If you’re like most consumers, chances are high that you’ve had your fair share of personal loans. I have applied for several loans myself. I am still paying my mortgage loan, for example. I have also applied for an auto loan a few years back and I have dipped my toes trying different types of unsecured personal loans.

For each loan, I always learn something new by the time I’ve fully paid what I owe. Whether it’s with interest rates, hidden fees or the processing time, I found out that each type of loan has their set of pros and cons. There is no one loan I prefer but between secured versus unsecured loans, the former category always wins in my book.

I like secured loans better despite the longer processing time and high risks for several reasons. One is the more flexible loan amounts. With secured loans, you can borrow larger amounts since there’s collateral involved in the picture. Repayment periods are also longer so even if you borrowed a ton of monthly, the monthly dues aren’t going to leave you broke. But best of all, I prefer it for the lower interest rates.

Who wants to pay a lot of money just for the interest alone after all? Not I certainly. Probably not you either.

So while the risks are pretty high with secured loans, I’d rather have my home or car to serve as collateral than settling for an unsecured loan attached with hefty interest rates. With my property as security, I am also more determined to stay as responsible a borrower as possible. I don’t want to lose my car or my home so I am more inclined to pay my repayment dues on time until fully paid off. If it’s up to me, secured loans always outweigh unsecured loans in most aspects at least.