London Credit has expanded its specialist lending proposition with a serviced interest option across its commercial bridging loans, available up to 65% loan-to-value.
The new facility is designed to provide brokers with additional flexibility when structuring commercial property transactions, particularly where borrowers prefer to make monthly interest payments rather than rolling up interest over the term of the loan.
Under the product structure, borrowers can service interest each month throughout the loan term instead of having interest rolled up or deducted at the outset.
This approach can reduce the overall cost of borrowing while allowing borrowers to retain more capital at the start of a transaction.
The option is aimed at income-producing assets or borrowers with strong cashflow, and may also be used to stabilise cashflow in advance of a longer-term refinancing strategy.
The serviced interest feature is available across London Credit’s commercial bridging range, supporting loans from £150k to £4m with terms from three to 24 months.
The product can be used for acquisitions, refinance, capital raising and time-sensitive opportunities across a variety of commercial asset types.
Marios Theophanous, credit manager at London Credit, said: “Commercial deals often require a more tailored approach. By introducing serviced interest, we’re giving brokers another way to structure funding around their client’s cashflow and exit strategy.
“As always, product innovation only works if it’s backed by certainty. Brokers and Borrowers need clear terms, consistent underwriting and funding that completes when we say it will.
“This launch strengthens our commercial proposition while staying true to the service-led approach that defines London Credit.”
