Our Verdict
Chase Business Loans comes out on top as the better choice in this comparison. Chase offers a wide range of financing options, including SBA loans, term loans, lines of credit, and commercial real estate loans. It provides substantial funding, competitive interest rates, and long loan terms. With its reputable brand and dedicated support from a team of business bankers, Chase is an ideal choice for your business especially if you have a good credit score and seek reliable and flexible financing solutions.
Alternatively, Citizens’ business loans offer flexibility, large loan amounts, competitive terms, and low-interest rates. Its online application process through Citizens VantageLink makes it quick and easy to apply, with decisions in just a few business days. Perfect for small and medium-sized businesses looking for financing options.
However, Chase beats Citizens in the aspect of its number of loan options and higher amounts and longer repayment terms.
Why Choose Chase Business Loans
Who Chase Business Loans Is Best For
Consider a Chase business loan if you:
- Need a reliable and reputable lender with a wide range of financing options.
- Require a short-term or long-term loan with flexible interest rate options.
- Seek secured or unsecured loan options based on your business needs.
- Qualify for SBA loans and want to benefit from lower costs and favorable terms.
- Need a substantial loan amount of up to $5 million.
- Want competitive interest rates as low as 6%.
- Prefer longer loan terms of up to 25 years.
- Value personalized attention and dedicated support throughout the loan process from a team of business bankers.
- Have a good personal credit score (690+)
Who Chase Business Loans Is Not Right For
Seek alternatives to Chase Business Loans if you:
- Have poor credit (below 690), low revenue, or limited cash flow, as you may not meet the minimum requirements or get approval.
- Seek the cheapest or most flexible loans, as other lenders may offer better deals or more customized solutions.
- Lack a proven track record or sufficient collateral.
- Require fast funding or prefer online convenience.
- Operate in high-risk industries or have unstable cash flow.
Why Choose Citizens Business Loans
Who Citizens Business Loans Is Best For
Opt for Citizens Business Loans if you:
- Require business credit cards, merchant services, and cash flow management solutions.
- Need fast and simple financing solutions for various purposes, such as purchasing inventory, equipment, property, or working capital.
- Desirer loans or lines of credit up to $250,000
- Require large or long-term borrowing options like business mortgages, term loans, and flex loans for your business needs.
Who Citizens Business Loans Is Not Right For
Source for alternatives to Citizens Business Loans if you:
- Have a seasonal business that has inconsistent cash flow or low demand
- Lack the eligibility criteria, such as minimum annual revenue, credit score, or collateral/guarantee requirements.
- Lack a clear and realistic plan for using and repaying the loan.
- Have access to better alternatives, such as grants, subsidies, or non-debt financing options.
- Have no up-to-date assessment of your financing needs, budget, and cash flow before applying.
Chase vs. Citizens Business Loans: Main Differences
| Chase Business Loans | Citizens Business Loans | ||
|---|---|---|---|
|
Ideal For |
Small businesses seeking flexible financing options |
Small businesses in need of fast and simple online application processes. |
|
|
Charges |
No origination fees on commercial real estate loans. For loans over $250,000, please note the prepayment fees. Annual fee of either $200 or 0.25% of the approved line of credit. You can waive the fee if your average line utilization exceeds 40% over 12 months. |
No origination fee on the business line of credit or business term loans. Keep in mind that there is an annual fee of $150 for the business line of credit, which is not applicable for the first year. |
|
|
Standout Features |
Explore loan amounts of up to $5 million for your business needs. Take advantage of the different business financing options that come with rewards and various benefits. Utilize the option to automate your monthly repayments to make sure you pay your loan on time every month
|
Explore the Business or Equipment Flex Loan, which seamlessly converts from a line of credit to a term loan, providing flexibility in financing solutions. Get loans or lines of credit up to $250,000 conveniently online within 2-3 days. Get an SBA loan that offers more flexible repayment options and requires a less-stressful process to qualify. |
|
Chase vs. Citizens Business Loans: Standout Features
Chase Business Loans
- Explore Chase as an SBA-preferred lender offering loan amounts up to $5 million.
- Take advantage of the diverse business funding options.
- Utilize its merchant services and cash flow management solutions.
- Program your monthly payments to ensure timely repayments every month.
Citizens Business Loans
- Enjoy its convenient online application process for loans or lines of credit up to $250,000, with funding available in just 2-3 days.
- Explore its business or equipment flex loan, which can convert from a line of credit to a term loan.
- Acquire an SBA loan, which is easier to qualify for and make repayments on than traditional loans.
Pros and Cons of Chase Business Loans
- Pros
- Offers multiple types of loans, including SBA loans, business lines of credit, commercial real estate financing, and trade financing.
- Provides large loan amounts of up to $500,000 or more, catering to businesses in need of substantial funding.
- Offers competitive and flexible terms based on factors such as loan type, borrower creditworthiness, and an existing relationship with the bank.
- Processes SBA loans faster and with less paperwork compared to other lenders, thanks to Chase being a SBA Preferred Lender.
- Cons
- Imposes strict eligibility requirements, making it challenging for startups, businesses with low revenue, or borrowers with fair-to-bad credit to apply.
- Limits its branch availability to 28 states across the U.S., excluding certain states from accessing its services.
- Fails to openly disclose interest rates, fees, or minimum qualifications for its business loans online, hindering the ability to compare with other lenders or effectively plan.
Pros and Cons of Citizens Business Loans
- Pros
- Offers a range of business loan products, including small Business Loans, business lines of credit, business or equipment flex loans, business term loans, business mortgages, and SBA loans.
- Provides a fast and simple online application process for small business loans up to $250,000 through its Citizens VantageLink platform.
- Provides competitive and adaptable conditions based on your loan category, borrower’s credit standing, and association with the bank.
- Charge no origination fees or line of credit fees for small business loans and commercial real estate financing.
- Cons
- Lacks online transparency regarding interest rates, fees, and minimum qualifications makes it hard to compare with other lenders or make informed financial preparations.
- Requires borrowers to have a Citizens business checking account before receiving loan funds.
- Has limited availability, serving only 11 states across the U.S. and excluding certain states.
- Ranks 67th among SBA lenders in 2021 with only 97 approved loans, indicating a low SBA loan volume relative to its size.
Chase vs. Citizens Business Loans: Customer Reviews
Consider Chase Business Loans reviews, taking into account its ratings and customer feedback. Better Business Bureau (BBB) rates Chase with an A-, but customer reviews on BBB indicate a disappointing rating of 1.1 out of 5 stars based on 518 reviews. Additionally, it has a significant number of customer complaints—more than 4,000. Trustpilot also rates it a low score of 1.3 out of 5 stars based on over 1,300 customer reviews. Its reviews’ popular grievances include high fees, account closures, long processing times, and poor customer service.
Citizens Business Loans earns an impressive BBB rating of A+. However, customer reviews on BBB reveal a low rating of 1.1 out of 5 stars based on 205 customer reviews. It also has a substantial number of customer complaints, totaling over 1,400. Its Trustpilot score stands at just 1.2 out of 5 stars based on over 300 customer reviews. Common themes in the reviews include concerns about horrible customer service, online banking issues, hidden fees, and communication problems.
Chase and Citizens Business Loans Competitors
U.S. Bank
- Consider U.S. Bank as an alternative for business loans. It is a bank holding company that offers a wide range of financial products and services to individuals, businesses, and organizations. Take advantage of its provisions, including SBA loans, term loans, lines of credit, equipment financing, and commercial real estate loans.
- Benefit from its presence in 26 states and its efficient online application process for several products. However, be aware that online transparency regarding loan costs and requirements is limited. Additionally, availability may be restricted in certain states. Take into account lower customer satisfaction scores on BBB and Trustpilot.
Wells Fargo
Wells Fargo is a well-established financial institution that provides various business loan options to meet the needs of your businesses.
Explore Small Business Administration (SBA) loans, government-backed funding that empowers small enterprises. Benefit from Wells Fargo’s status as an SBA Preferred Lender, enabling faster approval of SBA loans.
Discover conventional term loans—standard business financing with fixed or variable interest rates and a set repayment period. Use them for several business needs, like expanding, purchasing equipment, or consolidating debt.
Take advantage of its lines of credit and grant your business access to a credit limit. Withdraw funds as your need arises, repay, and access it again without reapplying for a new loan.
Obtain equipment financing, especially to help you acquire new equipment or machinery without upfront full payment. The equipment serves as collateral for the loan.
Get commercial real estate loans for purchasing, refinancing, or renovating commercial properties. Wells Fargo tailors these loans to meet the unique requirements of your real estate projects.
To apply for a Wells Fargo business loan or get up-to-date information on their offerings, visit their official website or directly contact a Wells Fargo representative.
KeyCorp
Pick KeyCorp as an option for business loans, take note of the following: KeyCorp is a bank-based financial services company and the holding company for KeyBank National Association. It offers a range of loan options, including SBA loans, term loans, lines of credit, equipment financing, and commercial real estate loans. With branches in 15 states, it has a significant presence. KeyCorp stands out in SBA loan volume, ranking 10th among lenders in 2021 with 1,032 loans approved. However, it’s important to be aware that KeyCorp lacks transparency in providing loan costs and requirements online. It also has limited availability in certain states and low customer satisfaction scores on BBB and Trustpilot. Evaluate these factors carefully when considering KeyCorp for your business loan needs.
Pro Tips
- Before you decide on a business loan, thoroughly assess your financial needs and repayment capabilities. Evaluate factors such as loan amount, interest rates, fees, and repayment terms to choose the most suitable option.
- Research and compare multiple lenders, consider transparency, customer reviews, and availability in your state. This helps you find the best terms and avoid potential issues.
- Take advantage of online tools and calculators to estimate your monthly payments, interest rates, and potential savings.
- Consider working with a bank that offers additional benefits such as business credit cards, merchant services, and cash flow management solutions to optimize your operations.
- Seek professional advice from financial advisors or business consultants to ensure you make good decisions that suit your long-term business goals.
Recap
Chase Business Loans stand out with their wide range of financing options, substantial funding, competitive interest rates, and longer loan terms. While it lacks transparency online and has strict eligibility requirements, its reputable brand and dedicated support make it a reliable choice for businesses with good credit scores. On the other hand, Citizens Business Loans offers convenience with fast online applications and various financing solutions. However, its limited availability, lack of transparency, and low SBA loan volume are notable drawbacks. Consider the pros and cons of each lender, review customer feedback, and assess your specific business needs to make the best choice for your business loan.
No Comment! Be the first one.