Unlike many brokers, we are happy to provide input and guidance to borrowers, even if they are not using our expertise right now. It is, after all, a long game when it comes to our clients.
This business replied to a direct advert from another commercial finance broker. That broker arranged finance for the business and sent paperwork to them to sign. Before the client signed their financial adviser suggested they run things past ourselves.
What became apparent very quickly was that the current broker was overcharging (in my opinion). This gave us two options.
1 – We take things over, start again, rearrange the same finance but this time do it cheaper
2 – Advise the client how the fees worked on this type of finance, give them clarity on what the lender was charging and what the broker was charging, then if they felt it was excessive then advise them of what to do and how to respond
Financially the best option for us was the first. For the client, this would mean duplicating things and add unnecessary credit searches to their record. Something you don’t really want to do.
We went for option 2. It earned us nothing but saved the client £000’s (and it was thousands), it also meant that next time we would be the first port of call.
It goes to show that not everything is as it seems and sometimes a little expertise can make a huge difference.
This is what our client said about it;
By Dave Farmer