Savings on bank margins: SME Pty Ltd

The following hypothetical case study illustrates the potential benefits of our bank fee and margin review service.

SME Pty Ltd had the following facilities:

• Loans with borrowing costs tied to Bank Bills plus a margin
• Cash balances with interest on daily balances
• Overdraft facilities to meet unexpected cash needs
• Electronic payment systems (direct debits and credits)

A review of facilities and management resulted in:

• Loan costs reduced by 0.25% p.a.
• Increased returns on cash balances of 1.5%
• Overdraft replaced by stand-by facility, saving 1.75%
• Transaction fees reduced by 75% per transaction

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