Last updated on November 19th, 2024 at 11:56 am
Many self-employed individuals wonder, “Can I get a Kabbage loan if I’m self-employed?” Kabbage was once a popular choice for small business owners, including freelancers and gig workers, seeking fast access to funds. However, after Kabbage was acquired by American Express, the loan process and eligibility criteria changed. In this article, we will explore whether self-employed people can still apply for loans through American Express and how the process works after the acquisition.
Is it hard to get an American Express business line of credit?
Getting an American Express Business Line of Credit can be a bit tough. You usually need a credit score of at least 660, and your business should be running for at least a year. You’ll also need to show that you make about $3,000 a month. This helps American Express see that you can pay back the credit.
If you have good credit, a solid business history, and can provide the right financial documents, you have a better chance of getting approved. It is a good idea to check your finances and prepare all the needed papers before applying.
Can I get a Kabbage loan if I’m self-employed?
Yes, if you were self-employed, you could apply for a Kabbage loan back when it was available. Kabbage provided loans to a wide range of small businesses, including self-employed individuals, freelancers, and sole proprietors. However, after Kabbage was acquired by American Express, the service became part of the American Express Business Line of Credit, which is now the main product for business funding.
If you are self-employed and want to apply for a line of credit with American Express, you will still need to meet certain criteria such as having a business that is been operational for at least a year, a minimum FICO score of 660, and at least $3,000 in monthly revenue. The eligibility requirements remain similar whether you are self-employed or own a traditional small business.1
How do I know if a Kabbage loan is right for me?
To know if a Kabbage loan (now part of American Express Business Line of Credit) is right for you, consider the following factors:
- Your Business Needs: If your business requires flexible access to funds for working capital, such as paying for inventory, equipment, or unexpected expenses, a line of credit can be helpful. You can borrow as needed and repay it over time.
- Eligibility: Check if you meet the eligibility requirements. For example, you need to have been in business for at least a year, have a FICO score of at least 660, and have monthly revenues of at least $3,000.
- Interest and Fees: Review the costs involved, including the interest rates and fees. Depending on your creditworthiness, fees can range from 2-9% for a 6-month loan term. Consider if your business can handle these repayment terms.
- Repayment Flexibility: Kabbage (now American Express) loans offer installment payments for each draw from the line of credit. If you prefer predictable monthly payments, this could be a good option.
- Speed of Funding: If you need fast access to funds, the application process for Kabbage loans is typically quick, and this tradition continues under American Express. Funds are often available within a day or two.
If you match these criteria and need flexible funding, Kabbage funding might be a good fit. However, it is essential to weigh the costs and benefits against your business’s financial situation.
Can I get a Kabbage loan if I’m a small business owner?
Yes, if you are a small business owner, you could apply for a Kabbage loan in the past. Kabbage, before its acquisition by American Express, provided lines of credit specifically for small business owners to cover various expenses like inventory, payroll, and equipment. However, after the acquisition, Kabbage loans were rebranded as the American Express Business Line of Credit.
Now, small business owners can apply for this business line of credit, which functions similarly to Kabbage’s original service but under new terms and conditions set by American Express.
To qualify, your business must meet the specific requirements set by American Express, such as a minimum credit score and revenue. So while Kabbage in its original form is no longer available, small business owners can still access flexible funding solutions through American Express.
How does Kabbage protect my personal and financial information?
Kabbage, now part of American Express, protects your personal and financial information by using strong security measures. They encrypt all the data you provide, like your social security number and bank information, to keep it safe from hackers.
Additionally, they store your data on secure servers, and only authorized staff can access it. Kabbage follows strict industry standards to ensure your privacy and keep your information protected at all times.2
Can I get a Kabbage loan if I’m a student?
There is not a specific business card or business loan tailored for students within the Kabbage loan or American Express business cards. American Express does offer a variety of products that come with attractive offers and rewards.
Students may find suitable options among these products. For more detailed information, it is recommended to visit the official website of American Express.
How can I get help or support with my Kabbage loan?
For assistance or support regarding your Kabbage loan, the process has evolved since Kabbage merged with American Express in 2020. Previously, individuals could contact Kabbage PPP helpline numbers directly for inquiries or issues related to their loans.
Now, in 2024, if you have any questions about your Kabbage loan or any related concerns, it is recommended to reach out to American Express. Since the integration with American Express, they have provided a dedicated number for Kabbage loan holders on their website: 1-888-986-8263. By contacting this number, you can obtain all relevant information regarding your Kabbage loan and its associated account.
In case your issue persists, you can visit the American Express “Contact Us” page to find specific department numbers related to your particular concern.
Conclusion
In conclusion, while self-employed individuals can still seek funding options through the American Express Business Line of Credit after the Kabbage acquisition, it is essential to understand the updated eligibility criteria and loan terms. This new structure offers flexibility and quick access to funds, which can be beneficial for small business owners.
Faq’s
Why is American Express mentioned in relation to Kabbage loans?
American Express acquired Kabbage, and now Kabbage loans are integrated with American Express, offering benefits to small business owners.
Does American Express offer exclusive benefits to business card members using Kabbage loans?
Yes, American Express business card members using Kabbage loans can enjoy exclusive perks, including reward points on expenses.
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Disclaimer: The information provided in this article is for informational purposes only. Kabbage/American Express and their eligibility criteria may vary. We recommend consulting with the official American Express website for personalized assistance. Your financial situation is unique. We have no affiliation with Kabbage, Inc. or American Express. We are a separate financial consulting company.
