Do you need to lower daily mca merchant cash advance payments immediately? Is your account overdrawn because the mca companies keep debiting the daily payment? Do you have multiple advances and do not know what to do? What can you do? Apply for one of several options below that do not involve settlements, closing your bank account, being declared in default, nor having a cash advance company file a coj certificate of judgement against you.
How to lower daily mca merchant cash advance payments
FAQ, Frequently asked Questions on how to lower daily mca merchant cash advance payments
Can I get a monthly payment loan to pay these off?
Yes. One of the ways to lower your daily mca merchant cash advance payments is to get an alternative loan to pay off the mca cash advances. By doing so, you will be lowering the payment because your monthly payment on the loan to pay off the mca’s will be much lower than the monthly amount you were paying on the daily cash advances.
Usually, you will be paying 50% to 75% less if you are successful in securing a monthly loan to pay the mca’s off.
What if the cash advance companies do not want to lower the payments?
You may have to push hard to get a concession. If your business had a true hardship, such as a hurricane or another type of hardship, make that known.
If that fails, read the mca merchant cash advance contract in detail.
Make sure you know exactly what can happen if you do not pay. It may be advisable to seek legal advice through an attorney if you know you cannot repay the advances.
If you know in advance your business will not be able to repay the advances, you can use the time in advance to:
– Determine what your options are
– Know what actions you can legally take
I cannot pay my advance. What can I do?
Check your state laws to find out if your state has special protections and laws. Some laws vary by state. Negotiate with the cash advance company either directly final options may include bankruptcy.
Should I get my Attorney to contact the mca merchant cash advance companies?
Whether you should get an Attorney involved in talking with the cash advance companies varies on a case by case basis. In some cases, having your Attorney contact and negotiate with the cash advance companies is a good idea. If you are offering to work with the merchant cash advance companies and they are not working with you, this may be a good situation in which your attorney contacts them.Some mca merchant cash advance companies are more willing to work with customers than others.
If you do not feel comfortable negotiating or discussing your past due debt with mca merchant advance companies, this may be another reason to involve an Attorney.
Choose from several options to lower your daily mca merchant cash advance payments safely and quickly. No settlements, coj filings, or having to default. You do not need to close your accounts. Your business and business reputation is not harmed.
Your payments can be safely lowered or eliminated without hurting any of your relationships, including vendor relationships. Apply below to arrange for lower payments :
Avoid closing your business checking account and being declared in default. These lower daily payment options are safe. They typically prevent a coj certificate of judgment from being filed against your business when you act immediately.
FAQ, Frequently asked questions:
Question: How are my payments lowered?
Answer: The daily and weekly payments are lowered either through a payoff , consolidation or restructuring. You will be paying much less than you are paying now. Your business pays a lower amount for a longer period of time.
Question: How much can I get my daily mca payments lowered?
Answer: You can get the payment lowered 25% to 50% in most cases. Sometimes the payments can be lowered as much as 50% to 75%.
Question: I have more than 1 advance. Can I get my payment lowered on all of them?
It may be possible to lower or pay all of them off even if you have 2 or 3 advances.
Question: I have several advances. Can you help me?
Answer: You can get help you need even if you have as many as 4 or 5 advances.
Question:Are there any problems with lowing my daily payments?
There should not be any risks if you are approved for one of these programs and follow through on paying off the other advances. The biggest risk is not acting in time. Act before you miss payments and are declared in default.
Question: I am being told by my merchant cash advance company that I signed the contract and so I have to keep making the payments I agreed do. They are telling me there is no other option. what can i do?
You are not stuck and there are in fact other ways to get out of the problem. You can pay them off or pay less. The best way is to just study what options are available for you to resolve your cash advance problem. You will almost always find out there is a better way ahead than staying the same course you are one. Review the options and decide which option is best for you. This will depend on your individual business circumstances and cash flow.
Question: Can I get a monthly or weekly payment instead of a daily payment?
Answer: You may qualify for a monthly payment program for enough to payoff the balances. Your business may get help it needs, even with a much lower weekly or daily consolidation payment. Your monthly cash payments can still be 25% to 50% or lower.
Is your mca payment is too high? Reduce it without settlements, coj filings, or having to default. No closing accounts or harming your business reputation.
What is average daily balance? How does it affect my getting a business loan? It is also know as the average ledger balance and average collected balance and is the average of your daily balances for one month at your bank.
FAQ Frequently asked questions on average daily balance for a business loan
What is average daily balance?
The average daily balance, also known as average ledger balance and average collected balance is the average of your daily balances for one month at your bank. If it is not high enough, it may be a reason for a decline with a lender who does not tell you what the requirement is.
What does average daily balance mean for a business loan?
The higher the average daily balance, the more likely you are to getting approved for a business loan and getting approved for a higher amount.
Why does my average daily balance in my business account matter?
If it is too low, it can be a major factor in your business loan request being denied. Lenders have different numbers they look for in the average daily balance. However, most want to see at least $1,000. Many want to see a $1,500 average ledger balance and some want as high as $2,500 average collected balance. A higher balance gives lenders more confidence that your business has the cash flow to handle debt.
Keeping high daily balances is too much for many businesses. Many businesses use almost all of the funds that are in their account immediately after it is deposited.
Why do lenders care about average daily balances?
Lenders, especially short term lenders, also want your business to keep more in your account than what their future payment will be. The lower it is, the more worried they are you will not be able to make payments to them. As a result, they take any new payment into consideration when making the approval or decline decision. Lenders may also consider what the percent of your loan payments will be as a percentage of total deposits. This is similar to a debt to income ratio that many lenders use to assess business cash flow and affordability.