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disnugaswagg

Kabbage Questions

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Well, I did go ahead and app for this account. It appears that they do a credit check on EQ personal, but it is a soft and you must have a FIN. Also, they look for you to have at least $1k of online selling on a monthly basis. Places that qualify you for this program is Ebay, Amazon, Yahoo, Eyst, and a few other. They verify your online selling averages, by you signing into PayPal. This is not a loan, but it is an advancement so that you can grow your online inventory. Fees are associated with the advancement, but they appear to be minimal. I think this would be pretty cool for those that have businesses that have high volume of sales on the internet.

 

If anyone has experience with this company, please respond. Thanks in advance.

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Fees are associated with the advancement, but they appear to be minimal.

 

I wouldn't consider fees of 16% of the advance amount to be minimal....

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Fees are associated with the advancement, but they appear to be minimal.

 

I wouldn't consider fees of 16% of the advance amount to be minimal....

 

On any advance that I took out, I would have it paid back within a month or two to avoid those fees. Not to mention, that rate is based off of your business credit. It is not across the board.

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I started my relationship with Kabbage about 6 months ago. They pre-approved me for a $15k "advance". After inputting all my personal info, they dropped this down to $3k (They must not have liked my personal credit.) I have made all payments on time. They gave me a few CLIs and I am now up to the $15k Credit Limit. The money transfers instantly to my Paypal account.

 

It is pretty expensive money, but worth it for me.

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I started my relationship with Kabbage about 6 months ago. They pre-approved me for a $15k "advance". After inputting all my personal info, they dropped this down to $3k (They must not have liked my personal credit.) I have made all payments on time. They gave me a few CLIs and I am now up to the $15k Credit Limit. The money transfers instantly to my Paypal account.

 

It is pretty expensive money, but worth it for me.

 

What does it take to qualify? Do you have to really be a major online business?

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I was actually searching if anyone had any experience with Paypal Working Capital and came across this. Kabbage was odd... I tried them but I guess because my sales are directly through my site (I sell a business service with a monthly subscription) and not through eBay they didn't really recognize my activity.

 

Thought I'd post here that if you have activity through Paypal, Paypal Working Capital is very easy and cheap to get. It looks like they approve up to 8% of your last year of sales, and you pay it back out of your future sales at a rate you pick. IIRC, you could do as low as 10% or as high as 30%. The fee is higher or lower depending on what you pick. By going with 20% over 10% the fee was about half and pretty low. The savings with 25 or 30% was fairly minor.

 

I took out a Paypal Working Capital loan on 5/15 and as of Friday I had paid back 27% automatically. If I have no change in sales, it will be paid off in Late August or early Sept, with no credit check and a fee of around 4% (seems much lower than Kabbage).

 

I was wondering if they reported anywhere, but it looks like no one here has experience with it or at haven'r posted. This is for a newish business w/ a partner that I started last year on a shoestring (signed up a client and started business that day, had 20-30 clients by the end of the month, $0 startup cost basically-used a free trial software and personal labor) and was the first credit of any type that we used.

 

Haven't been around here much in a few years, but wanted to look into how things work these days. New biz is going fine but could probably grow more with a little credit. Might just keep this one on a slow pace, though.

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Ive used Kabbage for the last year and few months... We have a Credit limit of 37,400... Its expensive money, but it is good working capital.

 

I will be moving away from it probably since my personal scores are much better, and I can PG better LOC's for my business.

 

They base their Cl's only partly on your credit, a strong amount is Paypal sales, ebay sales, and credit card sales- Our initial approval was 27K with my credit being poor.

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I finally got an offer of around 6 grand from Kabbage. The fees are high- I think it would come to around 32% interest if I took out a 6 month loan. I have used Paypal Working Capital twice with lower fees and paid it off automatically without really missing the chunk of money it took out daily. The only thing that might intrigue me about kabbage, and I can't tell for sure, is if I could avoid fees by paying it off early- I would only use it for something that would more than double my money in less than 6 months.

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I finally got an offer of around 6 grand from Kabbage. The fees are high- I think it would come to around 32% interest if I took out a 6 month loan. I have used Paypal Working Capital twice with lower fees and paid it off automatically without really missing the chunk of money it took out daily. The only thing that might intrigue me about kabbage, and I can't tell for sure, is if I could avoid fees by paying it off early- I would only use it for something that would more than double my money in less than 6 months.

 

Fee's are very high. I dont really use them often, but kabbage has us at 48K available, while PP working capital is only 7500. So if available inventory comes up I tend to have to grab from kabbage, we also have available line with on-deck for 15K, same cost as kabbage, but reports to business credit unlike kabbage, and is a weekly draw instead of monthly.

 

Kabbage if you pay early does not charge you if you pay early, but the loans a front loaded Fee wise- 70% of the fee's are charged to you in the first two months.

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I have worked with Kabbage for three years now, starting with a CL of $6000 and now at $20,000. The great thing about them is that you get your money right away. I had poor personal credit when I started with them, and they did a hard pull of my personal EX report. They looked at the credit card processing that I did through Authorize.net as their means of approval.

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Brteacher, can you give us an idea of what you pay vs what you were funded on some of your loans? Their website doesn't give you much info until you agree to credit checks and such...

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Sure. Loans are for six months. The principal is paid evenly over that time, but the fees are not.

 

For every $1000 I borrow (though technically, it's a cash advance, not a loan), I pay $50 in fees each month for the first two months, then $10 per month for the remaining four months. That means that the $1000 costs me $1140 by the time it's paid off.

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