article_snippet: Morrisons, for example, has a 'supplier finance' scheme with Lloyds Bank.
article_snippet: Those that cannot hang on that long are directed towards the deal Morrisons has drawn up with Lloyds.
article_snippet: Lloyds Bank will give Those that cannot hang on that long Those that cannot hang on that long money sooner in the form of a loan.
article_snippet: Morrisons has a 'supplier finance' scheme with Lloyds Bank. 
article_snippet: Lloyds Bank can give suppliers  suppliers   money sooner in the form of a loan .
article_snippet: Lloyds earns interest charges, Morrisons keeps the cash Morrisons owes in Morrisons coffers for longer – and the firms pay to get the firms money.
article_snippet: Mr Orford said: 'There is a growing trend for large businesses to use supply chain finance to extend payment times and pass the cost of credit down to large businesses suppliers.
article_snippet: One supplier, who asked for anonymity, said Morrisons and others are being opportunist introducing the schemes at a time when interest rates are low.
article_snippet: Morrisons deal with Lloyds allows the supplier to receive payment earlier if Morrisons' deal with Lloyds pay interest at 0.75 per cent above the Libor benchmark rate, currently 0.27 per cent, meaning a charge of 1.02 per cent.
article_snippet: Marks & Spencer offered a scheme with HSBC and Royal Bank of Scotland, offering borrowing rates of 0.95 per cent above the Libor rate.
article_snippet: Lloyds said the deals let suppliers get cash at low cost, and helps businesses to 'free up capital to invest in businesses business'.
highlights_snippet: But if Suppliers cannot wait  supermarkets offer Suppliers  credit from a bank .