For whom does HNW Lending Ltd arrange loans?
Our customers encompass individuals, small businesses and the owners or directors of small businesses. The key characteristic about our borrowers is that they all have assets to use as collateral so that if they cannot repay, HNW Lending has that asset to sell in order to repay the loan
What are the typical terms for the loans?
HNW Lending arranges bespoke terms for each client. This will take into account the assets being offered as security as well as the term of the loan. Loans can vary from just a few months to several years. The rate of interest, although not as low as a high street bank, is often lower than other loan companies working in this space. This is because we facilitate peer-to-peer lending, whereby HNW Lending matches a borrower directly to one or a series of high net worth individuals who wish to lend
Can HNW Lending arrange interest-only loans?
Yes, almost all our loans to date have been interest only. There is also generally flexibility around other terms, such as the frequency of interest payments (monthly, quarterly or interest rolled-up until the loan is repaid) and early repayment options
What questions do HNW Lending ask borrowers?
The service HNW Lending offers is highly discreet and is based primarily on the value of the assets being taken to back the loan. Loans with HNW Lending are managed outside credit agencies and so no credit reports will be requested or reports made to credit agencies. However we will need to ask some questions, for example to satisfy anti money laundering requirements
What options are available to the borrower when the loan reaches the end of its term?
A loan may be settled at any time up to and upon the date of maturity. However, should the borrower not be able to repay, we will discuss the options with them and try to find an amicable solution. This may involve a new loan, an extension to the existing loan or an orderly sale of some of the assets. HNW Lending will not make a profit out of selling any items as the surplus proceeds above the borrower's debt is repaid to the borrower
How long does it take to complete the process?
In HNW Lending's experience, funds are normally in the borrower's account within a week of the borrower deciding they wish to proceed with a loan. Timescales can be shorter than this if necessary. It is rare for the process to take longer than 2 weeks
If a borrower receives an offer of funding, how certain can the borrower be that HNW Lending will facilitate the funding of the loan?
HNW Lending will only give a Loan Offer out if we know we have lenders to fund it. The reason HNW Lending can guarantee funds is that it has a pool of money from its founders and some key lenders that is immediately available to fund loans. That means if we say we will facilitate a loan, we will honour that promise, so long as the conditions on the offer letter are met
How do HNW Lending value the items?
HNW Lending has certain in-house experience with a number of asset classes. However HNW Lending may also use an external valuation agent who specialises in a certain type of asset
How are the legal elements handled?
All the legal aspects are dealt with by an independent firm of solicitors. Borrowers generally use their own solicitor to represent them, however unless dealing with a charge over real estate, there is no need for a borrower to appoint their own solicitors as HNW Lending will provide the necessary documents for the loan process. If a borrower does not have their own solicitor, HNW Lending has a panel of solicitors that are familiar with our process and we can provide this list on request
What happens to the borrower's assets when a loan is taken out?
All items handed to HNW Lending are handled with the utmost care and respect for the period that they will be held as security against a loan. HNW Lending can organise safe storage and insurance of the borrower's items for the duration of the loan, as well as transport if required.
Depending on the nature of the asset it may be stored in a safety deposit box or a specialist unit. For example, for wine HNW Lending Ltd generally uses the Wine Cellars, which has 500 private, climate controlled wine cellars and is located in Fulham, London. For jewellery and other high value small items, Metropolitan Safe Deposit Boxes are used. For antiques HNW Lending Ltd generally use Ward Thomas, whilst for cars, HNW Lending Ltd normally use a secure car storage facility such as Storacar which has facilities under protective cover and a dehumidified and climate-controlled environment if required. For boats and yachts, if the current moorings are secure they could remain where they are, or alternatively be removed to dry storage nearby (often in the same marina)
Are the items insured?
Yes - HNW Lending will arrange insurance, if the borrower does not have adequate cover already in place, although this will usually be at the borrower's expense
Can HNW Lending Ltd lend against items held outside the UK?
Yes - HNW Lending can arrange loans for items held outside the UK. Loans can also be arranged in currencies other than pounds sterling. However all documents will still be governed by UK law. Loans have been arranged on property in all parts of the United Kingdom, Ireland, France, Spain, Italy, Portugal, Greece and the United States. Other locations will also be considered
Will HNW Lending consider assets not listed on the website?
Yes, HNW Lending will consider almost any asset. However if it is a specialist asset HNW Lending may ask the borrower to help identify an appropriate valuer.
Do you have any testimonials from borrowers?
Yes - Please see two below:
I was keen to set up my new business since deciding on a career change. I needed some extra funds to make it happen and without any income I knew it was going to be tough to borrow from traditional lenders. HNW Lending made the whole process both painless and speedy. I would definitely recommend HNW Lending to anybody looking to borrow both quickly and affordably. (Chris E)
As we near the end of my loan agreement I thought now is a good time to thank all at HNW Lending for their help in their financing of my project. I would also like add without your personal input I would never have managed to navigate my way around the various obstacles, to get the funding I needed for my project. I would certainly recommend HNW Lending to any of my friends or business colleagues that need help with finance for their projects in future (Mick K)