6 | Tees Business
/ ADVICE
TOP 10 BANKING TIPS
We have an experienced team of advisors
at Commercial Expert with a vast amount
of knowledge and expertise.
Indeed, our very own advisory board
member, Mark Whitaker, has almost 30
years’ experience with three different
banks, and six years of advising borrowers
on bank-related matters.
Together, we have come up with our Top
10 Tips for negotiating with your banks.
• Interest rate margins reflect risk and
managers rarely have significant
authority to reduce these. Seek
reductions in fees, particularly ancillary
fees, instead.
• If hedging is taken out, then risks of
rising interest rates are mitigated. Less
risk = reduced interest rate margin, so
seek a lower margin.
• Don’t fight a LIBOR-margin – this is
simply prudent financial management
by the bank. In any event, a margin
linked to base rate would generally be