Short term solution to your financial needs.
If you are in need of significant amount of money to be used either for business or property needs, then this could be a good option for you. Bridging Loans are usually for £10,000 to £1,000,000 but some lenders are willing to lend more than £1million.
Bridging Loans have to be paid back by chosen date or within set amount of time depending on circumstances. A maximum term is usually 12 months. This type of loan has significantly higher rates and short repayment time therefore it should only be used if you know there is money coming your way i.e. selling house or a start of big business contract.
When would it be useful? If you are currently in the process of selling your current house and there is a property you wish to buy. You can secure your new home with Bridging Loan and repay it with money from the current house sale. It is a great option for properties that are un-mortgageable like barns that will be converted into living spaces or building without bathrooms, toilets and kitchens. With money from loan you can renovate the place, sell it and pay back the lender.
If you run a business and would like to improve its cash flow or repay tax liabilities that have short deadline then this also could be a solution for you.