Solve your Cash Crisis with Caveat Loans

Author: Frank Zelasko

The Meaning of a Caveat Loan

A caveat loan is a short-term asset based loan product. In contrast to conventional forms of finance, a caveat loan needs to be established quickly (i.e. within 24 hours from the time the loan application is first lodged). The loan is secured on the value of concrete assets, such as:

  • A house
  • A unit
  • A block of land, or
  • A commercial property

The Purpose of a Caveat Loan

If you are a business owner, a property developer or even an investor, it is inevitable that you may experience cash flow crisis and you may find yourself needing money quickly. So, a caveat loan is the right loan for you as it will enable you to:

  • Commit to any potential business growth by providing you with the required increased working capital
  • Secure the required funds for construction or development projects (Secure the required funds for property development or construction projects)
  • Get the cash-on-hand you need for urgent bills and expenses
  • Prevent foreclosure or repossession of your property
  • Enhance your day-to-day business cash flow
  • Get your investment property up-to-date for a sale

NOTE: - It is important to note that caveat loans are not offered to consumers who seek to use the funds for purposes to which the National Consumer Credit Protection (NCCP) Act may apply. The loan facility is only to be used for business or investment purposes (i.e. for investments other than investments in residential property).

Features of a Caveat Loan

There are a number of features for you to consider when you are looking at applying for a caveat loan, such as:

  • Funds usage and loan purpose must be strictly for business purposes
  • Fast approvals to meet your immediate needs and quick settlements
  • Loan terms up to 36 months
  • Low set-up costs and low interest rates
  • Security to be in the form of real estate
  • Loan repaid at the end of the agreed term

Approval Requirements for a Caveat Loan

To get approval for a caveat loan, the lender/credit provider will require you to have:

  • Accessible equity in owned property (e.g. your residence or your business)
  • A reasonable exit strategy in place. You must be able to show the lender/credit provider how you plan to pay back your caveat loan (e.g. you may decide to sell your home or use the profit from the sale of a business)

Do not worry if you have Bad Credit History

If you are in a situation where you have a bad credit history, do not worry. Because, credit checks are not required to be performed on caveat loans, even if you have:

  • A Discharged Bankruptcy
  • A Bad Credit Rating
  • A Court Judgement, or
  • A Part-9 Debt Agreement

Find an Expert Finance Broker to help you

Contact a reputed brokerage firm with access to numerous lenders/credit providers. The firm’s professionally qualified and expert finance brokers will:

  • Structure your caveat loan to suit your individual needs and budget
  • Help you get the best caveat loan you want and in the quickest possible time and, without the hassle of running around trying to find your own finance
  • Liaise with the numerous lenders/credit providers to arrange the best possible caveat loan solution for you, and at the right price

So, now that you know everything about caveat loans, don’t waste any more time. Contact an expert finance broker and get ready to end your cash crisis.

If you are currently considering applying for a caveat loan, or any short term business loan, contact Singh Finance. The firm’s commercial finance experts will find you the best finance deal. Book an appointment today.