Lending Club is a financial institution through which borrowers can access cash in no time using flexible repayment conditions and an APR of 9.8% which is comparable to the most popular banks in the United States of America.
Who are the Lending Club Small Business Loans For?
Those who want to refinance their business should go for this loan because those businesses usually have established a good credit history and are backed by strong finances making them a strong contender for the Lending Club small business loans.
Businesses that want to expand to other areas can also apply for a maximum loaned amount of $300,000. Other than that businesses that want access to cash and cannot afford to wait a few weeks can receive their disbursement anywhere between two days to a week.
Reasons to Choose Lending Club Small Business Loans
The requirements for the Lending Club small business loans are not as stringent as those offered by banks. You can get approved for a $100,000 loan even with a credit score of 600 as long as you have personal collateral. The documents required by Lending Club include a UCC-1 lien which gives the institutions the right to seize your assets in case you default on payments.
The APRs on the Lending Club small business loans are in the range of 9.8% to 35.7%. Although they are higher than the traditional banks but they are much lower than what the other online vendors offer.
The Lending Club small business loans also gives borrowers quick access to cash since the online application only takes around 10 minutes and you can get prequalified which includes a quote on the potential loan. The funding is disbursed within two days depending on how quickly the borrower submits their documents.
There is no penalty on prepayments in case you want to pay off the loan earlier than usual. This allows businesses to end the loan agreement and save on the accumulated interest amount. Other online lenders do not offer this exemption and require the borrower to pay the full fees no matter when they pay off the loan.