Unsecured loans or personal loans don't involve borrowing against an asset such as a house.
Usually people will take out a personal loan to repay all of their other debts so that they benefit from one repayment that is hopefully less than what they were paying.
Personal loans can also have reduced interest compared to credit cards or other high interest loans.
- Debt consolidationOne monthly payment
- Hopefully a lower paymentCredit cards can be expensive
- Reduced Interest & chargesCompared to credit cards or payday loans