Would you like to borrow money? You are probably familiar with the slogan ‘borrowing money costs money’. Borrowing money can be very good for you, but keep in mind that you always lose more money than the money you get. Do you want to gain insight into the costs that you need to take into account when you want to take out a business loan? We are happy to tell you everything about it.
Which business loan costs do I have to take into account?
Every situation is different. One takes out a loan for buying a car, while the other takes out a loan to be able to open a new building. Every situation is therefore different and the interest of the providers is constantly changing and changing. As a result, we cannot tell you exactly which costs you must take into account. In order to gain insight into the costs, we have prepared a handy calculation overview for you:
- Closing commission: this is the amount that the financing party charges for taking out your business loan. The closing commission is usually between 2 and 3 percent of the loan amount. Do you want to borrow 10,000 euros? Then the closing commission is between 200 and 300 euros.
- Interest costs: when you take out a loan, you must always pay an agreed percentage of interest. The interest is calculated on the determined amount that you want to borrow. The v differs per provider for how high the interest rate is, so always view the interest rate per provider. In doing so, always ensure that the level of interest may change during the term. Make good agreements about this with the financing party, because this way you will not be confronted with surprises.
- Fixed-rate premium: do you choose not to withdraw the entire amount immediately? Then you must pay a fixed-rate premium for this. This is usually lower than the interest paid on the amount withdrawn.
- Early repayment: do you have the option of early repayment of part of the debt? In some cases this can lead to a fine that you have to pay. You can find out whether this is the case in your contract. Always take a good look at this before you take out a loan.
- Adjustments: adjustments to the contract may have to be made. This may be the case, for example, when changes occur within the business situation. This often involves extra costs, so pay attention to this.
- Reproduction of current obligation: do you have a personal loan or an outstanding balance on a revolving credit? You can choose to transfer this to a corporate credit. Make sure that this entails additional costs. The level of costs involved differs per financing party.
Want to know more about the costs of a business loan?
Do you also want to gain insight into the costs that you must take into account when taking out a business loan? Then contact the financing party of your choice. Do you want to know which party most meets your wishes and requirements? Use the handy comparison tool on our website.