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Frequent Contributor
youngman1234
Posts: 455
Registered: ‎02-27-2012
0

Secured LOC for new business ???

My business is new and less than a year old, we were able to get a couple of business credit cards ( ink bold & ink cash).  Now I am looking to get a couple of secured lines of credit. I was think 2 secured LOC for 25K each one with chase and the other BOA.. Has anyone every got a SECURED line of credit that was backed by a CD or cash in a savings account ?? I was curious the time it takes to get approved ??? 

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llecs
Posts: 32,880
Registered: ‎08-04-2007
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Re: Secured LOC for new business ???

We actually have a $25k secured LOC backed via savings through M&T Bank. We got approved the same day we applied, but it took forever to get the docs and get them signed. I'm sure the process varies via lender.

Frequent Contributor
youngman1234
Posts: 455
Registered: ‎02-27-2012
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Re: Secured LOC for new business ???

My chase business banker told me it can take between 3-4 weeks to actually have the process go through...
New Contributor
Project17
Posts: 137
Registered: ‎11-21-2012
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Re: Secured LOC for new business ???

Most banks that offer business products will have a secured loan opition even when not advertised. The best places are the small local banks. You will usually get a better rate and faster turn around.

Established Contributor
compassion101
Posts: 576
Registered: ‎06-06-2012
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Re: Secured LOC for new business ???

What is the advantage to having a secured LOC for business? Is it just to have a satisfactory trade line? Change into unsecured after time? Etc??

 

 

 

 

 

 

 

Frequent Contributor
kimmiller112
Posts: 467
Registered: ‎04-09-2012
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Re: Secured LOC for new business ???


compassion101 wrote:

What is the advantage to having a secured LOC for business? Is it just to have a satisfactory trade line? Change into unsecured after time? Etc??

 


 

Also curious about this...

Barclays USAir World MC $8300 - DCU $7500 - USAA World MC $7000 - PayPal Extras MC (GE) $5500 - Chase Saphire Preferred $5000 - Discover It $5000 - Barclays Sallie May $2700 - Chase Freedom $1000 - Capital One $8500 (business) - store cards ranging from $500-$9500
New Contributor
Project17
Posts: 137
Registered: ‎11-21-2012
0

Re: Secured LOC for new business ???

Yes it's pretty much for business credit purposes and also a good way to build a relationship with a bank.. This is where going with a small bank can be a plus..


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