Bridging Loan Company
A bridging loan company offers short term finance for people who cannot access other types of borrowing, such as a mortgage. They facilitate various types of deals with bridging finance, including buying property.
Many bridging loan companies are private lenders, such as specialist private banks, although some high street banks also offer bridging finance through dedicated subsidiaries.
How to choose a bridging loan company
When choosing a bridging loan company, there are various things to consider. One of the most obvious is what fees and interest rate they charge.
For a bridging loan you will usually pay:
- An arrangement fee (when you take out the loan)
- An exit fee (when you repay the loan – although some lenders do not charge these)
- Monthly interest (usually at fixed rate for the full loan term and sometimes with the option to roll up the interest and pay it all in one go when the loan term ends)
It is also worth looking at what other options each bridging loan company offers. For example, some may offer a drawdown facilities, allowing you to only take the money from the loan as an when you need it, meaning you only pay interest on the capital you have already taken, saving you money.
Applying to a bridging loan company
Most bridging loan companies do not offer bridging finance direct to borrowers. Instead you will normally need to apply through a loan broker. They will be able to find and compare all the best deals on bridging loans for you, helping you to find the right bridging loan company to match your borrowing needs and financial circumstances.
Compare deals from all the leading bridging loan companies
There are a wide range of bridging loan companies across the market to choose from, which can make it difficult to know which offers the best deal for you. Our free bridging loan calculator lets you quickly and easily compare deals from all the leading lenders to find the best interest rates and fees on bridging loans.
Looking for a bridging loan company that offers a fair deal for the money you need? Contact our friendly expert team of loan brokers using the contact form on the right or by calling 0117 313 6058.