Top Credit Unions for Small Business Loans
Getting a small business loan can be challenging, but working with the right lender can make all the difference. Credit unions are a great option for small business owners looking for financing. They often offer better rates and terms compared to big banks.
When evaluating the best credit unions for small business loans, there are several key factors to consider:
Interest Rates
Interest rates vary widely between credit unions. Compare rates to find the most competitive offers. Some top picks for low small business loan rates include:
- Alliant Credit Union – Rates as low as 6.99% APR
- Pentagon Federal Credit Union (PenFed) – Rates starting at 7.49% APR
Loan Amounts
The maximum you can borrow also differs between credit unions. Those that cater to small businesses may offer loans up to $250,000 or more. For example:
- Priority One Credit Union – Up to $500,000
- Suncoast Credit Union – Up to $2 million
Flexible Terms
Look for flexible repayment terms that fit your business needs:
- SAFE Credit Union – Terms up to 10 years
- SchoolsFirst Federal Credit Union – Customized terms and payment plans
Low Fees
Small business loans from credit unions often have lower (or no) fees compared to big banks. For instance:
- Veridian Credit Union – No application, origination or prepayment fees
- America First Credit Union – Low closing costs
Personalized Service
As member-owned non-profits, credit unions focus on service rather than profits. They can provide customized solutions and business advice. For great service, see:
- Digital Federal Credit Union – Dedicated business banking team
- NASA Federal Credit Union – Local branch assistance
When researching lenders, check their small business loan eligibility criteria as well. Some specialize in certain industries, loan uses, location, or customer base.Overall credit unions can offer excellent financing options tailored to small business needs. Focus on those with competitive rates, flexible loan amounts/terms, few fees, and great service. With the right credit union relationship, getting funding for your business growth is smoother.
References
https://www.reddit.com/r/smallbusiness/comments/fgoygi/best_credit_union_for_small_biz/fk68fhp/
https://www.penfed.org/small-business-loans/sba-loans
https://priorityonecu.org/borrow/business-loans/business-lines-of-credit
https://www.quora.com/What-are-the-best-credit-unions-for-small-business-loans
https://www.avvo.com/legal-guides/ugc/a-guide-to-business-lending
https://www.schoolsfirstfcu.org/borrow/business-loans/business-term-loans
https://www.veridiancu.org/business/borrow/term-loans/
https://www.americafirst.com/business/business-services/lending/business-loans.html
https://www.dcu.org/business/small-business-loans.html
https://www.nasafcu.com/business-loans/sba-loans/