Using merchant cash advance consolidation can help you save money on interest and fees, and it can make managing your payments easier.
If you’re a business owner, it’s likely that you’ve had to take out a merchant cash advance at some point to keep up with expenses. But what do you do when you have multiple merchant cash advances and the payment starts coming due all at once? You may be thinking about consolidating your merchant cash advances or MCA debt relief.
Here’s what you need to know about consolidation.
When you take out a new loan to pay off multiple existing merchant cash advances, this is known as merchant cash advance consolidation. This may be done with a regular bank loan or through a company that provides merchant cash advance consolidation loans.
If you’re a small business owner, you know how it goes: You take out a loan against future credit card sales, and then have to take out another one just to pay off the first one. But there is aid available.
If you’re trapped in a cycle of borrowing, lenders can provide merchant cash advance consolidations or refinancing to assist you to break free. A merchant cash advance consolidation loan combines all of your outstanding merchant cash advances into one loan, often with a lower interest rate. This can help you save money on interest payments and make it simpler to manage your repayments.
The two terms – merchant cash advance consolidation and merchant cash advance relief – are often used interchangeably, but they actually refer to two different things.
With consolidated merchant cash advances, you take out a new loan to pay off multiple existing merchant cash advances. This can be done with a traditional bank loan or through a specialized lender that offers merchant cash advance consolidation loans.
Merchant cash advance relief, on the other hand, refers to negotiating with your current lender (or lenders) to get more favorable terms on your repayments. This could involve extending the repayment period, lowering the interest rate, or both.
If you’re struggling to keep up with your merchant cash advances, merchant cash advance relief could be the answer.
There are a few reasons why you might want MCA debt relief.
If you’re considering consolidating your merchant cash advance loans, talk to Regroup Partners about your options. We can help you find the best loan for your needs and answer any questions you have.