A secured loan uses an asset as security, which typically means larger loan amounts and lower interest rates. Apply once with Lending Room and we match you to the right lender from our panel. Rates from 8.99% p.a. with no impact on your credit score from our check.
Understanding the difference helps you choose the right option for your situation.
You provide an asset such as a vehicle, boat or other property as security against the loan. Because the lender has something to secure the debt against, they can typically offer larger loan amounts and lower interest rates.
No asset is required as security. The lender assesses based on your credit history, income and overall financial situation. Typically carries a higher interest rate than a secured loan of the same amount.
The type of security you can offer will depend on the lender. Here are the most common options on our panel.
A car, truck, van or other registered vehicle can be used as security for a personal or asset finance loan.
A registered boat, launch or jetski can be offered as security against a secured loan.
Machinery, plant or business equipment can sometimes be used as security for a business loan.
Other assets may be accepted depending on the lender. Apply and our team will confirm what is available for your situation.
One short form. We handle the matching, the follow-up and the hard work.
Takes about 5 minutes. Tell us your loan amount, purpose and basic situation. Just the once.
We run a soft credit check and match you to the lender on our panel most likely to get you a better deal. A soft check does not affect your credit score.
Our team contacts you with your approval. If it works for you we guide you through to settlement. No obligation at any stage.
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Apply in 5 minutes. One application. A better loan deal.
We help employed New Zealanders with a good credit history access secured lending at competitive rates.
You are employed
Full-time, part-time or self-employed with verifiable income.
NZ citizen, resident or eligible visa holder
Open and employer-specific work visas with at least 13 months remaining.
Good credit history
We work with borrowers who have a clean or near-clean credit record.
An asset to offer as security
A vehicle, boat or other registered asset that meets the lender's criteria.
Loan between $3,000 and $250,000
Terms from 6 to 84 months.
What to have ready
Having these on hand will speed up your assessment.
Your NZ driver licence or passport
3 months of bank statements
Details of the asset you are offering as security
Details of any existing loans or debts
Common questions about secured loans through Lending Room.
Can't find what you're looking for? Contact our team
A secured loan uses an asset as security against the debt. This typically allows the lender to offer a larger loan amount at a lower interest rate. An unsecured loan requires no security but usually carries a higher rate and has a lower maximum loan amount.
If you are unable to meet repayments on a secured loan, the lender may repossess the asset used as security. It is important to make sure repayments are affordable before proceeding. Our team will help you work through the numbers before you commit.
We run a soft credit check during our assessment which does not appear on your credit file or affect your score. Once we match you to a lender, some accept our soft check while others may run their own standard credit check. We will let you know before we submit.
In most cases no. If there is existing finance on a vehicle the lender who holds the security has first claim. Typically the asset needs to be owned outright or near-outright. Our team will confirm this when we review your application.
The minimum is $3,000 and the maximum is $250,000 depending on the lender, the value of the security and your personal circumstances. Loan terms range from 6 to 84 months.
A broker and introducer fee of up to $1,500 applies when your loan is successfully funded. This fee is added to your loan amount and is GST inclusive. It is disclosed clearly before you commit to anything and you are never under obligation to proceed. Lender establishment fees may also apply depending on the lender.
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A secured loan is a personal loan where you offer an asset as collateral against the debt. Because the lender has something to recover if repayments are not met, secured loans typically come with lower interest rates and access to larger loan amounts than unsecured lending of the same value.
In New Zealand, the most common assets used as security for personal loans are vehicles, boats and other registered assets. The lender registers a security interest in the asset through the Personal Property Securities Register. This does not mean the lender takes possession of the asset, but it does mean they have a legal claim over it if you default on the loan.
The key difference between a secured and unsecured loan is whether you offer an asset as collateral. Both types are available through Lending Room and which is right for you depends on your loan purpose, the amount you need to borrow and whether you have a suitable asset to offer.
A secured loan makes sense when you need to borrow a larger amount, want access to a lower interest rate or have an asset available that meets the lender's criteria. If you are financing a vehicle or a boat, the asset you are purchasing is often used as the security for the loan itself.
An unsecured loan makes sense for smaller amounts, situations where you do not have a suitable asset to offer or when you prefer not to put an asset at risk. While unsecured loans typically carry a higher rate, they are faster to arrange and have fewer conditions attached.
If you take out a secured loan and are unable to meet repayments, the lender may repossess the asset used as security. It is important to make sure repayments are affordable before proceeding. Our team will help you work through the numbers before you commit to anything.
Not sure whether to go secured or unsecured? Apply once and our team will help you work out the right option for your situation before you commit to anything.
The most common assets accepted as security by lenders on our panel are registered vehicles including cars, trucks and vans, boats and watercraft, and in some cases business equipment or machinery. The asset generally needs to be owned outright or near-outright. If there is existing finance on a vehicle the lender who holds the current security has first claim, which typically prevents it from being used as security for a new loan.
The value, age and condition of the asset will be assessed by the lender as part of the application process. Our team will confirm which assets are acceptable for your specific situation when we review your application.
Applying takes about five minutes. You will need your NZ driver licence or passport, three months of bank statements, details of the asset you are offering as security and details of any existing loans or debts. If you are financing a vehicle or vessel, details of the asset you plan to purchase will also be needed.
We run a soft credit check during our assessment which does not affect your score. We then match you to the lender on our panel most suited to your situation and contact you with your options. You are under no obligation to proceed until you are comfortable with the offer and understand all the terms involved.
One application, one soft credit check, matched to the right lender. Our team will help you work out whether a secured loan is right for your situation.
