You need a lot of money but your credit score does not allow you to borrow? Do the banks refuse your credit applications?
If this is the case, you must opt for a private creditor who will offer you a bridge loan or short-term financing tailored to your needs.
What is a bridge loan?
The Bridge Loan is a short-term mortgage (the applicant for the credit must own) offered by private creditors to Canadians in financial difficulty or with a low credit rating. This type of loan is excellent for people who have been rejected by banks or other financial institutions.
This is a temporary financial tool that will help you improve your credit rating and, as a result, obtain a better bank loan in the future. This is a typical scenario of a bridge loan.
Step # 1: Rejection of the bank
Bridging loans are perfect for those that have been rejected by banks because of their low credit rating.
Step # 2: Work with a Private Creditor
For immediate expenses, you can call on a private creditor. Thereafter, you will have between 6 months and 1 year to repay the amount. This allows you to improve your credit score and then get a bank loan at lower costs.
Step # 3: Get a loan
Once your credit score is improved, you will be able to refinance your mortgage with a creditor at lower interest rates in order to get a bank loan soon.
Step # 4: Finally, get the bank loan
The ultimate step and the main purpose of a bridge loan is to improve your credit rating enough so that you can get a bank loan with low interest rates.
When is a bridge loan the ideal solution for me?
Bridge loans obtained from private creditors are used for a multitude of things. Among them :
- Repeated rejection of your credit requests: If, on several occasions, you have been refused by the banks, the bridge loan will allow you to improve your credit score while obtaining the necessary amount.
- Deferred payments, 60 days notice, formal notice: A bridging loan can allow you to correct the errors of the pass and to point to a better financial future.
- Unpaid taxes: If you have to pay federal or provincial taxes and you do not have the money, contact us as soon as possible.
- Commercial Owners: If you own a business and have difficulty raising the necessary funds, you can opt for the bridge loan by sub-guaranteeing your property, which will earn you interest. much weaker.
- Debt Consolidation: The Bridge Loan is an excellent tool for consolidating all high-interest debt while still building a better credit rating.
- Consumer Proposals: If you are in process or applying for a consumer proposal, a private creditor may work with your trustee to shorten the payment period.
- Mortgages: If you currently have a lien on your home because of debt problems, consider going to a private creditor.
Want more information?
If you think the bridge loan is the right solution for your current situation, then submit your request to speak with a private creditor today. The application is easy and free.