How Do I Get a Free, No-Obligation Assessment of What a Revolving Credit Facility Would Cost for My Portfolio?

How Do I Get a Free, No-Obligation Assessment of What a Revolving Credit Facility Would Cost for My Portfolio?

UK property landlords often face sudden cash flow gaps. Traditional remortgaging can take many weeks and may trigger expensive early repayment charges. Bridging finance is another popular option, but it can sometimes feel rigid or expensive if you only need capital in short bursts. A Buy-to-Let (BTL) revolving credit facility from Promise Money could be the flexible alternative you need.

This product is a secured financial facility that sits as a second charge behind your existing first-charge mortgage. It works like a property overdraft, allowing you to draw down, repay, and draw funds again without needing to reapply each time. Promise Money is an FCA-authorised broker (Reference: 681423), not a direct lender, meaning they can search the market to help you find a competitive setup for your portfolio.

The Step-by-Step Assessment Process

If you are wondering how do i get a free, no-obligation assessment of what a revolving credit facility would cost for my portfolio, the process is straightforward and designed to be hassle-free. You do not need to pay any upfront fees to find out what you qualify for or what it might cost.

First, you can visit the Promise Money hub at promisemoney.co.uk/landlord-revolving-credit-100 or call their team directly on 01902 585020. During this initial conversation, an experienced adviser will gather key details about your current investment portfolio. They will ask about your property values, your rental income, and your current mortgage balances.

Because this is a secured second-charge product, the amount you can borrow depends on the equity available in your buy-to-let properties. To make the process smoother, it is highly useful to have an up-to-date credit report handy. Get your free credit search here. It’s free for 30 days and costs £14.99 per month thereafter if you don’t cancel it. You can cancel at anytime. (Ad)

Once the adviser has your portfolio details and credit profile, they will compare options from various lenders to build a custom illustration. This illustration outlines exactly what a facility could cost, including interest rates, setup fees, and potential drawdown charges. You can then review this illustration with no pressure to proceed.

Understanding the Costs of a Secured Revolving Credit Facility

Unlike standard business loans or credit cards, a BTL revolving credit facility is not an unsecured product. It is secured against your residential investment properties. Because of this security, lenders can typically offer higher credit limits and more competitive interest rates than you would find with unsecured finance.

When you receive your free assessment, the costs will generally be broken down into three main areas:

• The Facility Fee: This is a one-off setup fee charged when the lender first establishes the credit limit.
• The Drawdown Fee: A small administrative charge may apply each time you request to withdraw funds.
• Interest on Drawn Funds: This is the major benefit of the product. You only pay interest on the money you actually use. If you have a £100,000 facility but only draw down £15,000 to cover a quick repair, you only pay interest on that £15,000.

An expert adviser can help you compare these costs against alternative products. For example, bridging loans often require you to pay interest on the full loan amount from day one, whether you use all of the money immediately or not. Remortgaging might force you to give up a highly competitive historic interest rate on your main mortgage, making a second-charge revolving facility much more cost-effective overall.

Why Landlords Choose This Facility Over Bridging and Remortgaging

When property investors need fast capital, they usually look at bridging finance or remortgaging. While both have their place, they can come with distinct limitations. It is important to compare them to see which matches your business goals.

A bridging loan is designed for short-term use and often rolls up interest, meaning you do not make monthly payments but face a large bill at the end of the term. If you cannot repay on time, you could face heavy penalties. Remortgaging can release equity, but it replaces your entire first mortgage. If you currently enjoy a low fixed rate, giving it up could cost you thousands of pounds over the long term.

In contrast, a secured revolving credit facility sits neatly behind your existing first mortgage. It gives you flexible access to funds without disturbing your primary loan. Once the facility is arranged, you can typically draw down funds within 24 to 48 hours, making it highly competitive when speed is essential.

Real-World Landlord Scenarios

How do property investors actually use this flexible finance? Here are a few typical situations where a revolving credit facility shines:

• Securing Auction Properties: Buying at auction requires a fast deposit and quick completion. This facility allows you to draw down the deposit instantly, bypassing the lengthy approval times of traditional mortgages.
• Refurbishments and EPC Upgrades: Improving a property’s energy efficiency rating or giving it a cosmetic overhaul can raise its rental value. You can draw down funds to pay builders, then repay the balance once tenants move in and rent starts flowing.
• Covering Void Periods: If a property sits empty between tenancies, your mortgage payments do not stop. You can draw down small amounts to cover these quiet months and repay them once the property is re-let.
• Portfolio Expansion: You can use the equity in your existing properties to fund a deposit for your next purchase, bridging the gap until long-term finance is arranged.

The Importance of Responsible Borrowing and Risks

While a revolving credit facility offers fantastic flexibility, it is a secured debt. Your property may be at risk if repayments are not made. If you fail to keep up with your payment schedule, the lender could take legal action, which may lead to repossession of your investment properties, increased interest rates, or additional penalty charges.

Because Promise Money is an FCA-authorised broker, they work diligently to ensure you understand these risks. If you are ever worried about managing debt, the MoneyHelper service provides free, impartial guidance on property debts and general financial management. Your adviser will help you evaluate whether your portfolio’s rental income can comfortably cover the potential costs before you proceed with any application.

People also asked

Is a revolving credit facility the same as a business credit card?

No, this is a secured facility registered as a second charge against your residential buy-to-let property, meaning it is not an unsecured credit card or generic business loan.

How quickly can I access funds once the facility is set up?

Once your revolving credit facility is fully arranged, you can typically draw down funds into your bank account within 24 to 48 hours.

Does Promise Money charge a fee for the initial cost assessment?

No, the initial assessment of your portfolio and potential borrowing costs is completely free and carries no obligation to proceed.

Can I use this facility to pay off a bridging loan?

Yes, many landlords use a revolving credit facility to bridge financial gaps, which could include paying off outstanding short-term bridging finance.

What happens if I don’t draw down any money from the facility?

You will generally only pay interest on the money you actually draw down, though some products may have small annual renewal or maintenance fees.

Get Your Portfolio Assessment Today

If you want to know how much a property overdraft could cost for your specific situation, getting a quick assessment is your best next step. You can speak to an expert advisor today. Call Promise Money on 01902 585020 or visit promisemoney.co.uk/landlord-revolving-credit-100 to explore your options.