A very important aspect of modern day financial matters is the availability of different mortgages and loans for a variety of commercial and personal purposes. There are several loan features and aspects that have been accordingly developed by banks and financial institutions so as to enable individuals the liberty to opt for one that is best suited to their circumstances. The presence of different kinds of mortgage loans and finance are also a means that augments the business possibilities and income of banks and financial institutions through their accessibility in the lives of the vast number of people that they influence through finance and loans. Bridging LoansThere may be times in one's life when they are awaiting a bigger financial arrangement for a solution to their monetary funding. However, they take short term loans for immediate financial needs of their funding. These are known in the United Kingdom as bridging loans as they are intended to finance the immediate needs of the time. The interest rates of bridge loans are mostly affixed at the rate of 12% to 15%. They are mostly given for short term periods like 12 months. The loan values are different according to the value of each of the types of property. * 65% for commercial properties* 80% for residential propertiesThe system of bridge loans is mostly not available with banks due to the non availability of proper documents and the risks of recovery that are mostly associated with these. However, there are a large number of private finance companies that will offer you bridge loans within a very short time to make it convenient for you. Bridge loans are essential and useful for the following circumstances. * In case of real estate developers this is a way immediate financing can be managed till the project is approved and the finance for that is released. Once that is done the bridge loan can be immediately repaid and closed. * If a person is buying a house or a flat and is awaiting the release and sanction of a home loan. A bridge loan can enable them for the down payment for which there may be a deadline. * There are commercial business situations when there is a need for an immediate relief from a financial crisis. These may be in the form of financing the salaries of the staff or making payments for suppliers. * In case of an important auction where a person needs money urgently, a bridge loan is useful for an immediate requirement. This can be paid later with a rearrangement of funds. The main aspect of a bridge loan, as the name closely suggests, is that it is means of immediate financing of a project or any other reason for payments. The urgency of the loan does not require too many formalities of documentation and other essentials mostly found in loan processing. This is also the reason that these loans entail a higher rate of interest and are also given for a short period of time. In short a bridge loan can also be termed as a short gap measure to financial help.