Bad Credit
Bridging Loans

Yes. Bridging lenders like AF Credit take an asset-led approach, meaning the property security, LTV and exit strategy carry more weight than your credit score alone. We regularly consider applications from borrowers with CCJs, defaults, IVAs, mortgage arrears and discharged bankruptcy — provided there is adequate security and a credible exit. A bridging loan is typically not a permanent solution, but it can provide the time needed to resolve the situation and improve your credit profile.

Potentially. The outcome depends on the age, value and satisfaction status of the CCJ. A satisfied CCJ from several years ago is generally viewed more favourably than a recent unsatisfied one of significant value. AF Credit reviews CCJs on merit as part of the whole case — they are not an automatic disqualification. If you have a CCJ, tell us about it early in the process so we can give you a frank view on our appetite.

Yes. Historic and satisfied defaults are considered by AF Credit where the security and exit are strong. We will review the number, value, age and reason for any defaults. Recent unsatisfied defaults are assessed more carefully but are not an automatic bar to lending. The more information you can provide about the circumstances of the default, the more accurately we can assess our appetite.

Active and historic IVAs are both considered by AF Credit. For an active IVA, the IVA supervisor's written consent will normally be required before funds can be drawn — without this consent, any transaction involving the property may be void. Historic IVAs that have been fully satisfied are reviewed on merit and are generally considered alongside the wider case strength. Speak to our team early — the IVA process requires careful management.

Discharged bankruptcy is considered on merit. Key factors include how long ago the bankruptcy was discharged, the level of equity in the security property, and the quality and credibility of the exit strategy. Active bankruptcy means the borrower cannot legally enter credit contracts — AF Credit can only consider cases where the bankruptcy has been formally discharged. We typically require a minimum of 12 months since discharge before we will consider a case.

AF Credit will carry out credit and background checks as part of underwriting — we do not ignore adverse credit. However, we review credit history in the context of the whole case rather than using automated scoring to produce a binary pass/fail. Importantly, initial indicative terms are issued without a credit search. A formal check is conducted only at application stage, and we will tell you before any search is made.

For cases with adverse credit, AF Credit typically lends up to 70% LTV. The exact LTV will depend on the nature and recency of the credit issue, the property type and location, the exit strategy, and the overall case strength. Borrowers with minor or well-aged adverse credit and strong security may qualify for the full 70%. More complex profiles or weaker security will typically result in a lower LTV offer. A lower LTV significantly improves the chances of approval in adverse credit cases.

Asset-led lending means the lender's primary focus is on the property used as security — its value, condition, location and the LTV — rather than on the borrower's credit score. AF Credit's assessment starts with the asset: is it good security? Can we recover our loan if the exit fails? If the answer is yes, adverse credit in the borrower's history becomes less of a barrier. This is fundamentally different from mainstream mortgage underwriting, where the borrower's income and credit profile are the primary gatekeepers.

AF Credit's initial indicative terms are issued without a credit search. A full credit check is conducted only at formal application stage, at which point the search will be recorded on your credit file. We will always tell you before any search is made. If you have concerns about multiple searches — for example because you are approaching several lenders simultaneously — discuss this with our team at the enquiry stage. We will always be transparent.