Factoring of trade receivables

Hi dear Tutors,

On 1 September 20X3 Laidlaw factored (sold) $2 million of trade receivables to Finease for an immediate payment of $1.8 million and further amounts depending on how quickly Finease collects the receivables.
Finease will charge a monthly administration fee and interest on the outstanding balance and any receivables not collected after four months would be sold back to Laidlaw.
How should Laidlaw account for this factoring arrangement in its financial statements for the year ended 30 September 20X3?

BPP’s answer is
“Continue to recognise the receivables and treat the $1.8 million as deferred income”

I want ask why we dont treat it as loan?

In BPP study book is written:

“In order to determine the correct accounting treatment it is necessary to consider whether the control of the debts has been passed on to the factor, or whether the factor is, in effect, providing a loan on the security of the receivable balances. If the seller has to pay interest on the difference between the amounts advanced to him and the amounts that the factor has received, and if the seller bears the risks of nonpayment by the debtor, then the indications would be that the transaction is, in effect, a loan.”