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OnDeck vs. Kabbage: Who is the Best Lender?

Both OnDeck and Kabbage are two of the best lenders for businesses. If you need a fast loan, it's worth taking them into consideration. Discover the services and main advantages of each one of these lenders in this OnDeck vs Kabbage comparison.

OnDeck vs. Kabbage
Daniel Lewis
Written by:Daniel Lewis
MBA accredited investment professional

Key Features:



Loan Options Winner: OnDeck as it offers more loan types

  • Term Loans
  • Lines of Credit
  • SBA PPP Loans

  • Lines of credit
  • Payment services (credit card payment & invoice processing)

Interest Rates and Fees Winner: Kabbage for its lower fees

  • Interest rate for SBA PPP loans: 10.99% - 35.2% interest rate for credit lines
  • Interest rate for SBA PPP loans: 1%
  • APR for term loans 11.98% - 46.06%
  • Term loan fee: 0.4% - 0.42% of the total amount per month
  • Line of credit maintenance fee: $20
  • Lower fees for recurrent customers

  • Monthly credit line repayment: 1/6th, 1/12th, or 1/18th of the principal, plus fee
  • Monthly maintenance fees: between 1.25%-10.00% of the original principal per month
  • Interest rate - 1.50% to 10.00%

Loan Requirements Winner: Kabbage because it doesn’t require a minimum credit score

  • Minimum 1 year in business
  • Minimum credit score: 600+
  • Minimum annual revenue: $100,000

  • Minimum 12 months in business
  • Minimum recommended credit score: 540
  • Minimum annual revenue: $50,000 $4,200 monthly revenue during the last three months

Application Process Winner: OnDeck seems to offer faster funding

Online, quick and easy application, review and approval is as fast as 24 h

Online, fast application process (approximately 10 minutes)

Customer support Winner: OnDeck as it has numerous positive reviews for customer support

Overall, their customer support is highly praised and available by phone, email, or live chat

Good support by phone & email, help center

User Reviews Winner: OnDeck has better ratings and reviews

4.0 rating on Trustpilot. The company enjoys excellent customer reviews for its streamlined application process and reliable customer support

4.2 rating on Trustpilot, generally good reviews, especially for the website’s intuitiveness and their debit card

About OnDeck and Kabbage



OnDeck aims to provide affordable loans for small businesses. The company was founded in 2006 and has helped thousands of small companies ever since. According to its estimate, every $1 it lends contributes to an average increase of $2.31 in sales for the borrowers.

Kabbage has been on the market since 2008. This service stands out from the crowd for its low eligibility requirements; the company doesn’t require a minimum credit score.

Since its inception, OnDeck has disbursed more than $13 billion. This company offers three different loan products: credit lines, PPP loans, and term loans. Their repayment terms are flexible and recurrent borrowers enjoy different loyalty awards.

Kabbage provides credit lines for businesses, as well as other financial services including invoice processing and credit card payment. In 2020, Kabbage was acquired by American Express. Kabbage has been offering small businesses more than $1 billion per year.

OnDeck vs Kabbage: Loan Options



Line of credit

Term Loans

Line of credit


Term Loans

Term Length

6, 12, or 18 months


3-18 months

5 years or 24 months for loans made before 5th June, 2020

3-18 months

Repayment Period



Daily, weekly, or monthly


Daily, weekly, or monthly

APR Range

24.00% to 99.00%


10.99% - 35.2%

1% fixed interest rate

11.98% - 46.06%

Loan Amount

Minimum $1,000 – maximum $150,000


$6,000 - $100,000

2.5 x your average monthly payroll cost

$5,000 - $250,000

OnDeck vs Kabbage: Line of Credit

OnDeck offers lines of credit with a term length of 3-18 months. This solution allows you to easily handle cash flow problems, but comes with higher interest rates. The repayment process is flexible, and it can be done weekly, monthly, or even daily. The APR range is 10.99% - 35.2%. Businesses can open credit lines of a minimum of $6,000 and a maximum of $100,000.

Kabbage also offers lines of credit through a straightforward and fast application process. The term of the loan may vary from 6, 12, or 18-months terms. The APR range for this company’s credit line is higher than its competitor: 24.00% to 99.00%. The payments are done monthly, and you can borrow between $1,000 and $150,000. 

Other Loan Options

OnDeck has a relatively comprehensive portfolio. Besides credit lines for businesses, the company also offers two other loan products, namely, term loans and discontinued PPP loans. Term loans have a loan term of 3 to 18 months and can be repaid daily, weekly, or monthly. The amount of money you can borrow varies between $5,000 and $250,000 and the APR between 11.98% - 46.06%. OnDeck's SBA PPP loans have an interest rate of 1%, zero origination, and prepayment fees.

Kabbage, on the other hand, only focuses on lines of credit. However, this company too has some extra services to offer. Their payment services include invoice processing and credit card payment. The company provides its own online payment platform which includes online payment processing tools and invoicing tools. Both aim to help small businesses get paid faster.

OnDeck vs Kabbage: Interest Rates and Fees



Between 0% - 5%

Origination Fees



Prepayment Fees


Not disclosed

Late Payment Fees

  • $10 for balances less than $100
  • $35 for balances between $100 and $5,000
  • $100 for balances over $5,000

$20 per month

Maintenance Fees

1.25%-10.00% of the original principal per month

10.99% - 35.2%

Interest Rates

Between 1.50% and 10.00%

Lower interest rates for repeat customers

Discount Rate

Different discounts through Kabbage Coupon codes

OnDeck's loans come with higher interest rates compared to some of its competitors (10.99% - 35.2%) but getting additional funding allows you to access discounts. Repayment terms are relatively short (3-18 months) and their fees are low. However, not all of them (e.g. late payment fees) are disclosed. The origination fees vary between 0% and 5%. The maintenance fees are $20 per month. OnDeck offers different rewards for loyal customers. If you are a recurrent customer, you can enjoy better terms and lower interest rates. The company will also waive some of the loan fees for loyal customers.

Kabbage, on the other hand, doesn’t require origination or prepayment fees. Their interest rate varies between 1.50% and 10.00%. The maintenance fees also vary and they can represent 1.25%-10.00% of the original principal per month. The company applies and discloses its late payment fees, which depend on the borrower’s balance. For less than $100, the fee is 10%. For balances between $100 and $5,000 the fee is $35, and balances of more than $5,000 come with a late payment fee of $100. Kabbage also offers different discounts.

Bottom line: Kabbage has no origination fees and a lower interest rates.

OnDeck vs Kabbage: Loan Requirements




Minimum Credit Score



Annual Revenue

$50,000 (or $4,200 monthly)

12 months

Time in Business

12 months

No bankruptcy during the past two years


They also examine revenue consistency and cash flow

OnDeck Loan Requirements

Companies like OnDeck often require a minimum credit score. OnDeck also uses credit score as one of the main eligibility criteria that determines an application’s success. The score they require is at least 600. To be able to qualify for their loans, companies also need to have been in business for the past 12 months. The minimum annual revenue that enables borrowers to qualify is $100,000. Additionally, the majority of business owners, whose personal credit score will be taken into consideration, should have no bankruptcy for the two years before their application.

Kabbage Loan Requirements

This company stands out from the crowd thanks to its less restrictive eligibility criteria. One of the reasons why many borrowers stop looking for Kabbage alternatives after discovering this company is that they don’t require a minimum credit score. Just like its competitor, Kabbage also requires applicants to have a minimum period of 12 months in business before they apply and a minimum annual revenue of $100,000. Additionally, applicants are also assessed based on their cash flow and revenue consistency and they need to have an account on an online payment platform like PayPal or a business checking account.

Bottom line: Kabbage has lower credit score requirements.

Loan Application Process




Application complexity


A few minutes

Approval time

10 minutes

Within 24 hours


Even the same day

To apply for OnDeck loan, you only need to provide a few details about yourself and your business and submit your application. It all takes a few minutes, and you can also apply via phone. Your application is reviewed immediately and if approved, you can get instant access to credit lines and loan funds within the same day.

Kabbage’s online application process only takes around 10 minutes and involves filling in an application form. No documents have to be uploaded and you get a loan decision immediately after you apply. Then, it can take only a few hours to get the funds or a few days.

Bottom line: Both companies offer a quick application process, but OnDeck wins because it can provide funds instantly.

Customer support

Overall, OnDeck offers fast and reliable customer support and enjoys positive customer feedback for this reason. You can reach out to their support department via live chat, phone, or email. Moreover, unlike OnDeck alternatives, once you start working with this company, you get a dedicated personal representative for the lifetime of your loan.

Kabbage doesn’t lag behind in terms of customer support. It offers help by email and phone, as well as a help center where you can find different useful resources and FAQs. However, OnDeck’s staff seems to be more responsive.

User Reviews

Both companies enjoy relatively good user reviews and ratings on different platforms. Kabbage currently has a 3.8 rating on Trustpilot where it has over 7,000 reviews. The company is also present on the Better Business Bureau (BBB) website where it has 3.52 stars out of 5.

OnDeck seems to enjoy better customer appraisal. The company has an outstanding 4.8 out of 5 stars rating on Trustpilot. However, it only has 2,800 reviews. Most customers praise the company’s support service and easy application process.

Bottom line: OnDeck has better reviews on Trustpilot.

When to Choose OnDeck

OnDeck is a good potion for:

  • Borrowers who need fast funding - money can become available the same day you apply
  • Borrowers who want to be able to apply either online or by phone
  • Those who seek a dedicated representative and great customer support
  • Companies in need of more than $150,000
  • Those who want flexible daily or weekly payments 

When to Choose Kabbage

This loan provider is good for:

  • Borrowers that need fast access to funds for working capital or day-to-day expenses
  • Borrowers that don't have a very good credit score (lower than 600 is also accepted)
  • Those who are looking for flexible monthly repayments as the terms are 6, 12, or 18 months
  • Applicants who don’t have time to waste with complicated application process
  • Those who want to access a loan 100% remotely in only a few minutes

Overall, its eligibility requirements are not very restrictive, which makes Kabbage a viable option for many potential borrowers.

The Bottom Line

Both OnDeck and Kabbage have their pros and cons. While OnDeck has higher interest rates, it provides fast funding and different types of loans. Kabbage, on the other hand, only focuses on lines of credit, but its biggest highlight is that it also accepts applicants with lower credit scores. For its excellent support, good ratings, ease of use, and speed, we choose OnDeck as the overall winner, especially for businesses that need a consistent loan.

Frequently Asked Questions (FAQ)

Is OnDeck legit?

OnDeck has been on the market since 2006 and has provided funding of more than $13 billion ever since. This is a legit, honest, and reliable company as you can discover from its great Trustpilot reviews.

Is Kabbage legit?

Kabbage is also a legit lender. The company has been on the market since 2008 and in 2020, it was acquired by one of the most renowned players in the financial sector – American Express.

How to get approved for an OnDeck loan?

To get approved for a loan through OnDeck, your business needs to have been active for the past 12 months, have an annual revenue of at least $100,000, and your credit score should be 600 or above.