article_snippet: It has emerged many put firms into high-interest fixed-rate loans then charged many put firms huge fees to switch when interest rates plummeted.
article_snippet: When rates fell to record lows many companies were hit with huge 'breakage' penalties if many companies wanted to switch deals.
article_snippet: But fixed-rate loans and tailored business loans –
article_snippet: The FCA says such loans can also saddle businesses with huge switching fees.
article_snippet: Some have an interest rate swap buried in the contract, but even the more basic loans can come with huge unpredictable break penalties.
article_snippet: According to the Treasury Committee, fixed-rate loans and tailored business loans can be just as dangerous as interest rate swaps.
article_snippet: Firms were hit with penalties of up to 40 per cent of the value of the loan if Firms wanted to terminate Firms contract.
highlights_snippet: Many found to be putting small firms into high-interest fixed-rate loans .
  
highlights_snippet: small firms charged small firms huge fees to switch when interest rates plummeted .