What is Arrangement fee?

An arrangement fee is a one-off charge for setting up a loan, taken out of the amount you receive or added to your first payment. It sits on top of the interest, so a cheap rate does not mean a cheap loan. 1822direkt charges an origination fee of 0 EUR (credit application processing is free of charge), and ABA Bank an origination fee of 0 USD. 5in5 works differently: it deducts a one-off closing fee from the amount it disburses, and the amount depends on your individual risk profile.