When does a bridging loan make sense and what framework conditions apply?
The flexible repayment of such a loan allows you to create financial freedom without placing a heavy burden on your monthly budget.
For homeowners, this type of loan is often a better alternative to increasing their mortgage.
Who doesn't know it: There are phases in life that require financial flexibility. Whether it's investing in a new kitchen, renewing the heating system, or an expensive car repair, it's not uncommon for unexpected events to occur in life that cause financial bottlenecks. The bridging loan offers a simple and reliable solution in such situations. "This financing model is an excellent way to overcome short-term financial challenges without becoming committed in the long term," says Irene Fernandez, Head of Customer Care at BANK-now. The loan can be tailored to your financial options and needs. This gives you financial freedom without overstraining your budget.
No purpose limitation
Unlike many other types of credit, the bridging loan does not need to be used for a specific purpose – i.e. it is not project-related. So you have the freedom to use the money as you like.
Loans for homeowners
For homeowners in particular, such a loan can be an attractive alternative to increasing the mortgage. "In most cases, it is neither sensible nor possible to increase the mortgage. In such cases, the bridging loan offers an option to finance short-term projects such as renovations or acquisitions," says Irene Fernandez.
What you should know
Before you start the loan application process, you should be aware of the framework conditions and requirements. These include the term of the loan or the interest rate. It’s advisable to obtain comprehensive information in advance and to seek professional advice. "At BANK-now, a loan is individually adapted to the needs of clients," says Irene Fernandez, Head of Customer Care. For example, the repayment term has different models for different life situations. Once the terms and installments have been defined, you will have a clear overview of your financial situation. This makes budget planning easier and provides you with financial security.
If you are interested in a bridging loan, BANK-now offers you the option of a non-binding, personal consultation.