Need to cover an expense but don’t want to dip into your savings? A Deposit Secured Loan lets you borrow using the funds you already have on deposit as collateral. That means you can access cash while keeping your savings intact.
Deposit Secured Loans
Borrow against your savings,
not your future.
How it works
- Secure with your savings – Use a certificate of deposit (CD) or savings account as collateral.
- Lower rates – Since the loan is secured, you’ll typically pay less interest than with an unsecured loan.
- Build credit – On-time payments are reported to the credit bureaus, helping you strengthen or rebuild your credit history.
- Keep your money working – Your deposit stays in your account and continues to earn interest while you repay your loan.
Is it right for you?
A Deposit Secured Loan can be a smart option if you:
- Want to borrow money without dipping into savings.
- Are working to establish or rebuild your credit.
- Prefer a lower-interest alternative to other loans or credit cards.
FREQUENTLY ASKED QUESTIONS
What does “secured” mean for this loan?
It means your Southern Bank savings account or CD is used as collateral. You can borrow against your balance while your funds stay safe and continue to earn interest.
Can I use something else as collateral, like my car or another asset?
No. Southern Bank currently offers only savings- or CD-secured loans. This helps simplify the process and keep rates low.
Will I still earn interest on my savings while I have a secured loan?
Yes. Your savings remain in your account and continue to earn interest as usual.
How much can I borrow?
Typically up to the balance in your secured savings or CD account. Talk with your banker for details.