You can take bridging finance on either a second or first charge basis. Most lenders use closed bridging loan. This means that you are given a fixed term to the contract. This is applicable when the completion dates for purchasing new property and selling it is known. On the other hand, an open bridging loan is when the term of the contract is not fixed.
Nowadays, there are bridging loans for all types of clients ranging from individuals to companies. Thus, if you have excellent credit status but it has become difficult to obtain loans and mortgages you can apply for these loans. Also, if you are self-employed and have a poor credit history, you can qualify for these types of loans. Usually, all forms of security are taken into account, from commercial, semi-commercial, and residential properties or land. The truth is that properties can be partially or fully developed. Also, they can be in need of renovation or in perfect condition. You can take a bridging loan on a wide range of securities and clients.
Traditionally, bridging loans were mainly used to buy a new home before getting a buyer to purchase the current property. Over the years, this form of finance became quite popular in the fast-moving and buoyant property market. Another factor that contributes to the immense growth of these types of loans is the ever-increasing demand for home ownership. Nowadays, the uses for bridging loans are extremely varied.
In most cases, bridging finance is used …Continue Reading...
A debt may come in different forms. Some may bear interest and some may not. If you go to a bank or lending company, you can expect that an interest rate will be imposed in addition to the principal amount that you will be borrowing. After all, this is how they earn money. There are numerous lending companies that you can go to if you are considering to apply for a loan.
The need for a loan
There are various reasons why people are taking out loans. And to address the different demands of the consumers, different types of loans were established. You can apply for a loan depending on the purpose. If you are starting up a business or expanding an existing business company, you may consider getting a business loan. There is also a so-called house loan for those people who are aiming to buy a house. Or, if your purpose is to acquire a car or a vehicle, you may opt for a car loan, also known as auto loan. Other types of loans may include personal loan, salary loan, payday loan, and many more.
What are the advantages of taking out a loan?
Obviously, loans are being applied for by those people who do not have available resources to address certain financial needs. Like what was mentioned earlier, loans come with interest rates. And so, as a borrower, it is very important that you are responsible enough to know your obligations and settle them on or …Continue Reading...
A federal student loan consolidation is a fixed rate refinancing program that combine all your existing federal student loan into one new loan. Federal student loan consolidation helps to give a student who has just graduated more time to pay back the loan. You will also save the frustration of dealing with multiple lenders and reduce the risk of missing payment because loan consolidation combines all your loans to a single loan meaning that you will have one single bill to pay. Below are benefits of student loan consolidation.
1. Fixed interest
Many non-consolidated student loans usually operate on a variable interest rates meaning that you can pay more or less depending on prevailing interest rates. Federal student loan consolidation has fixed interest rates meaning that you can make predictable payment plans. You will also know how much you are supposed to pay. You will benefit if interest rates go up because yours won’t change.
2. Long repayment periods
Another benefit of consolidating your student loan is that you get more time you pay back the loan. You will be given up to 30 years to pay back the loan meaning that you will not be pressured as it is usually the case with other types of loans. You will also have the freedom to pay off the loan early with no penalties for early payments.
3. You only deal with one lender
Loan consolidation allows you to only deal with a single leader. Many students take several types of …Continue Reading...