Customers have several common complaints about Business Loans. We will take a look at the Top 12 customer complaints with business loans. Customers often do not close an approved business loan because of one or more of these reasons.
Top 12 customer complaints with business loans:
- The rates and cost is too high. They want a better rate and terms.
Customers often want and need a business loan with a lower rate and better terms.
Another requirement is they need a business loan with lower total repayment and lower cost overall.
- The approval amount is not enough
Customers often call in and say they need a higher approval amount and more money
for my business loan. They will go for a different loan if they cannot get what they want, or also get a second loan.
- The term of the loan is not good.
Customers also say the term is too short and needs to be longer. Another requirement is a business loan longer than 24 months.
- It is not a Monthly Payment.
A very frequent request is to get a business loan with a Monthly payment. Customers really want a Monthly payment if they can get it.
- It is a daily payment.
Applicants will say right away if they do not want a business loan with a daily payment. They have had this type of business loan in the past and they will not close business loans that have a daily payment.
- It is a Merchant Cash Advance.
Customers oftentimes do not want a Merchant Cash Advance. They will say they need a business loan that is not a Merchant Cash Advance. When this is the case, the customer will look for alternatives to a Merchant Cash Advance.
- The Prepayment option is not good.
Another complaint is they want a business loan with no prepayment penalty. They want to be sure they will get a good discount if they pay off early.
- The type of loan is not what they wanted
Sometimes customers will tell you they don’t want the type of loan they have been approved for. They do not want an expensive business loan or want a different type of business loan. They are not sure what type they want, but they have decided they don’t want the one being offered. Have a conversation about other business loan types so Customers will get the loan that works for them.
- They don’t want to put up Collateral
Many do not need or want a business loan with Collateral. They do not want to put up Collateral, or they do not have Collateral.
- Do not want to give a Personal Guarantee.
Customers may not want to close a business loan with a Personal Guarantee. They believe they can get a business loan with no Personal Guarantee. There are very few business loans that do not require one.
- The loan will, or will not be reported on Personal Credit
A business loan that reports on Personal Credit is sometimes requested. Applicants insist on a business loan that reports on their personal credit.In other cases, customers want the opposite. They want a business loan that does not report on Personal Credit and want to make absolutely sure there will be no reporting on their Credit Bureau.
- The request took too long.
Some business loans that are eventually approved do not close because the processing time was too long. Customers will tell us they need a Fast business loan that does not take long to get.These are the Top 12 Customer complaints with business loans.Contact us for programs to avoid these common business loan problems.