We were recently approached by a company that had been factoring it’s invoices with Bank of Scotland’s factoring division for over two years but now wanted to change.
Having arranged an introduction to a replacement factor the company tried to give notice to be told that they were on a rolling 12 month contract with three month’s notice to be given on the anniversary date of the Agreement and they could either stay for another nine months or else pay a hefty termination fee.
In an age where most factoring companies are reigning in their restrictive practises it is a shame that Bank of Scotland is still trying to screw as much money out of their customers as they can.
Caveat Emptor
Ian
Posted under Bank of Scotland, Factoring
This post was written by Ian on November 13, 2008
