Can be expensive – interest rates on bridging loans range from 0.49% to 1.5% per month and considered expensive when arrangement, administration, and professional fees are included.
Loan defaults – late payments can result in default interest, fees, and charges. This can negatively impact on your credit record and significantly lower your return on investment (ROI).
Unregulated – commercial bridging loans are unregulated and therefore borrowers do not have the same levels of protection from the Financial Conduct Authority (FCA).
As an FCA registered credit broker, we work with reputable lenders and follow guidelines and procedures the FCA set, to ensure we act professionally, with integrity and treat our customers fairly.