Credibility Capital, a New York-based online lender founded in 2013, offers low-risk borrowers access to short-term business loans

Credibility Capital, a New York-based online lender founded in 2013, offers low-risk borrowers access to short-term business loans

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Pros & Cons

  • Competitive rates among online lenders.
  • No prepayment penalty.
  • Extra monthly payments can save interest cost.
  • Requires high minimum credit score and revenue.
  • Requires business lien and may require personal guarantee.
  • Not available in Nevada, North Dakota, South Dakota or Vermont.

Full Review

Small businesses looking for growth opportunities: According to Brett Baris, Credibility Capital CEO and co-founder, average loan size was around $175,000 in 2019, and businesses typically use the money for expansion and refinancing high APRs.

Reasons to use Credibility Capital

Underwriting flexibility: Credibility Capital takes a holistic view of a business's finances, meaning it doesn't always execute hard cutoffs for certain business metrics, Baris says. If a company shows strong performance in a specific area, for instance, that may compensate for low credit score or revenue.

No prepayment fee: If you take out a term loan but find yourself financially stable sooner than you thought, you can pay off the loan faster without incurring additional fees. Paying your loan back early can help cut down on how much you pay in interest, lowering the overall cost of borrowing.

Automatic monthly payments: Each month, you'll pay a portion of the loan via an ACH transfer. The loan is fully amortizing, meaning each payment will consist of interest and principal. Читать далее «Credibility Capital, a New York-based online lender founded in 2013, offers low-risk borrowers access to short-term business loans»