Consumers Credit Union business lines of credit review
Revolving credit lines for Illinois and Wisconsin businesses with low APRs.
finder.com’s rating: 3.0 / 5.0
Credit unions are known for having competitive rates — they’re nonprofits so they can afford it. This credit union based in Illinois and Wisconsin is no exception. In fact, with rates of 50,00 APR, they’re highly competitive for a nonprofit lender. But they don’t offer unsecured term loans and only work with established businesses — startups will have to look elsewhere.
First, do I qualify?
To qualify for a Consumers Credit Union line of credit, your business must be:
- At least two years old
- Located in Wisconsin or Illinois
- A business member of Consumers Credit Union
What is a Consumers Credit Union business line of credit?
Consumers Credit Union offers both secured and unsecured lines of credit starting at $50,000. It’s a revolving credit line, meaning that your limit renews as you pay off your balance — similar to a credit card. So if you withdrew $10,000 from a $50,000 credit line, you’d only have access to $40,000 until you paid off the $10,000.
Revolving credit lines typically come with monthly minimum payments rather than set interest and principal payments. Variable rates can go as low as 1.5% APR and Consumers Credit Union charges businesses an annual fee of $100 for each year it has the credit line open.
What makes Consumers Credit Union business lines of credit unique?
Consumers Credit Union business lines of credit start larger than the competition — especially those from online lenders. This can make them particularly useful for businesses with large projects on the horizon. These lines of credit are also relatively flexible, allowing businesses to provide collateral for more favorable rates and terms if they like.
Looking for a personalized experience? Consumers Credit Union might be just what you need — it has a team of business loan experts to guide you through the application process.
What are the benefits of borrowing with Consumers Credit Union?
- Competitive rates. Consumers Credit Union’s rates start several percentage points below the business loan rates you typically find even at other credit unions.
- Revolving line of credit. Your business will be able to access up to its original credit limit as soon as it pays off its balance.
- High credit limits. The maximum credit limit is determined by your business’s needs and financials — there’s technically no limit.
- Secured and unsecured options. Your business can choose whether or not it wants to back its credit line with collateral to score more favorable rates.
What to watch out for
- Not for startups. Your business must be around for at least two years before it’s eligible for a line of credit.
- No online application. The only way to get started on your application is by calling customer service or visiting your local branch.
- Limited available information. There isn’t much information available online about the loans, and customer service wasn’t able to provide us with more than a few very basic details.
- Only available in two states. Your business must be located in Illinois or Wisconsin to qualify for a line of credit.
Compare other business lines of credit providers
How do I apply?
Before you apply, check that your business meets Consumers Credit Union’s basic eligibility requirements:
- At least two years in business
- Located in Illinois or Wisconsin
- Business member of Consumers Credit Union
Unlike some other credit unions, Consumers doesn’t allow businesses to apply for a loan and membership at the same time. Becoming a member typically involves opening an account. If you’re not already a member, reach out to your local branch for more details.
Steps to apply
- Go to the Consumers Credit Union website and click Business in the main navigation bar.
- Select Business Loans.
- Scroll down to the Getting Started section.
- Click to download the Personal Financial Statement and Business Loan Application forms.
- Fill out the required fields and print them out. Sign and date both forms.
- Call 877-275-2228 or visit your local branch to get started on the application process.
What documents do I need to apply?
Aside from the personal financial statement and business loan application, what you need to provide depends on your business.
You might be asked for the following documents when you apply for membership or a line of credit:
- Personal and business tax returns
- Business bank statements from other banks or credit unions
- Articles of incorporation
- State-issued identification
I got a line of credit from Consumers Credit Union. Now what?
Once your business has a line of credit, it’s free to draw from it as it needs. Since it’s a revolving credit line, you’ll likely have monthly minimum repayments based on your balance. However, you can save on interest by paying off your balance as quickly as possible.
Each year that you have your credit line open, Consumers Credit Union also charges a fee of $100. And if you’re late on a repayment, it charges a fee of either $25 or 5% of the payment amount, whichever is greater.
Have any questions about your account? Reach out to customer service as soon as possible or stop by your local branch.
Other types of business financing offered by Consumers Credit Union
Lines of credit are the most flexible option you can find at this credit union, but they might not be right for all businesses. You might also want to look into its commercial mortgages if you’re interested in buying real estate. Your business can borrow up to 80% of the value of the property with terms as long as 30 years.
Need funds for equipment? Consumers Credit Union also offers a business term loan secured with the equipment you buy.
Consumers Credit Union lines of credit could be best for businesses looking to finance a large, ongoing project. It offers a hands-on, personalized application process that could also be great for business owners new to lending. But you’ll likely want to look elsewhere if your business is new or needs money the next day.
You can compare other financing options by visiting our business loans guide.
Frequently asked questions
Business loan ratings
★★★★★ — Excellent
★★★★★ — Good
★★★★★ — Average
★★★★★ — Subpar
★★★★★ — Poor
We rate business loan providers on a scale of 1 to 5 stars based on factors like transparency, costs and customer experience. We don’t take into account elements like eligibility criteria, state availability or payment frequency — we save that for our reviews.
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