Bank of America tightens small business loans
October 14, 2008 by ShannonCherry
Filed under Business
Credit may be getting harder to come by for small business owners as Bank of America announces more than $500 million dollars in charge offs of small business loans this past quarter. That’s up from $239 million in the third quarter of 2007.
What it means is that are cutting back on loans to small business – so much so that they have declined to #4 on the list of SBA lenders. In 2007, they were #1.
And I have a feeling they aren’t the only lender who will be more stringent in credit lending in the upcoming months.
It’s going extremely difficult to get an unsecured loan anywhere very soon.
So if you think you’re going to need a loan or line of credit, how will you try to get it?
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Check out what others are saying about this post...[...] a number of financial tools like lines of credit and small business loans will be harder to get. Bank of America has taken this step and will not be the last bank to do so. (Of course if your line of credit was with an institution [...]