From Adviser Guide:
Short-term finance 1hr
Q: What will I be paid for arranging short term finance?
Introducers are usually paid commission or an introducer’s fee by the lender, which is disclosed to the borrower.
Introducers are usually paid commission or an introducer’s fee by the lender, which is disclosed to the borrower, but rates vary considerably. Some introducers also charge a separate broker fee.
Usually up to 1 per cent procuration fee is paid, according to Steven Nicholas, chief executive of Tiuta.
Paul Aitken, chief executive of Borro, said Borro’s introducer programme allows IFAs, mortgage and commercial brokers, accountants, solicitors, lawyers, wealth managers and tax advisers to offer clients short-term loans from £1,000 to £1m.
He said introducers received commission per referred loan, based on the duration of their client’s loan term.
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More in this guide
- Q: What is short term finance?
- Q: What are the different types of short-term loan?
- Q: What are the pros and cons of different short term loans?
- Q: Who regulates short-term loans?
- Q: How are short-term asset loans secured?
- Q: What happens if the borrower misses a payment?
- Q: Do missed payments affect credit rating?
- Q: Is the bridging loan borrower protected by law?
- Q: Once a bridging loan is agreed can it be cancelled?
- Q: Can the asset be sold?
- Q: What if the asset is sold for more than the loan amount?