Secured and unsecured business financing for servicemembers, vets and their families.

  • Best for established small businesses.
  • Pick something else if you’re not a service member, veteran or a relative.

    $2,500

    Min. Amount

    $25,000

    Max. Amount

    Details

    Product Name Navy Federal Credit Union Unsecured Business Loans
    Min. Amount $2,500
    Max. Amount $25,000
    Loan Term Up to 5 years
    APR 11% to 18%
    Requirements Must be a business member of Navy FCU

    Application Criteria

Must be a business member of Navy FCU

 

How much will this loan cost me?

Rates on Navy Federal Credit Union’s unsecured term loans run as high as 18% APR with terms up to five years. Your APR includes an origination fee that varies based on the amount you borrow.

Without putting up collateral, you can borrow up to $25,000 — though loans up to $25,000 are available if you back your loan with equipment or other collateral. Use the calculator below to learn how much your loan will cost each month based on different rates, loan amounts and terms.

Business loan calculator

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How it works

The rates and terms you get depend on factors like your loan amount, your personal credit history, time in business and financial projections.

You’ll likely get lower rates and qualify for larger loan amounts if your business has been around for several years and you have excellent credit — typically 740 or higher. The maximum rate goes to borrowers who just squeak by NFCU’s requirements.

What do I need to qualify?

You must meet the following requirements to get an unsecured business loan through Navy Federal Credit Union:

  • Business member
  • In good standing with NFCU
  • At least two years in business

NFCU doesn’t have any other hard requirements, but it still considers factors such as your credit score and revenue when processing your application. And you may be able to qualify for a secured loan your business has been around for less than two years.

Individual membership eligibility

You’re eligible to become a NFCU member if you fall into one of the following categories:

  • Active-duty member of the Army, Navy, Marine Corps, Coast Guard, Air Force or Air National Guard.
  • Member of the Delayed Entry Program (DEP)
  • Department of Defense (DoD) reservist, officer candidate or ROTC member
  • DoD civilian employee, including contractors assigned to US government installations
  • Veteran, retiree or annuitants of the armed forces or DoD
  • Family or household member of the above

Business membership eligibility

Your business must meet the following requirements to apply for business membership.

  • All individuals with 25% ownership or more must be NFCU members
  • All owners’ accounts must be in good standing

What information do I need to apply?

Again, one of the drawbacks of NFCU’s business loans is the relatively complicated list of documents compared to other lenders. You and your business also need to provide documents to apply for business membership.

Documents to become a business member

Required documents vary depending on what type of business you have.

Documents to apply

At a minimum, business owners typically need to provide the following documents and forms along with their application:

  • Two years of personal tax returns
  • Business plan with three years of cash flow projections
  • Personal financial statement

What industries does it work with?

Navy Federal Credit Union doesn’t disclose any restricted industries. But since it’s a federal credit union, you likely won’t approved if your business is involved in any federally illegal activities.

What other types of financing does NFCU offer?

On top of unsecured business loans, your business can apply for the following types of financing from NFCU:

  • SBA PPP loans. This is the only loan program available during the coronavirus outbreak. You can borrow up to $10 million to cover payroll costs and get up to 100% of the loan forgiven. Pay any remaining balance over a two-year term at 1% interest.
  • Secured term loans. Businesses that put up collateral can borrow up to 75% of the collateral’s value.
  • Business line of credit. Secured and unsecured access to cash as you need it, with for credit limits up to $15,000 and variable rates.
  • Checking line of credit. Protect your checking account from overdrafts up to $5,000 and rates fixed at 17.9% APR.
  • Business vehicle loans. Get up to 100% financing for new vehicles and 90% financing for used vehicles like cars, SUVs and light trucks.
  • Commercial vehicle loans. Get up to 80% financing for new and 75% financing for used financing for commercial, special or heavy-duty trucks, as well as rolling stock like tractor trailers.
  • Commercial real estate loan. Financing for all types of commercial-use properties with a range of repayment terms to choose from.

Pros and cons

There are a few good reasons to apply for a NFCU business loan. But you might also want to consider these drawbacks.

Pros

  • No prepayment penalties
  • Secured and unsecured loans
  • Maximum APR of 18%
  • Offers SBA PPP loans

Cons

  • Doesn’t offer preapproval on any loans
  • Not transparent about rates and fees for all loans
  • No unsecured loans over $25,000
  • Individual and business membership required

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