Precise comes in £103k cheaper than 'well-known' lender

Precise comes in £103k cheaper than 'well-known' lender


One bridging lender has saved its borrower more than £100,000 when compared to a competitor after completing a £5.9 million loan using its specialised interest and fee charging method.

Precise Mortgages saved the borrower £84,965 in interest payments and an additional £17,992 on the facility fee when judged against another well known lender.

Managing Director of Precise, Alan Cleary, said: “It shouldn’t be the case that lenders can quote the same interest rate but be so much more expensive. All lenders should voluntarily quote APRs so that brokers and borrowers can contrast and compare bridging loans.”

Because numerous lenders have published their Retained Interest Calculators, Precise was able to formulate a direct comparison with a well known lender’s calculator. For a loan of  £5 million (net of retained interest) on a £12 million property over an 18 month term at a rate of 0.85 per cent  per month, Precise Mortgages’ APR was 12.1 per cent with a 1.75 per cent facility fee, £35 TT fee and a £295 assessment fee*.

The broker who arranged the bridging loan through the Adrian Knott Partnership, Rob Ground, commented: “I was very pleased to be able to save my client so much with Precise Mortgages.

“Not only is their interest charge more competitive but they charged the facility fee on the net loan drawn not the gross loan. I agree with Alan, all bridging lenders should quote APRs otherwise it is all but impossible to compare deals.”

*Precise Mortgages’ APR also included a valuation fee of £5000, legal fees of £2000 and a redemption administration fee of £120.

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