally, this family asset may be tied up with another investment – acting as security for another piece of financing.
Thankfully, with Spark’s unsecured loans, you do not have to ask your family to assist by providing collateral for your education. You can still make one of the best investment choices ever (i.e. your education) without burdening your family.
2. May not have the assets
At Spark, we firmly believe that your financial situation should not be a barrier to your future education. If you or your family do not have an asset, such as a property, with which to secure a loan, this should not impede your educational goals. Many Spark students and their families do not have assets to secure a loan.
Spark’s unsecured loans mean that your and your families assets do not need to be considered when assessing your application.
3. Flexibility of loan terms
An unsecured loan is usually a lot more flexible than a secured loan, with a quicker and easier application process. This is because the application does not require you to submit details about any assets.
This flexibility can come in handy for any future decisions you make after your studies, and may not be available if you need to provide security.
4. No risks to your assets
If any unforeseen circumstances occur and you run into difficulties an unsecured loan means that your or your family’s assets are safe. Many students prefer this option because while they may not have assets, their family does and a secured loan could put those assets at risk. With Spark’s unsecured loan, students do not have to worry about any family assets being at risk.
If you would like to learn more about Spark’s offering please feel free to reach out to us at info@sparkfinance.com.au
