Have You Paid An Upfront Fee?

Upfront Fees

Paying a broker an upfront fee for admin or some other reason seems to be becoming increasingly common. Some bridging property development loan applicants have paid anything from a few hundred pounds to a worrying few thousand!

We have heard it all too often, "I approached a broker who promised the earth and said my property development deal could be financed". Guess what? The other things all these deals all had in common were:-

• Nothing happened for months on end
• The deal didn't get financed
• The customer never even got to talk to any would be lender!
• Our review showed that the deal didn't actually meet criteria for any commercial lender in todays market

Our Advice

In todays restricted lending market, it seems that it's all too easy to be sucked in to a sales persons promises. Our advice is that you should never pay any upfront fee to any bridging or commercial finance broker or any other fee such as money for a valuation, the chances are that's the last you will see of your money!

We Do NOT Charge Upfront Fees

Eland Business Services Limited do not charge any upfront fee and in many cases we will just take a commission from the lender, from the arrangement fee. What's more we can usually take a view on funding prospects for your property development deal within 5-10 minutes over the phone.

Submitted by Bridging Loan Broker on Tue, 13/07/2010 - 13:37

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