SMALL COMPANIES are becoming increasingly frustrated at the strings attached to their loans and overdrafts, claims new research.
The number of small firms lodging complaints with the Financial Ombudsman Service about their finances jumped 10 per cent in the last year from 394 to 435, figures from Syscap claim.
This is a big jump from the 136 complaints seen in 2007-08. The figures are based on firms with fewer than 10 employees and turnover of less than €2m (£1.8m).
“Whilst some lenders are treating small businesses very responsibly there have been too many incidences of banks using the shortage of credit as an excuse to impose the highest possible fees that they can get away with on their customers,” said Syscap chief executive Philip White.