Personal Financing Requirements
Credit, income, and eligibility requirements explained clearly.
Personal loans and equipment financing are both based on your individual credit profile and financial standing rather than your business's track record. Here is what lenders look for and what gives your application the best chance at a competitive offer.
Personal Loan Requirements
Good to Excellent Personal Credit
A personal credit score of 680 or higher gives you access to most lenders in our network. Scores of 700+ qualify for the best rates. Some lenders will consider borrowers down to 620 depending on income and loan amount, but competitive offers start around 680.
Stable Income or Employment
Lenders want to see that you have a consistent, verifiable source of income to repay the loan. This can be W-2 employment, self-employment income verified by tax returns, retirement income, investment income, or a combination. Gaps in employment or highly variable income can make qualifying more difficult at larger amounts.
Manageable Debt-to-Income Ratio
Lenders look at your monthly debt obligations as a percentage of your monthly gross income. A debt-to-income ratio (DTI) below 40% is generally preferred. If you are already carrying significant monthly debt payments, a high-limit personal loan may push your DTI too high for some lenders.
No Recent Bankruptcies
A bankruptcy discharged within the past two years typically disqualifies you for unsecured personal loans at most lenders. Bankruptcies older than two years are reviewed case-by-case depending on how your credit has recovered since.
U.S. Citizen or Permanent Resident
Most personal loan lenders require U.S. citizenship or permanent residency. Some may work with visa holders depending on the visa type and lender guidelines.
Equipment Financing Requirements
Any Business Size — Including Startups
Equipment financing is more accessible than most business loans because the equipment itself secures the loan. Even startups and newer businesses can qualify if the owner has adequate personal credit.
Equipment Must Be for Business Use
The equipment being financed must be for business or commercial purposes — not personal use. Construction equipment, vehicles, kitchen equipment, medical equipment, manufacturing machinery, and technology all qualify.
Personal Credit Score of 620+
Because equipment serves as collateral, the credit requirements for equipment loans are often slightly lower than unsecured personal loans. A score of 620 can qualify for equipment financing, though better rates start at 660+.
Equipment Quote or Invoice
To process an equipment loan, we need documentation of what is being purchased — typically a vendor quote or invoice. New and used equipment can both be financed. Some lenders also finance equipment being purchased from private sellers.
Credit Score and Expected Offers
| Credit Score | Personal Loan Eligibility | Expected Rate Range |
|---|---|---|
| 720+ | Strong — access to highest limits and lowest rates | 5% - 9% |
| 680 - 719 | Good — solid access across most lenders | 8% - 13% |
| 640 - 679 | Fair — limited lenders, higher rates | 12% - 18% |
| Below 640 | Difficult — credit building may be a better first step | Limited options |
Rates shown are estimates. Actual offers depend on full underwriting review, income, and loan amount.
Credit score below 680?
If your personal credit score is under 680, our credit building program may be a better starting point. Improving your score before applying for a large personal loan can save thousands of dollars in interest over the life of the loan. Learn about credit building →
Ready to check your options?
Apply and we will match you with the best personal or equipment financing available for your profile.
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