Friday 24 July 2009

Why are the banks failing small businesses needing overdrafts?

Banks are always in the favor of the big businesses as they generate more revenue and can get more profits to the bank. But it is not always that the small firms don’t work well. Small businesses have been charged unfairly by the banks in terms of overdraft. This has been widely experienced in the UK. The various offers on lending rates are different according to the company’s size. All the lending rates are variable for the big and small sized firms. Even the larger firms don’t often pay up the prices and meet up with the expectation of the banks. The government should take up steps to bring upon clarity as far as the banking policies are concerned.

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