The changing reputation of bridging

The ASTL has always been at the forefront of responsible bridging finance and at the end of November it raised the bar still further.
We are long past the days when bridging had a slightly questionable reputation but there is a constant need to keep raising standards.   If bridging is to make further inroads into the mainstream mortgage market and be considered as an option more frequently, then it is important that the standards in bridging are at least comparable to those of the high street lenders.

In the main, this is already the case but there were a couple of areas that as a trade body, we thought it would be beneficial to raise standards still further.
There is a certain amount of “regulation creep”, but I believe that those areas of bridging which are currently not regulated will only be regulated at the point that there is a scandal, or someone does something so seriously wrong as to make the regulator sit up and take notice.

It is the ASTL’s aim to make sure, as much as possible, that those situations never arise - not to avoid regulation, but in order to raise the standards in the bridging industry to the benefit of everyone in the market, not least the borrower.   As a result we have introduced a couple of measures into our Code of Conduct. These have been approved by the members.

Firstly, members who do not offer regulated loans and are not regulated by the FCA should state so on their websites.