Sure, here’s all the information I could gather on the American Express Working Capital Loan:
What is it?
The American Express Working Capital Loan is a short-term loan offered to eligible American Express business cardholders to help them manage their cash flow. It’s a revolving line of credit, so you can borrow and repay funds as needed, within your credit limit. American Express Working Capital Loan
American Express Working Capital Loan
Loan amounts:
- You can borrow between $1,000 and $750,000.
- The minimum loan amount depends on your card and eligibility.
Interest rates:
- The interest rate is variable and based on your creditworthiness and card type.
- Annual percentage rates (APRs) typically range from 7.75% to 16.99%.
Terms:
- The loan term is 6 months, with the option to renew for an additional 6 months.
- You can make payments at any time, without prepayment penalties.
Fees:
- There is an origination fee of 2.5% of the loan amount.
- There is an annual fee of $95.
- Late payment fees may apply.
Eligibility:
- You must be an existing American Express business cardholder for at least 12 months.
- Your card must be in good standing.
- You must have a minimum annual revenue of $25,000.
How to apply:
- You can apply online or by phone.
- The application process is usually quick and easy.
- You will need to provide your business tax returns and financial statements.
Benefits:
- Quick and easy access to funds.
- Flexible repayment terms.
- No prepayment penalties.
- Potential to improve your credit score by making on-time payments.
Drawbacks:
- High interest rates compared to other financing options.
- Fees can add up.
- The loan amount may not be enough to meet your needs.
Overall, the American Express Working Capital Loan can be a good option for small businesses that need short-term financing to cover unexpected expenses or bridge a cash flow gap. However, it’s important to compare rates and terms from other lenders before applying.
Here are some additional resources that you may find helpful:
- American Express Working Capital Loan website: https://www.americanexpress.com/en-us/business/blueprint/working-capital/
- American Express Working Capital Loan FAQs: https://www.americanexpress.com/en-us/business/blueprint/working-capital/
- NerdWallet review of American Express Working Capital Loan: https://www.nerdwallet.com/reviews/small-business/american-express-business-line-of-credit
I hope this information is helpful! Please let me know if you have any other questions.