This article is represent on Personal Loans Pros and Cons. The personal loan is a good unsecured loan. Therefore, you don’t need to provide almost any collateral. This makes this type of loan very risky with the bank. Due to the, it also incorporates a higher interest rate as opposed for you to secure loans. But it’s preferred as it doesn’t run the risk on the debtor losing his / her valuable assets. This helps you to ascertain whether you are eligible for the loan you intend to apply for.