A Credicorp Business Loan is a fixed-sum facility repaid over a fixed short term. The total cost you pay is made up of two possible elements: an arrangement fee (charged once, upfront or added to the loan) and fixed interest calculated on the amount borrowed. Both figures are stated clearly in your offer document before you sign anything.
Arrangement fee
The arrangement fee is a one-off charge for setting up the facility. It is expressed as a percentage of the loan amount and is disclosed before drawdown. There are no ongoing administration fees layered on top during the loan term.
How interest is structured
Interest on a Business Loan is fixed at the point of offer. This means your repayment schedule is set from day one — you know the exact amount due each period and the total cost over the full term. The rate is not variable and will not change during the agreement.
Are there any other charges?
A missed or returned Direct Debit payment attracts a separate charge — see the article on missed Direct Debit costs for details. If you settle early, an Early Repayment Charge may apply for a short window after drawdown; again, this is documented in your agreement. There are no hidden fees, penalty exit charges beyond what is disclosed, or fees for receiving statements.
We lend only to UK limited companies and LLPs, and the loan is to the company with no director personal guarantee. As business finance outside the consumer-credit regime, it is not covered by the Financial Ombudsman Service or FSCS.
See also: Does checking my eligibility cost anything?, How does interest accrue day to day?, What does a missed Direct Debit cost?