OnDeck Business Loan
OnDeck is a highly productive online loan lender that started its journey back in 2007. This company created a benchmark in the industry with a perfect fusion of statistics, technology, and algorithms. The innovators of OnDeck used high technology and a unique formula of algorithms to give results to lending decisions quickly, efficiently, and flawlessly. The simple technique or a revolutionary technology they used was cutting down hours of calculations to just a couple of minutes.
If in case you have uneven cash flow and if you are sure to meet some unexpected big expenses in the days to come, then OnDeck is the best source to get in touch for quick and easy money as a loan for a specified tenure.
Types of OnDeck Business Loan
Currently, there are two types of OnDeck business loans with their distinctive characteristics and benefits for consumers. The types include:
• Short Term Loan: The short-term loan has a wide variation in the loan amount and APR. The loan amount ranges from $5,000 to $500,000 and the APR range is 9.4% to 99.7%. The payment here is to be made daily or weekly for a time span of 3 months to 36 months.
• Line of Credit: Line of credit has a wide range of loan amount between $5,000 to $100,000 and the APR variation ranging from 11% to 63.2%. The payment is to be made weekly for a time span of 6 months and a maintenance fee of $20 every month.
Rates and Terms
• Loan Amount: $5,000 to $500,000
• APR: 16.7% to 99.4%
• Loan Term: Daily or Weekly Depending on the Loan Type
• Time for Funding: 24 Hours
• Term Length: 3 Months to 36 Months
• Origination Fee: 0% to 4%
Requirements for Eligibility
OnDeck has stated the following eligibility criteria for lending money:
• You should have a credit score of a minimum 702.
• You should have a minimum gross income of $678,000.
Processing of OnDeck Application
OnDeck follows a secure, user-friendly, and fast application process with streamlined steps:
• Fill the application form on the website with the essential details like Business Tax ID, bank statement for last few months, social security number, driving license number, some basic business details, your personal details, and the required amount of loan.
• During the application filling process, if any help or support needed, it’s easy to get in touch with loan specialists of OnDeck through phone, cellular, or live chat option available on the website.
• When OnDeck approves the application, you are intimated through a professional from the company who will further share all the loan details with you.
• Go through the agreement and the loan acceptance to satisfy yourself before you sign the papers.
• Once you accept all the clauses and terms, the approved amount is directly transferred to your provided bank account.
Pros and Cons of OnDeck Business Loan
Some important advantages of OnDeck loan make it a favorite amongst all loan-seeking consumers. These are:
• The loan application is fast and easy with the availability of quick cash through a streamlined process.
• If you go for a traditional bank loan, then you need to have collateral but in this case, no collateral is required. All you need to give is a personal guarantee and then it becomes your moral and social duty to stick to your ethics and personal integrity.
• The required credit score is comparatively less than what bank and other lenders require.
• OnDeck reveals your payment activity to all business credit bureaus. Hence, you can gain high business score if you follow a timely payment cycle without any delays and fraudulent activities.
Apart from the bunch of benefits the loan offers, there are some disadvantages as well. Some of the key disadvantages are:
• OnDeck loans are comparatively expensive with high APRs.
• In addition to the personal guarantee to approve the loan amount, the company also takes a blanket lien on the assets as an assurance to safeguard their money in case of nonpayment of the loan.
• The frequency of daily or weekly payment directly from the bank account is like a constantly prickling nail that keeps you bothering through the loan tenure in case you have an uneven cash flow.
• You can save interest if you make early payments but there is no other added benefit to enjoy.