Glossary
A loan repaid in regular instalments over a fixed period with interest.
✓ Checking what you qualify for does not affect your credit score.
A loan repaid in regular instalments over a fixed period with interest.
A lender advances a sum and the borrower repays principal and interest on a schedule.
It is often the cheapest option, if you qualify and can wait.
$50,000 at 14% over 12 months is about $4,489 a month.
Banks and credit unions offer term loans. Qualification and speed differ from an advance.
A bank reviewing a term loan reads financial statements, tax returns and security. That slower, deeper review is why the rate is lower. Owners comparing a term loan with an advance should compare not only price but also the weeks it takes and the paperwork.
A term loan is not always out of reach. Newer or weaker files are the ones that struggle, and a few months of improvement can change the answer.
A $50,000 loan at 9% over three years costs about $7,400 in interest and $1,500 a month. A six-month advance of the same size at a 1.25 factor costs $12,500 and about $10,400 a month. The advance is dearer, faster and shorter.
It is usually cheaper but slower and harder to qualify for.
See the related guides and the comparison pages, or apply and ask.
No. It is educational information, and agreements vary.
Educational information only. It is not legal, tax or accounting advice.
Same-day decision. Applying takes a few minutes and will not affect your credit score.
