Factoring Solutions Blog News, views and gossip from the world of factoring, invoice discounting and trade finance

We have been receiving an alarming number of enquiries from clients of RBS Invoice Finance complaining that the goalposts have been moved with factoring facility limits slashed as well as a number of other actions taken that were designed to reduce the amount of funding available.

Yesterday’s enquiry was from a company that had been factoring with RBIF for 10 years and had always enjoyed the relationship until recently, complaining that not only had the facility limit been cut but that the collection effort operated by the bank had worsened with telephone chasing cut out in favour of computer generated letters that I think we all know are a complete waste of time and money.

I introduced this company to a factoring company that don’t continually move the goalposts and offer an exceptional service and when I discussed the case with my contact there I laughingly opened the conversation with “I have another disgruntled Royal Bank Invoice Finance client for you”

Posted under RBS Invoice Finance, factoring

The factoring marketplace seems to be changing with far less activity happening than in the past. Companies looking for working capital to fund expansion are few and far between as few companies are expanding at the moment and with many of the major factoring companies losing large numbers of clients due to their inability to ride out the recesssion, the overall market is contracting.

Most of the factoring companies are reacting to the changing marketplace by becoming far more selective in the business that they take on and also increasing rates to compensate for the increased risks

Posted under factoring