bank of scotland bridging loans

Who is the Bank of Scotland and what do they do?

The Bank of Scotland is a commercial and clearing bank based in Scotland and is the fifth oldest extant bank in the United Kingdom with a history going back to the 17th century.

In 2009 the Bank of Scotland became a subsidiary of the Lloyds Banking Group when HBOS was taken over by Lloyds TSB.

Do the Bank of Scotland offer bridging loans?

Yes, the Bank of Scotland do offer this form of specialist lending and advertise the service on their website. You can apply directly through the Bank of Scotland or use an alternative comparison service to find the best possible bridging loan for you.

The Bank of Scotland’s bridging loan is constructed to ‘bridge the gap’ between selling your existing home and purchasing a new one, the repayment coming from the sale of your current home.

It can be difficult to secure such specialist finance through a high street bank like the Bank of Scotland as the bank states that the service is available to anyone with a sole income of at least £100,000 or £250,000 or more in savings/investment portfolio.

What do the Bank of Scotland interest rates look like on bridging finance?

Interest rates on bridging finance are high due to their inherent short-term nature. The rates are charged monthly as opposed to annually (APR) and fall somewhere from 0.4 to 2% per month.

What do I need to get a bridging loan with the Bank of Scotland?

To apply for bridging finance, your credit score is not as relevant as it would be for attaining a traditional loan as you are securing the finance against the property you’re selling.

The Bank of Scotland will want to understand your exit strategy (how you’ll repay the loan) in addition to wanting:

  • Proof you are over the age of 18,
  • Proof you have a registered address within the UK
  • Proof of income

Visit our FAQs section or drop us a line if you have further questions.

How do I apply and how easy is the process?

Applying for bridging finance is usually an uncomplicated process and you can apply directly through the Bank of Scotland, or you can compare from competitive providers.

It is also important to determine how much money you will need to borrow to purchase your new property.

The advantages of a bridging loan with the Bank of Scotland

As the Bank of Scotland is an established bank with a great deal of history behind the institution, many people will naturally gravitate towards the bank as they may consider the Bank of Scotland to be safer and more trustworthy.

Furthermore, if you are an existing customer of the Bank of Scotland, it can be appealing to keep all of you finances in the same place.

Despite this, by failing to consider other lender you may be missing out on achieving the best possible bridging loan for your individual circumstances.

Compare lenders by visiting our bridging loan directory.

The disadvantages of a bridging loan with the Bank of Scotland

As the Bank of Scotland is a large institution, you may not receive the focus and attention given to your individual circumstances that other lenders can provide.

It can also be difficult to achieve a bridging loan with the Bank of Scotland as they only offer this service to customers with a sole income of at least £100,000 or £250,000 in savings and/or investments.

The bridging finance space is competitive and by shopping around you will receive a much better deal that is tailored to your specific needs so don’t hesitate to assess your options.

What is the bridging loan directory?

We’re an impartial party that solely exists to help you find the best bridging loan lender for you. We’re here to guide all our users through every aspect of their bridging loan application journey. Our content resources section is packed full of guides so you can learn more about everything from interest rates to refurbishment finance.

If you have questions about bridging finance, contact us for further assistance.

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