How much new money is in that renewal, really?
A renewal pays off your current advance and writes a bigger one. It can feel like free money. But you often pay a fresh factor on the balance that was rolled over, money you already owed. Enter your numbers to see the real net new cash and what the renewal truly costs. An estimate for comparison, not a contractual APR.
Net new cash in hand
$0
The cash that actually reaches your bank after the old balance is paid off.
Double-dip cost
The new factor charged again on the rolled-over balance.
True APR-equivalent on the new cash
Estimate for comparison only, not a contractual APR.
New total payback
$0 per business day over the term.
Where the new advance goes
This is an estimate based on the numbers you entered, not an offer of credit or a commitment to fund.
Estimates only. Actual terms vary by underwriting. No credit pull to start.
Stacked on more than one advance, or want to lower the daily drain? See the Stacked Advance & Consolidation Calculator.
Open the stacked calculator→Why a renewal can quietly cost more
A renewal feels like free money because a lump shows up. But part of that lump just pays off what you already owed, and you are charged a fresh factor on it. Here is the trap in plain terms.
The old balance gets rolled in
The funder pays off your current advance using the new one. That balance never reaches your bank account.
You pay the factor again on it
The new factor applies to the whole new advance, including the rolled-over balance. That is the double-dip.
The net new cash is small
The money you can actually use is the new advance minus the old balance, often a fraction of the headline figure.
Compare before you sign
Measure the cost against the net new cash, not the full advance. A line of credit or a restructure may serve you better.
Before you sign that renewal
Get a second read. A renewal is fast, and that is fine if speed is what you need. If you want to see whether a lower-cost path fits the net new cash you actually need, talk it through with Rob.
This looks like a consolidation case
When a renewal adds little or no new cash, a restructure is usually the better move. Consolidation can lower what leaves your account each day. See if it fits, no credit pull to start.
Honest note: lower payment, more breathing room. Not necessarily less total cost. We will show you both numbers before anything changes.
Renewals and the double-dip, explained
A renewal is a new advance that pays off your current balance and replaces it with a larger one. The cash you actually receive is the new advance minus the balance that was rolled over, which is often far less than the headline number.
The double-dip is the new factor charged again on the old balance that was rolled into the new advance. That money never reaches your bank, yet you pay a fresh fee on it on top of the fee you already owed.
Because you service payments on the whole new advance while only a slice of it is real new money, the annualized cost on the cash you actually received can be very high. It is an estimate for comparison, not a contractual APR.
No. An advance is the purchase of future receivables at a fixed factor rate, not a loan, and it has no interest rate. A renewal replaces one purchase with a larger one.
If the new advance is the same as or smaller than your current balance, it is a pure rollover. You get no new cash and simply pay a fresh factor on money you already owed, which usually raises your total cost.
No. It is an estimate based on the numbers you enter, not an offer of credit or a commitment to fund. Actual terms vary by underwriting, and there is no credit pull to start.