Kabbage Loan Features
Kabbage lines of credit range from $2,000 to $250,000, with six, 12, or 18-month terms. Kabbage also provides a host of analytical features with dashboards and payment processing facilities. You need to sign a personal guarantee, but you do not have to supply any collateral for the line of credit.
As an unsecured loan, business lines of credit provide borrowers with a set limit of funds to draw against as needed. You pay interest only on the open balance and there are no prepayment penalties. Lines of credit are paid back within six, 12, or 18 months.
6, 12, or 18 months
$2,000 to $250,000
Kabbage Interest Rates And Fees
Loan amounts range between $2,000 and $250,000, with available loan payback periods of six, 12, and 18 months. Instead of charging a regular interest rate, Kabbage charges a fee each month based on your outstanding balance. Each month, you’ll make your principal payment along with this fee.
For six-month terms, fees range from 2-9%; 12-month terms range from 4.5-18%; and 18-month terms range from 6.75-27%.
Late Payment Fees
A $10 fee for balances less than $100, a $35 fee on balances between $100 and $5,000, and a $100 fee for balances over $5,000
1.25%-10.00% of your original principal per month
Six-month term: 2-9%
12-month term: 4.5-18%
18-month term: 6.75-27%
Kabbage Loan Eligibility Requirements
To qualify for a Kabbage business loan, the company is going to take a close look at your monthly business revenue, your length in business, and your credit history. The minimum requirements are outlined below.
Minimum Credit Score
Minimum Monthly Revenue
Minimum Time in Business
Kabbage performs a hard credit inquiry during the preapproval process, whereas other lenders wait to do a hard credit pull once you’ve already been prequalified for the loan. This is something to keep in mind if you plan on shopping around for your loan.
Kabbage Loan Application Process
1. Provide Personal and Business Information
Applying for a Kabbage line of credit can be completed in just 10 minutes. Simply fill out your name, Social Security number, business name and industry, address and phone numbers, and your business ID. Next, you’ll consent to a hard credit inquiry and then you should receive a decision within minutes. If additional information is required, it may take up to one week for a final decision to be made.
2. Link Your Bank Account
At the end of the application, you’ll be asked to link your business bank account. This is done for two reasons: (1) This is where your funds will arrive if approved for the loan, and (2) This is where loan repayments will be made.
Linking your bank account is often the case with any alternative lending source, as it ensures fast and convenient services while protecting the lending companies themselves.
How Kabbage Determines Loan Amount
During the application stage, the representatives at Kabbage perform a hard pull on your credit. While the minimum credit score is 640, they will also examine your credit history to determine your risk and verify your identity.
It should take just a few minutes for Kabbage to deny or approve your application. However, this process can take longer if the system faces issues with verifying your information. As mentioned earlier, Kabbage might also ask for additional information to offer you a more significant credit line. Kabbage will examine your transaction volume, monthly revenue, and credit score to determine whether you qualify for a loan and how much should be sanctioned to you. It also considers the loan term you’re applying for.
Your chances of approval also depend on whether the term lasts for six, 12, or 18 months. Six-month loans are the most common, and the rates vary depending on the month. If approved, you can request a Kabbage card directly from your credit line.
Kabbage Customer Support
- Help Center: You can use the Kabbage help center at any time to find answers to your questions. It contains a wealth of information about applying for funding, making repayments, funding fees, and more.
- Phone & Email Support: If you’d like to speak to a customer service representative, you can reach out to Kabbage at 888-986-8263 M-F from 8 am to 9 pm EST. You may also contact the lender via email at email@example.com.
There are mixed reviews about Kabbage customer support, with many complaining about long response times. Others, though, praise the Kabbage customer service experience and have no complaints regarding wait times.
Kabbage Perks and Bonuses
Kabbage states that it will work with you in times of hardship to determine a solution. The lender recommends you contact them right away if you find yourself struggling to repay your loan.
The Kabbage website is professional and transparent. It outlines the benefits of its business loans and offers a “Get Started” button that prompts you to create an account so you can apply for funding. In addition, the website explains how its fee structure works and features a list of frequently asked questions.
When you commit to a Kabbage loan, you automatically enroll in Autopay so the lender can withdraw your repayment each month on your due date, making paying back your loan convenient.
With the Kabbage app, you easily apply for funds and can get approved in a timely manner. You may also use the app to withdraw the amount of money you need and keep tabs on your account while you’re on the go.
Fundbox is an alternative lender to Kabbage if you’re looking for a term loan or business line of credit. Fundbox offers both, with amounts ranging from $1,000 to $150,000. Rates start at 4.66% for lines of credit and 8.33% for term loans. Payments are made weekly, and Fundbox does not charge any origination, maintenance, or prepayment fees.
To qualify for a short-term loan or line of credit from Fundbox, you’ll need to have a minimum FICO score of 600, be in business for six months, and have an annual revenue of $100,000 or more. Kabbage requires one year in business, so if your business is relatively new, Fundbox could be worth considering.
Learn more about how these lenders compare in our Kabbage vs. Fundbox review
Bluevine is another good, alternative option to Kabbage. Loan amounts are the same ($2,000-$250,000) and like Kabbage, Bluevine only offers a business line of credit. Rates start at 4.8% and are made weekly or monthly over six or 12 months. If you’re in need of a longer loan term, Kabbage does offer 18-month terms so that is something to consider.
Bluevine has a streamlined online application and you’ll get a funding decision within just fine minutes of applying. If approved, your funds can be in your account in as fast as 24 hours. Qualifications include a minimum credit score of 625, six months in business, and $10,000 in monthly revenue.
Learn more about how these lenders compare in our Kabbage vs. Bluevine review.
||Min. time in business
||$25K - $6 million
||Starting at 7.99%
||Up to $400K
||Starting at 6.99%
||$6k - $250K
Kabbage small business lines of credit work best for stable businesses who need quick funding and are able to pay it back fast.
Kabbage’s monthly fees can be high, so if you can’t pay the loan off quickly, it may be best to look elsewhere. However, if you can manage the cash flow quickly, this could present a great lending source.