The practical answer
Not necessarily. The settlement calculation depends on the agreement, remaining term and applicable charges or rebate arrangements.
Ask the lender for a dated settlement figure rather than estimating it by adding remaining instalments. Compare that figure with the cost of keeping the agreement and any replacement finance.
Confirm whether the settlement includes all amounts needed for release and when it expires. A lower new monthly payment does not prove that switching and settling early reduces total cost.
Commercial finance is subject to status, lender approval and the specific asset and transaction. The right structure depends on the complete circumstances of the business.
What should I do next?
Have the asset details, supplier information and an outline of what the business needs ready. DCF can then discuss the requirement and identify which lenders may be suitable.
Read: Compare finance structures →Explore the relevant guides
Asset refinance — For current settlements, valuations and possible equity release.