How do I get competing quotes to lower the cost?

2 min read

Two or three quotesFor the same deal

Same amount and termLike-for-like

Compare on totalNot headline rate

Negotiate with themA rival quote is leverage

Why competing quotes matter

Because business-loan rates are individually priced and lenders vary widely, the single most reliable way to cut your cost is to make lenders compete. Two or three firm quotes for the same amount and term reveal the genuine spread — which is often meaningful — and hand you the leverage to push the others down. Shopping around is not effort for its own sake; it directly lowers what you pay. See why quotes differ.

Making the quotes comparable

For the comparison to mean anything, ask each lender for a quote on the same drawdown and the same term, and get the total amount repayable with all fees included. Different terms or rate structures make headline rates useless — one total-repayable figure per offer, on identical terms, is the only fair basis. Watch for flat-rate versus APR traps that make a dear loan look cheap.

Using them to negotiate

Once you have the quotes in writing, use them. A lender that wants your business will often improve its margin or waive a fee to match or beat a written rival offer, especially if your accounts support it. Be straightforward: tell them the competing figure and ask if they can better it. This costs nothing and frequently shaves real money off the cost. See getting a better rate.

Add a Credicorp quote to your comparison — apply — and put every offer side by side on the true cost calculator.

Frequently asked questions

How many quotes should I get before choosing a loan?

Two or three firm quotes are usually enough to reveal the spread and give you negotiating leverage — more than that brings diminishing returns and can slow you down. The key is that each is a firm quote for the same amount and term, compared on total repayable. A handful of genuinely comparable offers beats a dozen rough indications for finding the cheapest deal and driving it lower.

Will lenders lower their rate to match a competitor?

Often, yes — a lender keen to win your business will frequently improve its margin or waive a fee to match or beat a written rival quote, particularly when your accounts support it. There is no guarantee, but a competing offer in writing is the most effective negotiating tool in commercial lending. Always get quotes in writing before using them, and ask directly whether they can better the rival figure.