Barclays bridging loans

Who are Barclays and what do they do?

Founded over 125 years ago in 1896, Barclays has become a staple of the British high street. With an international corporation aptly named Barclays International, the banking group is well-known worldwide for providing easy and accessible banking solutions for both personal and business customers.

The group helps 42 million customers [PDF] worldwide achieve banking freedom. They can help their customers with various banking products — from standard credit cards and personal loans to wealth management and investment banking.

Does Barclays offer bridging loans?

Yes, Barclays does offer bridging loans. You can apply for a bridging loan with Barclays directly or use a comparison service to help you find the best lender for you. You can use your Barclays bridging finance to develop property, buy a property at auction, or simply plug the financial gap between buying and selling property.

This type of financial product is mainly used by property developers, but it can be used for both personal and business purposes.

It’s increasingly difficult to secure a bridging loan through a traditional high street bank. It’s quicker and more flexible to apply for a bridging loan through an alternative provider, of which there are many to choose from. Because this is a competitive market, you’re sure to find a good deal.

If you’re looking to compare bridging loan lenders, check out our directory — it’s packed full of trusted UK lenders. Visit our directory.

What do Barclay’s interest rates look like on bridging finance?

The average interest rate you can expect to pay for bridging finance is between 0.4% and 2%. It’s important to compare lenders, though, because even a small increase in the bridging loan interest rate can mean you’re paying back a lot more each month. This is because interest is paid monthly with bridging finance rather than paying an annual percentage rate (APR). So the longer your loan term, the more expensive it’s going to be.

Interest rates are subject to change, so you’ll need to apply for a quote and compare from there to get the latest figures.

What do I need to get a bridging loan with Barclays?

Unlike other forms of finance, bridging loan lenders aren’t necessarily focused on credit scores. Instead, you’d be expected to secure the loan on a property (preferably not the one you’re currently selling), and Barclays will likely want to see your exit plan — i.e. how you plan to pay back the loan.

Barclays will also need proof that you live or have a registered address in the UK, are employed, self-employed or retired, and are over the age of 18. Remember, you can apply for a bridging loan as an individual or a business.

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How do I apply and how easy is the process?

Applying for a bridging loan is straightforward in most cases. First, you’ll want to work out how much money you’ll need to lend, after that, you can compare trusted UK lenders

If you’re not sure where to start or you’ve got some questions, we’re here to help guide you through the process, so don’t hesitate to get in touch.

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How long does the application process take and when do I get the money?

How quick the process is, depends on your circumstances. If it’s a relatively straightforward process, let’s say you’re buying a new property, but you’re using bridging finance as an interim financing option, and you’ll be able to pay the loan in full once your previous property sales, then you could have a conditional offer within days.

If it’s a little more complicated, the process could take a bit longer, up to a few weeks.

Does Barclays offer any specialist bridging options for things like property, business, etc?

You can use your Barclays bridging loan in many different ways. You can use it to buy property at auction, to bridge the gap between buying and selling property, and you can use it in a personal capacity or apply on behalf of a business. Just a reminder, if you’re taking out the loan in a business capacity, the loan will be unregulated.

If you’re looking for a loan to specifically help you refurbish your property or invest in your business, Barclays offers customers a wide range of financial options. Options include home improvement loans and business funding options, including secured and unsecured loans, overdrafts, credit cards and invoice financing.

The advantages of a bridging loan with Barclays

There are many advantages to high street bank bridging loans. When using a traditional lender like Barclays, you can usually line up a mortgage with them after you’ve exited the bridging loan. Another advantage of using Barclays is that if you’re already a Barclays customer, they might be able to find you favourable bridge loan deals, providing you’ve been a good customer.

If you wanted to keep all your finances together with the same bank, it could be worth going directly to Barclays to set up your bridging finance.

The disadvantages of a bridging loan with Barclays

Going direct to Barclays, there’s a chance you could miss out on better loan deals elsewhere — that’s why you should always do your research and compare other lenders. There are many alternative providers out there who specialise in bridging loans, so if you’re looking for specialist guidance, expertise and flexibility, you might be better off applying through an alternative lender.

Take a look at our lenders.

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, don’t hesitate to contact us for answers