Formerly Sovereign Bank, Santander Bank is a wholly owned subsidiary of Spanish Santander Group. Established in Spain though today headquartered in Boston USA, Santander continues to show growing commitment to technological innovation and product flexibility. Santander is also the international banking group with the largest branch network, with an impressive 14,680 branches worldwide.
Bridging loans are generally used for property transactions. This type of loan is designed to help home movers who would like to acquire a brand-new house achieve their goals whilst their existing house is on the market.
When equity happens to be locked up in a mortgage, bridging finance can be used to finance the purchase of a property. These loans can be particularly useful for homeowners, developers and people who are purchasing a property at auction.
Those moving houses might wish to use a Santander bridging loan to avoid a property chain so that they can acquire a new house while awaiting a mortgage decision. However, it is important that you bear in mind that taking out a bridging loan does not guarantee you will obtain a mortgage in the future.
Theoretically, they differ because bridging loans are used for short-term purposes, whereas normal loans typically have a more general purpose. In reality, the speed of getting the cash transferred to your account is the major difference between these two loans. It can take weeks for high street lenders such as Lloyds, Barclays or NatWest to complete a loan, whereas bridging finance can be obtained in one or two days.
Adding up fees, interest and the loan amount ought to give you a good idea of the overall cost of borrowing.
Bigger loans tend to have higher interest rates because they pose a greater risk to the lender.
If you’ve chosen a closed bridging loan and you have set a concrete repayment date, the length of your bridging loan may affect your interest rate – with longer-term bridging loans subject to much higher interest rates.
The value of your security will also affect the rate of interest applied to your bridging loan. The more risk lenders face, the higher the interest rate will be.
Open bridging loans do not have a set repayment date, while closed bridging loans have the completion date set in stone, which reduces risk and also lowers interest rates.
Our online bridging loan calculator is intended to provide an approximate guide to every cost associated with your short-term finance facility. However, each lender uses different criteria to calculate the various fees they charge. Being an independent broker, we’ll always offer the finance facility that gives the best possible rate in accordance with your circumstances.
A bridging finance calculator is similar to a mortgage calculator, but instead of calculating monthly repayment figures a bridging loan calculator gives information about the monthly interest charged and the lenders’ facility fee. It’s essential you note that the interest figure is the interest amount charged only, which doesn’t include any capital repayment. The interest charges on a Santander bridging loan can be set up so they’re either paid monthly or added to the bridging loan amount and paid off when the loan is redeemed.
Get in touch with us and we’ll help you find you the most competitive borrowing option.
We are always happy to offer quotes that detail the rates of interest charged plus all other costs associated with your bridging product.
The first step in applying for a bridging loan is to enter your basic details; the property you’re offering for the security, type of bridging loan you are wanting, your name etc, into our online loan application. When we have received your online application for a bridging loan we will be in touch with further details that we will need to process your application.
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