Property and secured borrowing
Property value, the mortgage balance and other secured lending help establish the equity and security context.
Interest rates and costs
The rate is one number. The cost is the decision.
A secured homeowner loan should be considered using the rate, fees, repayment term, monthly payment and total amount repayable together. This page explains what to compare without presenting an advertised Arrow Loans rate as a customer offer.
Important information
A manageable payment still carries property risk.
Think carefully before securing other debts against your home. Extending the repayment term may increase the total amount repaid.
Your home may be repossessed if you do not keep up repayments on a loan secured against it.Official economic context
Current Bank Rate reference
Bank Rate is set by the Bank of England. It can influence financial markets and some borrowing costs, but it is not a direct price list for secured homeowner loans.
- It is not an Arrow Loans interest rate.
- It does not determine a customer’s offered rate.
- It does not indicate what you may be offered.
Why pricing can differ
A rate belongs to an assessed agreement—not a general profile.
Your rate will depend on your individual circumstances, and the APRC will be provided in your secured-loan illustration. The figures on this page are general information, not a current offer or personalised quotation.
Affordability and commitments
Income, regular household expenditure and existing credit commitments may inform whether repayments appear sustainable.
Loan request and information
The amount, purpose, repayment term and other relevant application information may affect the terms considered.
Wider assessment
Other circumstances may also be relevant. No individual factor, including equity or credit history, guarantees a particular rate or outcome.
The full cost
Read across every line—not down the monthly-payment column.
A quotation or illustration should be reviewed as one connected picture. A change to the rate, term or fees can affect both the regular payment and the amount repaid overall.
Interest rate
Ask whether it is fixed, variable or changes during the term, and what would cause a payment to change.
APRC
The annual percentage rate of charge is a standardised comparison measure that reflects interest and certain charges over the agreement.
Fees
Ask what applies, when it is payable and whether it is added to the borrowing—where it may itself attract interest.
Repayment term
The length of the agreement affects how long interest is charged and how the cost is spread.
Monthly payment
Check the payment fits a realistic household budget now and if income or essential costs change.
Total amount repayable
This brings together the amount borrowed, interest and relevant costs over the full term.
Term trade-offConcept only
Shorter termFewer repayment periods
Monthly payment may be higherLonger termMore repayment periods
Total interest may be higherThis diagram contains no rate, payment or product example. Actual costs depend on the agreement.
Term length
Lower each month can mean more over time.
A longer term can make a payment smaller by spreading it across more months. However, interest may be charged for longer, increasing the overall cost. Compare terms using the same borrowing amount and all relevant fees.
- Would the repayment still be affordable if circumstances changed?
- How much interest is paid across the full term?
- Could the agreement extend beyond the useful life of what it funds?
- What happens if you want to repay earlier?
Fees and flexibility
Ask what applies to this agreement.
Possible costs can include arrangement, valuation, legal or intermediary fees, but labels and treatment vary. This page does not state that any particular fee will apply—or that any fee is absent.
Is the fee paid now or added?
If a fee is added to the loan, ask how that changes the amount borrowed, interest and total repayable.
Can I overpay?
Ask about limits, notice requirements and charges, and whether an overpayment reduces the term or payment.
Can I settle early?
Request a settlement figure and check how any rebate or early repayment charge is calculated under the agreement.
Could the rate or payment change?
Understand whether the rate is fixed or variable and how any future change would affect the payment.
Illustration and offer
Use the paperwork to test the decision.
We may provide a secured-loan illustration before a formal offer. Read the relevant documents together and ask us to explain any term, cost or condition before deciding.
Read the application-process guideReview checklistBefore signing
- 01
Match the basicsAmount, purpose, term and repayment method.
- 02
Trace every costRate, APRC, fees, monthly payment and total repayable.
- 03
Test changeVariable-rate effects, missed payments and household changes.
- 04
Check flexibilityOverpayments, early settlement and any charges.
- 05
Compare alternativesIncluding their fees, total costs and risks.
Compare routes
Price the alternative, not just the secured loan.
Depending on the purpose and circumstances, another route may have a different cost, term, flexibility or level of risk.
Savings or waiting
May avoid borrowing cost, but consider whether using savings would leave enough resilience for emergencies.
Unsecured borrowing
A personal loan does not place a legal charge on the home. Availability, rate, amount and term depend on circumstances.
Further advance
Additional mortgage borrowing with its own rate and terms. Include affordability checks and the combined mortgage cost.
Remortgaging
Compare the new mortgage rate and term with fees and any early repayment charge on the existing deal.
Common questions
Keep the numbers in context.
For an agreement-specific answer, refer to your quotation, illustration or offer and ask us to explain anything that is unclear.
Does Arrow Loans advertise a rate on this page?
No. This page does not display an Arrow Loans interest rate or customer offer. Any rate and total cost offered would be assessed individually and set out in the relevant quotation, illustration or offer.
Is Bank Rate the same as a secured homeowner loan rate?
No. Bank Rate is set by the Bank of England and is shown here only as general economic context. It is not an Arrow Loans rate, does not determine a customer rate and does not indicate what anyone may be offered.
Why can a longer term cost more overall?
Spreading repayments over longer can reduce the monthly amount, but interest is charged for longer. Depending on the rate, fees and agreement, this can increase the total amount repaid.
What should I check about early repayment?
Ask whether overpayments are allowed, whether limits or charges apply, how a partial payment affects the term or monthly payment, and how a full settlement figure is calculated. The individual agreement controls the available options.
When reviewing an option
Ask for the total, then take time.
A quotation or enquiry does not guarantee approval or a formal offer. Review any available terms against your budget, alternatives and the risk to your home.