Getting a Competitive Interest Rate

Getting a competitive interest rate on your commercial loan can be difficult. Most bankers do not like to compete with other lenders for your business. They want to have an exclusive look at your loan package. As a result, it is difficult to know if you have received the best offer. Even if you shop a couple competing banks you still may not have secured the best offer.

Our mission is to know a good offer when we see one. We take into consideration the difficulty of the loan, prepayment schedules, industry risk, guarantee support and other factors that affect your loan’s interest rate. Don’t leave money on the table to be gobbled up by interest expense. Last year we saved a borrower $75,000/year in interest expense. That same borrower would have had a higher interest rate than originally quoted by the banker at closing had we not seen an error in the docs. That error would have cost the borrower $15,000/year.

Last week we got another offer from a competing lender. Our loan offered a construction interest rate 1% less than the competition. In addition the long term rate for the loan was 0.60% less than the closest competitor. The borrower will most likely save about $61,000 the first year in interest expense on the construction loan. The true savings is realized on the long term note. This borrower will save over $500,000 in interest expense over the life of the loan.

It is worth the expense to hire a consultant to ensure you have the best deal. You will have the right expectations and save a considerable amount of time.  An expert will ensure that you save real money to offset the expenses of their services. We are anxious to review your request. Give us a call so we can go to work for you.

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