WHICH TAX DEBT LOAN IS RIGHT FOR ME?

Young businessman listening in a business meeting

When it comes to a tax debt loan to pay your tax bill, there are a variety of options available – some of which the banks do not always offer. At MyTaxDebt (MTD) we work with you to find the one that is best for your business and your circumstances.

MTD is a part of the Jirsch Sutherland Group, and as such has access to funding from internal as well as external sources quickly and efficiently. Crucially, we understand when financing is urgent and can respond rapidly – often approving your finance in 24 to 48 hours.

So when it comes to a tax debt loan, which one is right for you and your situation? We explore the differences between secured and unsecured loans. 

Secured vs. Unsecured

Essentially a secured loan has a security attached to it (i.e. a house or car) and is used as insurance by the lender in the event of non-payment, while an unsecured loan does not have any assets bound to it, and will come with a higher interest rate.

The terms

Understandably, because the security affects the risk involved in the loan, lenders offer secured and unsecured loans stating different terms including:

Interest: The higher the risk the more interest lenders will charge, meaning that a secured loan carries a lower interest rate than an unsecured loan.

Amount: Lenders are far less inclined to offer anyone a large sum on an unsecured basis; the larger the sum lent, the more they stand to lose if something goes wrong. Unsecured loans are seldom (if ever) as large as secured loans.

Duration: Like mortgages and car loans, secured loans can be held over the long term, while unsecured loans are typically shorter in duration.

Provider: Large lending institutions like banks usually provide the community with secured loans on expensive assets or to people who require substantial amounts of money.

Although banks do provide small-scale finance because it is much harder to obtain, smaller companies or payday lenders usually grant unsecured loans.

Summary

Ultimately choosing between a secured or unsecured loan comes down to personal circumstance. If you are after a lower interest rate and/or a larger loan, and are prepared to offer security then a secured loan may be for you, while a smaller loan held over a shorter duration may call for an unsecured loan.

At MTD we can help you to overcome your tax debt situation with expert advice and access to convenient, competitive funding. Get in touch with one of our consultants today to learn more.

When it comes to a tax debt loan to pay your tax bill, there are a variety of options available – some of which the banks do not always offer. At MyTaxDebt (MTD) we work with you to find the one that is best for your business and your circumstances.

MTD is a part of the Jirsch Sutherland Group, and as such has access to funding from internal as well as external sources quickly and efficiently. Crucially, we understand when financing is urgent and can respond rapidly – often approving your finance in 24 to 48 hours.

So when it comes to a tax debt loan, which one is right for you and your situation? We explore the differences between secured and unsecured loans. 

Secured vs. Unsecured

Essentially a secured loan has a security attached to it (i.e. a house or car) and is used as insurance by the lender in the event of non-payment, while an unsecured loan does not have any assets bound to it, and will come with a higher interest rate.

The terms

Understandably, because the security affects the risk involved in the loan, lenders offer secured and unsecured loans stating different terms including:

Interest: The higher the risk the more interest lenders will charge, meaning that a secured loan carries a lower interest rate than an unsecured loan.

Amount: Lenders are far less inclined to offer anyone a large sum on an unsecured basis; the larger the sum lent, the more they stand to lose if something goes wrong. Unsecured loans are seldom (if ever) as large as secured loans.

Duration: Like mortgages and car loans, secured loans can be held over the long term, while unsecured loans are typically shorter in duration.

Provider: Large lending institutions like banks usually provide the community with secured loans on expensive assets or to people who require substantial amounts of money.

Although banks do provide small-scale finance because it is much harder to obtain, smaller companies or payday lenders usually grant unsecured loans.

Summary

Ultimately choosing between a secured or unsecured loan comes down to personal circumstance. If you are after a lower interest rate and/or a larger loan, and are prepared to offer security then a secured loan may be for you, while a smaller loan held over a shorter duration may call for an unsecured loan.

At MTD we can help you to overcome your tax debt situation with expert advice and access to convenient, competitive funding. Get in touch with one of our consultants today to learn more.

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