Frequently Asked Questions
What are the basic requirements to obtain a line of credit?
How do I get the best rate or additional funds?
What is the fastest way to obtain a line of credit?
Does an unsecured line of credit affect my personal credit report?
What is the interest rate for an unsecured line of credit?
What are the terms of an unsecured line of credit?
Can I still apply if I have derogatory remarks on my credit?
I have derogatory marks on my credit, but I have a co-signer with good credit, may I still apply?
How long does the application process take?
Am I obligated to accept the loan if I do not agree with the terms?
Small business owners should have revenues annually of $100,000 or more, and credit (FICO) scores above 680. Please note: all shareholders with over 20% ownership need to apply together.
view all questions
To obtain the best rates, banks require two years of tax returns both personally and from the business. By providing tax information financial institutions are able to make a more informed decision regarding your business and typically provide the best possible rate. You may still obtain financing by stating your income rather than submitting tax returns, but the terms of your loan will be less favorable.
view all questions
Why can Developments of the New World get me better rates and greater funding than I could on my own?
Developments of the New World works with a large network of national and local banks to help you obtain rates and funding that meet your unique business needs. Talking to banks and negotiating rates is our specialty. We talk to banks daily about current rates and promotions to ensure that our clients get the best possible rate and maximum financing.
view all questions
The quickest way to achieve your line of credit is to promptly complete and return the forms that we provide you. During the application process we will provide you with forms specific to the type of loan you are requesting. The faster we receive the completed forms, the quicker you can receive your capital.
view all questions
Your unsecured line of credit is not reported on your personal credit unless you default on the line of credit.
view all questions
The interest rate varies depending on your credit situation and the lender you elect to use. Interest rates for unsecured lines of credit typically fall between prime minus one (-1%) to prime plus six (6%).
view all questions
Terms vary depending on the lender. Our loan consultant will work with you to help find an unsecured line of credit with guidelines that meet your needs.
view all questions
You may still qualify if your credit score is above 680 and you have not had: a bankruptcy within the last 10 years, unpaid collections reported on your credit, tax liens, repossessions, property liens, or serious late payments in the last 7 years. Please understand that if you do qualify you may not be eligible for the best rates or maximum loan amount.
view all questions
Yes. Depending on the time horizon since the derogatory marks were put on your report, they may not impact our ability to get you credit.
view all questions
Based on your conversation with a Developments of the New World loan consultant we will determine the loan programs you may qualify for. The loan consultant will then pull and analyze your credit report to determine your credit worthiness. If you have a copy of a credit report that was pulled within the last 14 days we will ask for a copy and in most cases may not need to re-pull your credit.
view all questions
It typically takes two to four weeks from the time you submit your application until you receive your funds. Most banks take three business days to a week to notify us if you have been approved after application submission. After approval, the bank will require additional paperwork to set up the new account. Your unsecured line will be available within roughly a week of setting up the new account.
view all questions
Once approved, the lender will clearly state the terms and interest rates associated with the loan prior to having you close on your specific loan package. Our consulting fee is due on all lines offered.
view all questions
If Developments of the New World pre-approves me, does that mean I am actually approved with a lender and can be assured of being funded?
Sorry, but the short answer is no. A pre-approval from DVNW means that you have met the qualification threshold that our lenders require to be considered for a Business Line of Credit. Furthermore, a pre-approval from DVNW indicates that we are willing to work with you on completing a full business client package that typically takes our processing team several hours to complete. The business client package will include information on your overall personal and business credit worthiness. The processing team will analyze the Business Profile data you have provided and create a profile summary to ensure that the ratios and coverage metrics of your specific business profile are in alignment with lenders guidelines. If your completed business client profile looks favorable, we will move forward with your submission and work with you to get the lines of credit you are looking to obtain.
view all questions