Our Verdict
Truist is without any doubts a good option for small businesses. It doesn’t offer business loans in millions, but Truist’s requirements are not difficult to meet. If your business generates up to $2,000,000 in annual revenue, you can apply for the bank’s commercial loan where you get a larger loan amount in order to meet your business’s needs. Truist doesn’t make the starting rates on its business financing products and credit score requirements (for unsecured loans) public. If you want an SBA loan, you may need to consider another lender.
Truist’s headquarters is at 214 North Tryon Street Charlotte, NC 28202 USA with close to 2,800 brick-and-mortar extensions across the country.
Pros
- Welcomes new businesses with a lesser-strict qualification requirements.
- Offers different types of financial products for equipment and auto loans.
- Is best for general business financing products, including term loans, equipment financing, commercial auto and equipment loans, real estate loans, and business line of credit.
- Runs numerous branches, hence, you can visit any branch and discuss your needs in details.
- Gives up to 110% commercial vehicle and equipment loans and auto loans.
- Releases funds quickly.
- Requires no origination fees.
Cons
- Offers lower loan amounts across all products.
- Doesn’t reveal the rates and minimum credit score requirements upfront.
- Doesn’t offer any SBA loan.
- Causes (in some cases)business owners who get real estate or secured term loans to make balloon payments (paying more than the one-time usual payment on your loan).
- Automates loan repayment from the borrower’s business checking account.
- Requires collateral in the form of cash, inventory, or real estate for most of its products.
- Offers no rate discount.
Who This Product Is Best For
Truist business loans are good for new business owners who:
- Don’t need a large sum in order to meet business needs. The maximum amount you can apply for is $250,000
- Prefer traditional loans such as lines of credit or term loans.
- Don’t require an SBA loan. Truist is not an SBA Preferred Lender and doesn’t process SBA loans for its customers.
- Want to own their business site rather than paying rent.
- Desire to make up for seasonal cash flow.
- Want a larger business line of credit limit provided it is secured by collateral
Who This Product Isn't Right For
Truist business loans are not for entrepreneurs who:
- Require a large sum greater than $250,000. Truist doesn’t give business loans in millions.
- Need SBA loans.
- Want other business loan options such as invoice factoring or merchant cash advances.
- Desire to know the interest rates and credit score requirements upfront.
- Do not loan refinancing or fund an unplanned business projects.
- Prefer business loan application online.
What This Product Offers
- Unsecured term loan. With this loan, you get a fixed sum without your lender requesting any deposit (collateral) in case you default on payment. Yet, you require an excellent credit score, among other things, in order to qualify.
- Secured term loan. Here, your legal demands a legal claim on your deposit so that if you default on payments, you lose your asset. Usually, your deposit’s worth must justify the amount you apply for.
- Unsecured line of credit. This loan allows you to access money as you need it and repay after your draw period is over without any need for collateral.
- Secured line of credit. Similar to an unsecured line of credit, except that you need to provide a deposit (an asset) your lender can make a legal claim on in case you do not repay the amount you owe.
- Auto small business loans. Take an auto small business loan if you need to buy a vehicle for your enterprise.
- Commercial vehicle and equipment loans. These loans are good for you if your business is expanding and you need to buy a commercial vehicle or you require new equipment.
- Real estate loans. With a real estate loan, you expand your business’s building or erect another one.
Product Details
Business Term loans
You need to make a deposit, in the form of collateral, in order to get a secured business term loan. One interesting thing is that you enjoy better rates on the amount you borrow since you pose a lesser risk to your lender. When you apply for Truist’s unsecured loan, you don’t need to present any collateral as the lender considers your creditworthiness as the main factor in approving your loan application.
Truist starts at $3,500 for both secured and unsecured term loans with terms extending up to 60 months. For both term loans, Truist charges an origination fee of 0.50% or $100. You can apply up to $100, 000 for both term loans with Truist—although, you can still get up to $250,000 for a secured business loan.
Product | Unsecured term loan | Secured term loan |
Loan amounts | $3,500 – $100,000 | $3,500 – $250,000 |
Repayment term | Up to 60 months | Up to 60 months plus 180-month amortization |
Interest rates | Confidential | Confidential |
Fees | Origination fee of 0.50% or $100 — whichever is greater. | Origination fee of 0.50% or $100 — whichever is greater. |
Business Line of credit
A business line of credit financing option allows you to pay interest only on the amount you draw (spend) from your credit limit. When you withdraw up to your credit limit, you repay the amount you borrow, plus interest, and you can withdraw funds again.
You can apply for a secured or unsecured business line of credit, depending on factors such as creditworthiness and availability of valuable asset. And Truist gives both secured and unsecured business lines of credit.
Truist starts at $3,500 for both secured and unsecured business lines of credit—and you pay an origination fee of whichever is greater between 0.5% of the amount you require and $100. If you’re applying for an unsecured line of credit, you can get up to $100,000 and up to $250, 000 for a secured business line of credit.
Don’t forget, if you apply for a secured business line of credit, you will incur additional charges for recording fees, evaluation fees, flood certification, title insurance premiums, and attorney fees.
Product | Secured line of credit | Unsecured line of credit |
Loan amounts | $3,500 to $250,000 | $3,500 to $100,000 |
Repayment term | 12 to 36 months | 12 to 36 months |
Interest rate | Confidential | Confidential |
Fee | Origination fee of 0.50% or $100 — whichever is greater | Origination fee of 0.50% or $100 — whichever is greater |
Auto small business loan
If you need a new vehicle so that you can boost your business operations, you can apply for Truist’s auto small business loan. You get a 110% financing option such that you use the extra 10% on the loan to cover delivery fees, tag and licensing expenses, etc. You can get anything between $3, 500 and $250,000 business lines of credit from Truist with an origination fee of $100.
Product | Auto small business loan |
Loan amounts | $3, 500 to $250,000 |
Repayment term | Up to 75 months |
Interest rate | Confidential |
Fee | Processing fee of $100 |
Commercial vehicle and equipment loans
Expand, repair, or replace your business equipment with Truist’s commercial vehicle and equipment loans. If you qualify, you receive up to $250,000 and repay within 84 months. This loan product also attracts a 10% extra funding to cover for shipping, documentation, and related expenses. Consider this loan a best provided you want to buy a new vehicle, refinance an existing loan product, or access tax discounts. Remember that the equipment you purchase serves as security for the loan.
Product | Commercial vehicle and equipment loans |
Loan amounts | $250,000 |
Repayment term | Up to 84 months |
Interest rate | Confidential |
Fee | Confidential |
Real estate loans
Tired of paying rent every year? Truist’s real estate loan offers you the opportunity to buy your business’s location or refinance an existing real estate loan. Apply up to $250,000 which you can repay within 180 months at a loan-to-value up to 85%. This business loan is not appropriate for construction and the real estate you buy or refinance serves as collateral that secures the loan.
Product | Real estate loans |
Loan amounts | $250,000 |
Repayment term | Up to 180 months |
Interest rate | Confidential |
Fee | Confidential |
Where This Product Stands Out
Speedy funding
Truist reviews and approves business loan applications quickly (within 15 minutes, especially for business term loans). If you qualify, you can receive funding the same day you apply for the loan.
Fair origination fee
You pay between 1% and 10% origination fee, depending on the business loan amount you apply for.
Good for debt consolidation
Truist pays your creditor directly in order to consolidate your high interest-rate debt (this is a good alternative to pay off your high interest-rate debts).
Co-signed loans available
Truist provides the opportunity to access larger loan amounts with its co-signed loans. You get a co-signer with reputable credit score and higher income in order to get a higher loan limit.
Where This Product Falls Short
Undisclosed loan interest rates online
Truist doesn’t publish the rates of its business financing products online, making it difficult to compare its offerings with other options online. You have to schedule an appointment with a Truist representative to discuss the product you want and know the rate to pay for that product.
Limited funding for businesses
Truist is best for small businesses. If you require a business loan in millions, none of Truist’s business products is ideal for you.
No provision to pre-qualify
You cannot pre-qualify—know upfront the loan amount you qualify for, the interest rate, and the repayment term before your officially submit your application—for any of Truist’s business loan products. Pre-qualifying for a loan is a good way of know how much you can get from a lender compared to another lender before you officially apply.
No discount on business loan rates
Truist does not offer any rate incentives when you set up automatic payments or make payments to your creditors directly via Truist.
How to Qualify for This Product
Unlike other banks, Truist doesn’t set a base revenue nor does it consider the minimum time in business before approving business loans. However, it requires creditworthiness (especially if you’re applying for an unsecured term loan or unsecured line of credit).
Truist doesn’t make the exact credit score requirement for business loans public, meaning that you have to seek the bank’s business loan representative in order to know where you belong. Loan specialists observe that in order to get Truist business loan products, you must:
- Maintain a credit score of 680 and above.
- Provide your contact and personal data.
- Show two employment history and two years of address.
- Present information about your finances, including your debts, income, and rent or mortgage obligation.
Before you submit your application,
- Prepare your documents. Get your evidence of income, passport, and driver’s license handy at the point of application.
- Clarify how to repay the loan. Review your budget and factor in the effect of the new monthly payment on your business finances. Understand which cost to cut in advance so you can make on-time payments on the loan.
- Know your monthly repayment. Before you apply, calculate the monthly repayment amount you can afford with little to no effect on your business.
How to Apply for This Product
To get Truist’s business loan, apply online or visit any of its branches closest to you. Apply online or at a branch. Truist doesn’t allow its customers to pre-qualify online any of the business loan products it offers.
That said you have to first apply online for the product you desire. Truist conducts a hard enquiry for every application it receives. So don’t feel too bad if your credit score declines after you apply for Truist’s business loan. Present every necessary documents. Truist will release funds promptly if you qualify.
Don’t forget, if you’re not up to two years in business, Truist may demand more paperwork than earlier mentioned and the approval time lingers.
Alternatives to This Product
PNC
PNC is a good fit if you require a commercial real estate loan that gives more than $250, 000 Truist’s maximum offer. Additionally, PNC offers a more robust secured line of credit and term loan of up to $3,000,000. PNC and Truist offer similar loam range, including business term loans and business lines of credit for new businesses.
U.S. Bank
If you qualify, you can get up to $10,000,000 commercial real estate loan from U.S. Bank. But both Truist and the U.S. Bank offer business lines of credit and business term loans within close range with Truist. Much more, you can apply for an SBA loan with U.S. Bank—a product Truist doesn’t offer.
In terms of transparency, the U.S. Bank states its business loan requirements (credit score,. repayment terms, fees, and rates) online.
OnDeck
Prefer online business loan lenders to traditional banks? OnDeck is a good option that offers business term loan between $5,000 and $250,000 with up to 24 months repayment term. You can also apply between $6,000 and $100,000 for OnDeck’s business line of credit and repay up to 24 months.
Your business must be at least one-year old at the time of application and you require a minimum of 625 credit score on FICO scale in order to qualify for OnDeck business loan products.
Customer Reviews
Truist doesn’t seem to receive any positive customer reviews on Trust Pilot. It has a 1.1 out of 5-star rating based on 1058 reviews from customers.
Methodology
We reviewed Truist business loans based on 20 data points in the categories of loan details, loan costs, eligibility and accessibility, customer experience and the application process. We rated Truist business loans based on the weighting assigned to each category:
- Loan cost: 35%
- Loan details: 25%
- Customer experience: 20%
- Eligibility and accessibility: 10%
- Application process: 10%
Within each major category, we also considered several characteristics, including available loan amounts, repayment terms and applicable fees. We also looked at minimum credit score and time in business requirements and the geographic availability of the lender.
Finally, we evaluated Truist business loans customer support tools, borrower perks and features that simplify the borrowing process—like online applications, prequalification options and mobile apps.
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