Adverse credit does not automatically disqualify you from a bridging loan. Most specialist lenders prioritise the quality of your security and the strength of your exit strategy over your credit file.
What Counts as Adverse Credit?
Lenders in this space work regularly with borrowers who have:
- County Court Judgments (CCJs) - satisfied or unsatisfied
- Defaults on mortgages or unsecured credit
- Individual Voluntary Arrangements (IVAs)
- Discharged bankruptcy (typically 1+ year ago)
- Missed mortgage payments in the last 12–24 months
Indicative Rates for Adverse Credit Bridging
| Credit Profile | Typical Rate (pm) | Max LTV | Notes |
|---|---|---|---|
| Clean credit | 0.55–0.75% | 75% | Best mainstream rates |
| Minor adverse (1–2 defaults) | 0.75–1.0% | 70% | Resolved preferred |
| Moderate adverse (CCJs, IVA) | 0.9–1.2% | 65% | Exit clarity essential |
| Severe adverse / recent bankruptcy | 1.2–1.5% | 55–60% | Specialist lenders only |
Which Lenders Consider Adverse Credit?
The standard high-street bridging lenders typically decline adverse credit cases. However, a number of specialist and private lenders - many of whom only work through brokers - actively consider applications where:
- The property provides strong security (low LTV)
- The exit route is clearly defined and realistic
- The adverse credit is explained and preferably historic
As a whole-of-market broker, Doulton Bridging Finance has direct relationships with these lenders and can match your case to the most appropriate one.
What Lenders Focus On Instead
Security value
LTV
Repayment plan
Exit
Reason for credit issues
Story
Time to exit
Term
How to Improve Your Chances
Before applying, it helps to: obtain your credit report and understand exactly what is on it; be ready to provide a brief written explanation for any adverse items; and have a clear, documented exit strategy. Lenders are far more likely to proceed when you can demonstrate you understand your own position and have a credible plan.