MCA Factor Rate

The factor rate multiplied by the advance amount equals your total loan obligation to the Merchant Cash Advance provider. For example, if your MCA loan amount is $50,000 and your factor rate is 1.2, your total payback amount will be $60,000 ($50,000 x 1.2). Note: Your APR can change dramatically if you pay this $60,000 back daily over 1 month vs 3 months vs 6 months. See the example MCA Rate Chart found here for the Factor Rate to APR conversion.

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