Bridging loans from Loan Corp are just like mortgage loans. The borrowers have to put their properties as collateral, the property could be of any type, for example, Land, house, building, commercial property, damaged property or inhabited property. But they are advanced and have unique features which make them different from other kinds of loans. The characteristics which differentiate them from typical loans are their short term nature and flexible interest rates depending on the need of the borrower.
These loans are specially designed for the people of the United Kingdom so that they can satisfy their immediate financial needs. Fast Bridging finance are fast-growing loans, people have trust in them and are accepting it widely. These loans provide the facility of immediate finance. Once your loan requirements are fulfilled you will be financed right after that. You can understand the uniqueness of bridging finance by its working. Let’s have a look at how these loans work.
Working On Bridging loans
Bridging finance is the fastest spreading financing facility of time. The process consists of just a few steps:
- The borrower applies for the loan through the online platform of the bridging loan. Where the borrower has to provide the personal, educational and financial details about the loan along with the experience of the borrower.
- After that, the application is transferred to a number of lenders and the most suitable lender makes contact with the borrower. And ask for further details about the property and evaluate the property of the borrower by analysing its condition and market value.
- Once the lender has made sure of the originality of the property, he approves the application of the borrower.
- After the approval, the funds are immediately transferred to the borrower.
This is the shortest and most simple working process of the bridging loan. Which makes it an advanced form of the Mortgage loan.
The Advanced features of the bridging loan
The features which make bridging loans the advanced form of compare mortgage loans are discussed as,
- Bridging loans provide an online platform to their clients where the suitable lender contacts the borrower. There is no need to go here and there in search of a suitable loan.
- They provide flexible and feasible interest rates to borrowers, depending upon the credit score of the borrower, the amount of the loan and the value of the property.
- They are short term in nature and usually last for three months to one year. You can get rid of the loan obligations within a short period of time.
- These loans have easy repayment methods. In case a borrower fails to repay the loan the bridging loans providers give the facility of rescheduling to the borrower. The borrower can request rescheduling to get more time for repayment.
- If you apply through the broker you have to pay the broker fee.
- They take any kind of property as collateral. Even if the borrower’s property is inhabited.
- They provide a bridging facility to the borrower, For example, if the borrower wants to purchase a new property and has not yet sold the existing property the bridging loan can help to first buy the new property and after that, sells the old one. Get money from it and repay the loan.
- These loans also provide back to the people who love luxurious stuff and want to buy expensive things like mobile phones, vehicles, jewellery apartments etc.
- These loans are the most secured loans, as the lender and borrower both are secured about the loan. The lender has the property of the borrower in case the borrower does not pay the loan he can sell it to get the money back, and if the borrower in a case does not get his property back the bridging loan providers will be responsible for it.
These are some advanced features which make bridging loans even more popular in the country.