To see if you are eligible for their loan, a lender will look at how much debt you have outstanding and your credit risk.

If you have a previous history of bad credit or large debts, a lender may only consider offering a secured loan. This will require you using your property as security against the loan, reducing the lender's risk. You need to be very sure you will be able to cope with the loan repayment, as your house could be at risk if you default.