When what you always wanted is within reach but your money is not yet ready, one option you could consider is a quick loan to bridge that waiting period. You might also be facing a situation or requirement that cannot be turned down or put off – for example, it is time to pay the developer of your new apartment but you are facing a cash crunch because the buyer of your current apartment has not yet paid you.
Bridging loans are fast short-term loans that allow you to financially span the gap between selling off an asset and buying another one.
Some people use bridging loans to tide over the interval between paying and being paid. Some use bridging loans to buy new possessions like cars or houses or other properties before they have sold their existing ones. Others use bridging loans to finance some lifestyle activity that might not be eligible for a regular bank loan or a mortgage loan or other usual avenues for obtaining funding.
When your own source of incoming funds source is clear and definite but you are still waiting for your money, a bridging loan can also be useful to connect your incoming money with your need to make an immediate or urgent payment.
Typically, the bridging loan provider will check to see whether you have money coming in soon to make your repayment. The lender will also check if you have an alternative source for repaying the bridging loan if your expected money does not come through on time.
The great advantage of a bridging loan is that it is a quick way to secure for yourself some financial flexibility and breathing space while you wait for your own money to arrive.
Financial institutions and licensed moneylenders may accept your loan application even if you have a poor credit score. However, you will...
Personal loans are processed depending on your employment-income status, in which you can choose to pay back through monthly instalments....