SBA Loan Got You in a Chokehold? Here’s How to Refinance and Breathe Again
Still paying a sky-high interest rate on your SBA loan? Time to stop the slow bleed. In this post, we’re breaking down how refinancing your SBA 7(a) loan with Credit Banc can lower your rate, reset your loan term, and unlock extra capital to help your business actually grow. Less red tape, more flexibility, and zero corporate B.S.
👉 Got questions or ready to chat? Schedule a call with our team here.
Let’s cut to the chase; your SBA loan might be holding your business back more than it’s helping.
Yeah, we said it.
If you're still stuck paying Prime + 3.5% or higher, you’re not just overpaying…you’re actively sabotaging your own growth. You wouldn’t keep a bad employee around just because they “showed up once in 2021,” right? So why the hell are you still stuck with a bad loan?
Spoiler alert: You’ve got options. And yes, better ones.
What Is SBA Loan Refinancing, Really?
Think of it like a much-needed breakup…but instead of ghosting your high-maintenance ex, you’re ditching that overpriced loan for a better deal.
Refinancing your SBA 7(a) loan means you:
Lower your interest rate (think Prime + 1%, not Prime + “this hurts my soul”)
Reduce your monthly payments
Reset the term back to 10 or 25 years
Unlock working capital you can actually use to grow your damn business
Think of it like hitting CTRL + ALT + DELETE on your financial stress. (Without throwing your laptop across the room.)
Signs You Should Refinance (Or at Least Stop Suffering in Silence)
Still unsure? Here’s your red-flag checklist:
You’re paying more than Prime + 3.5% (yikes)
Your monthly payment feels like a bad joke (but no one’s laughing)
You could use extra capital to hire, expand, or finally upgrade from fax machines
Your original loan terms feel... outdated. (Because they are.)
If any of these hit home, it’s time to stop bleeding cash and do something about it.
Why Refinance With an Alternative Lender Like Credit Banc?
Banks are great… if you enjoy paperwork purgatory, decision-making committees, and being told “no” by someone named Chad who’s never run a business in his life.
Credit Banc isn’t your typical lender. We’re fast, flexible, and blunt as hell. We get that small business owners don’t have time for red tape and runaround. So we give you:
Straight answers
Real support from people who actually care if you succeed
Customized financing solutions that don’t feel like a one-size-fits-no-one
Also? We won’t make you jump through flaming hoops to get pre-qualified. It takes 2 minutes. No credit score hit. No BS.
The Nitty-Gritty: How SBA Refinance Works
Here’s the simple version…no finance degree required:
✅ You Might Qualify If...
You're currently paying Prime + 3.5% or more on your SBA 7(a) loan. If that’s you? Congrats—you’re probably leaving money on the table, and it's time to snatch it back.
💥 What You Could Get Instead:
Fixed Rate Option: Prime + 1%
Variable Rate Option: Prime + 1.25% (adjusts quarterly)
That’s a solid rate drop, and way less painful than what you’re working with now.
⏳ Reset the Clock
You also get to reset your loan term to a shiny new 10 or 25 years, which means smaller monthly payments and a whole lot less financial stress.
📈 Bonus: Tap Into More Capital
Need extra dough to grow? When you refinance, you can often pull out additional working capital to invest back into your biz. Think: hiring, new equipment, marketing campaigns, or finally replacing that janky-ass coffee maker.
🧾 What You’ll Need:
A 1.15x DSCR (both business and global—don’t worry, we’ll help you figure it out)
3 years of financials
The willingness to fill out a short form without setting your laptop on fire
Final Thoughts: Your Loan Should Work For You
If your current SBA loan feels like financial handcuffs, it’s time to grab the key. Don’t let old terms hold your business hostage. The right financing setup can open the door to real growth…and yeah, maybe even a decent night’s sleep.
And remember: just because your bank gave you a loan doesn’t mean they gave you a good one.
Ready to take the next steps? Set up a call with our team today to discuss refinancing options.
CLICK HERE to book your spot.
