Kabbage Vs OnDeck Small Business Loans: Compare Lenders

Making the decision on which lender to apply to can often be more difficult than making a decision on which loan offer to say yes to. If you have average or poor credit or are looking for a lender that gives you quick access to large amounts of cash, you may have come across Kabbage or OnDeck. While the two lenders share many similarities, there are also a few ways that they differ. Let’s take a look at how these two lenders work.

How easy is it to apply for a loan with Kabbage vs OnDeck?

Both Kabbage and OnDeck offer easy, fast online applications that can be completed within minutes. Once applicants pre-qualify, they’ll be asked to submit more documents and should be ready for the lender to take a hard pull of their credit.

Does using Kabbage or OnDeck affect your credit?

When prospective borrowers submit the initial pre-qualification application, both lenders will take a soft pull of their credit. Later, if they agree to take out a loan, they will be subjected to hard pull which will affect their credit. Making timely payments will also help borrowers to improve their credit score with either lender.

Is Kabbage and OnDeck legit?

Both Kabbage and OnDeck are legitimate and safe lenders. OnDeck has an A+ rating with the Better Business Bureau (BBB), and a four out of five-star rating based on client reviews. Kabbage also has a similar reputation among borrowers, with an A+ and four-star rating as well on the BBB website.

Kabbage Vs OnDeck - Compare

Lender Loan Amounts: Interest Rates: Repayment Terms:
Loan Amounts:
Up to $250,000
Interest Rates:
24% to 99%
Repayment Terms:
6, 12 or 18 months
Loan Amounts:
Up to $500,000
Interest Rates:
9.1% - 99.8%
Repayment Terms::
Repaid daily or weekly for 3 to 36 months

Click to compare estimated rates on PrimeRates.



  • Kabbage’s loans can be as high as $250,000
  • Funding in as little as a few minutes
  • Easy for borrowers with bad credit to qualify


  • APRs as high as 99%
  • Complex fee structure
  • No prepayment incentive
  • Short repayment terms
  • Potential for high fees

Good option for:

A Kabbage business loan is a good option for borrowers with average credit who need access to quick cash for small to medium-sized projects, such as building repairs, supply purchases or payroll payments.

How to Qualify:

In order to qualify for a loan with Kabbage, you should have an annual revenue above $50,000, at least one year in business and a personal credit score above 560.

Rates & Costs:

Kabbage’s APRs range between 24% for the most highly qualified borrowers and 99% for higher-risk borrowers. With Kabbage’s repayment plans, borrowers will repay a percentage of the amount borrowed, plus a fee between 1% and 10% of the total amount. There are no prepayment fees.

Time To Funding:

Kabbage’s loans can fund in as little as a few minutes, but most fund within one to two business days.

Loan Amounts:

Kabbage’s loans range between $2,000 and $250,000.

» MORE: Kabbage Small Business Loans Review



  • Offers both loans and lines of credit
  • High loan amounts of up to $500,000
  • APR as low as 9% on term loans, and as low as 11% on lines of credit
  • Low minimum time in business of just one year
  • Easy for borrowers with low credit to qualify, with a minimum credit score of 500 for term loans
  • Funding within one business day


  • APR as high as 99% on term loans and 63% on lines of credit
  • Short repayment terms of just three years for term loans and six months for lines of credit
  • Not good for borrowers who have had bankruptcies within the last two years
  • Difficult for borrowers with low annual revenues to qualify

Good option for:

OnDeck is a good option for owners of new businesses, whose personal credit scores might fall short of meeting the requirements of other online lenders. This lender provides quick access to cash, in multiple forms, offering both term loans and lines of credit. Their loans are ideal for covering large expenses such as vehicle or property down payments, major renovations or inventory purchases.

How to Qualify:

In order to qualify for an OnDeck term loan, you should have a credit score above 500, or a score above 600 to qualify for an OnDeck line of credit. You should also have at least one year in business, and an annual revenue above $100,000.

Rates & Costs:

OnDeck’s APRs range between 9% and 99% for their term loans, and between 11% and 63% for their lines of credit. Origination fees on their term loans range between 1% and 4%, while their lines of credit typically come with a $20 monthly maintenance fee.

Time To Funding:

OnDeck’s loans can fund as soon as the same business day.

Loan Amounts:

OnDeck’s term loans range between $5,000 and $500,000, and their lines of credit can give borrowers access to as much as $100,000.

» MORE: OnDeck Small Business Loans Review


While both Kabbage and OnDeck offer similar products, borrowers should always be sure to dig into the finer details of any lender before deciding which loan to agree to. If you’re looking for a flexible line of credit or a loan above $250,000, OnDeck could be a good option to consider. However, if you apply with this lender and are offered a loan with an unexpectedly high rate, you can also consider applying with Kabbage, which has similar qualification requirements. Even if you have a low credit score or are a brand new business, make sure to apply with multiple lenders before making a final decision on the loan that’s right for you.

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