Bridge loans
What is a bridge loan?
A bridge loan is given to borrowers against funds that are illiquid when the loan is provided, such as saving plans or pension funds. In addition, borrowers can receive a bridge loan by placing a lien against assets that they own (the loan’s value is up to 50% of the asset’s worth, as evaluated by an appraiser). The immediate injection of capital “bridges” the gap between current expenses and future income.
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