Not Paying Interest Is Awesome!

Okay – allow us to explain, right off the bat, that there is a cost to participating in our unique merchant cash advance program. When a merchant receives a merchant cash advance, he/she is charged a one-time fee. Combined with the advance amount (to make a grand total repayment amount), the fee is paid back over time through a small percentage of a merchant’s daily credit card and debit card transactions.

One of the main benefits of receiving a merchant cash advance, of course, is that it provides you with money to grow your business quickly. And, by quickly, we mean within 24 hours! Another incredible benefit is the fact that no interest accrues on the balance over time. The one-time fee is determined before the cash advance is even accepted. A merchant never has to worry about their being any additional charges.

How are additional charges avoided?
Well, let’s take a look at what makes a merchant cash advance so different from a bank loan. Firstly, it’s not a loan! The money is not borrowed. Instead, it is a payment for a merchant’s future credit card and debit card sales. As a result, no credit checks, collateral or detailed business plans are necessary in order for a merchant to secure an advance.

Secondly, there is no repayment schedule. As mentioned, a merchant cash advance is paid back through a small percentage of future credit card and debit card transactions. In other words, payments are only made when sales are made first. If sales are slow, so are the payments. Payments are made more quickly when business is good. Canadian POS Corporation’s merchant cash advance program works with the unique ups and downs of each business.

Because of this repayment method, there is no such thing as being late with a payment. There is no monthly minimum due and there is a no due date. As a result, one’s credit history is never impacted, there are no late fees, there are no penalties and there is no accruing interest rate that makes the repayment larger than what was originally assumed. To many of our clients, this is what makes our merchant cash advance program so awesome – there is no interest!

What are the problems with paying interest?
Interest rates make it hard to determine exactly what is going to be owed in full over time. It takes an incredible mathematician to accurately assess what the grand total cost of a loan will be by the time it gets paid in full. Technically, it’s impossible to do! And that’s because there are so many different factors to determine.

Those factors include the amount of the loan, the interest rate, how often payments are made, the amounts of the payments, if the payments are made on time or not – the list seems to go on and on! With merchant cash advance, you’re not working with a percentage – you’re working with a dollar amount. There is no confusion. Clients are made immediately aware of how much their merchant cash advances will cost them during the application process.

It doesn’t matter if it takes two months or two years to pay the cash advance back, the one-time fee will remain the same. Again – unlike an interest rate, it does not accrue over time. If you would be interested in getting more information about Canadian POS Corporation’s unique merchant cash advance program, please don’t hesitate to contact to call us at 1-877-748-2884 or email us at info@localhost.