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it doesn’t work if they are insolvent, and it can also backfire if they see this clause as a way to get a cheap cash loan. you should still have the clause but

it doesn’t work if they are insolvent, and it can also backfire if they see this clause as a way to get a cheap cash loan. you should still have the clause but i think if this as a tool for the collections attorney to use if the customer defaults.

newsclues 6mo ago
You set the rate that is punitive. It doesn’t work when solvency is an issue but you should know your customers and mitigate that risk accordingly
HWR_14 6mo ago
The rates aren't cheap. The standard late payments I've seen work out to approximately 19.5-20% APR.