does anyone ever use a factoring company

[ripp_jr]

hello new to this just wonder if anyone ever used a factoring company to get paid early on there loads so they dont have to wait 30 to 45 days and if so which one and what do they charge any info will be gratful thanks

[GMAN]

Rates vary from about 1/2% to about 8%. Those on the lower end can charge back the receivable to you should the shipper or broker fail to pay within a specified time frame. Some factors are non-recourse, which means that they buy your receivables and take a chance on getting paid. If they don't collect their money, then they cannot charge it back to you. Those who are non-recourse will usually charge a higher rate the longer it takes the shipper or broker to pay. One recently contacted me and charges 1% per week. Some brokers offer quick pay for a discount on the rate.