10% Closing Cost Rediscovered. Previously Thought to be Extinct
At least two merchants have approached us in the past 30 days and requested an unbiased opinion on whether or not they were getting a good deal. Given that our site rarely gets such requests, we found it quite shocking that BOTH contracts submitted to us for review included a closing fee equal to 10% of the funded amount.
Thought to have gone extinct shortly after the West African Black Rhino, 10% closing fees seem to have made a resurgence in the back corners of big urban phone rooms. While our official position is neither for or against the addition of service fees, almost everyone can agree that 10% is clearly excessive. Some companies just don’t get it. The secret to a successful business relationship is one where all parties benefit.
We won’t name any names here but if someone asks us if they’re getting a good deal with a 10% fee attached, we’ll let them know the truth “no.”
-The Merchant Cash Advance ResourceLast modified: February 21, 2013
Sean Murray is the President and Chief Editor of deBanked and the founder of the Broker Fair Conference. Connect with me on LinkedIn or follow me on twitter. You can view all future deBanked events here.