[eschaider]

The rate a lender charges is tied to the cost of money as set by the Fed at the time of the loan and the lender's perceived risk that the borrower would/will default. The reason secured loans have lower rates is that the value of the security that is pledged is typically greater than the amount being borrowed.

If the borrower’s liquid net worth is substantially greater than the loan amount, the risk is low, and so is the rate. If not, then not. Of course, if you have a substantial net worth, you would not need the loan in the first place, which brings us back to the risk factor(s) associated with default.