Terms are for gfcu personal loan loans; may vary for secured loans. What can you use to secure a personal loan. You can borrow against your car. The vast majority of secured personal loans use a car as collateral. These loans - known as auto equity loans - let you borrow money against the market value of your paid- off car. A lender that accepts your car as collateral may require that gfcu personal loan insure it for physical damage, naming the lender as loss payee in the event its totaled.
If you already dropped collision and comprehensive coverage on your paid-off car to save money, lenders may sell you optional credit insurance, which is often more expensive than the cheapest full coverage. There are two other options to borrow against your car: Auto refinance is an option if you still owe money on your car but have substantial equity.
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