Celtic Bank Small Business Loans Review
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- Date Established
- Salt Lake City, UT
- Suited for small to large businesses
- Large variety of funding options
- Opaque fee structure and interest rates
Celtic Bank is a Salt Lake City-based industrial bank chartered by Utah that has a substantial online presence.
Celtic Bank has developed a reputation for writing and issuing SBA loans. In fact, it’s one of the most prolific SBA lenders in the country. If you’re not in the market for an SBA loan, Celtic can still offer you direct loans or lines of credit.
Not sure if Celtic Bank is the right lender for you? Read on.
Table of Contents
- Business Lending Products
- Borrower Qualifications
- Terms & Fees
- Application Process
- Sales & Advertising Transparency
- Customer Service & Technical Support
- User Reviews
- Final Verdict
Business Lending Products
Here are the borrower qualifications for getting a loan from Celtic Bank:
|Time in business:||N/A|
|Revenue:||Varies by loan amount|
Additional qualifications apply to specific products. For example, you’ll need to be owner-operated and for-profit to qualify for a Celtic Advantage Loan.
Terms & Fees
Celtic Bank offers several financial products to small businesses.
Celtic Advantage Loans
These are the terms for Celtic Advantage Loans:
|Borrowing amount:||$150,001 – $350,000|
|Term length:||Up to 25 years|
|Collateral:||Commercial real estate, inventory|
Celtic Advantage Loans are traditional secured business loans. That means you’ll put up collateral–typically commercial real estate, inventory, or equipment–to lower the risk to the bank. Compared to unsecured loans, this usually means better interest rates.
Compared to many banks, Celtic offers a (potentially) very long term length for its business loans.
Celtic Express Term Loans
These are the terms and fees for Celtic Express Term Loans:
|Borrowing Amount:||$20,000 – $150,000|
|Term length:||Up to 10 years|
|Interest rate:||Variable rate|
|Collateral:||Lien on business assets|
Businesses seeking smaller amounts of working capital may want to consider a Celtic Express Term Loan instead. These loans have an expedited approval process. Be aware, however, that these are still secured loans, meaning you’ll have to put up collateral in the form of your business assets.
Asset-based Lines of Credit
Here are the terms for Celtic’s Asset-Based Lines of Credit:
|Credit limit:||$250,000 – $5,000,000|
|Term length:||12 months – 10 years|
|Interest rate:||Variable rate|
|Collateral:||Accounts receivable and inventory|
Businesses that have commercial accounts-receivable infrastructure can apply for a line of credit through Celtic. Unlike a loan, which delivers a lump sum to you, a line of credit can be drawn upon in bits and pieces over the course of your term. You only pay interest on the amount of credit you’ve used. This grants you a lot more flexibility than you’d have with a loan, though often with more fees.
These are the terms and fees for Celtic Bank’s SBA loans:
|Borrowing amount:||$350,001 – $5 million (SBA 7(a) business and real estate loans)|
Up to $10 million (SBA 504 loans)
|Term length:||Up to 25 years (SBA 7(a))|
Up to 25 years (SBA 504)
|Interest rate:||Less than Prime + 4.25%|
|Origination fee:||0-3.5% (SBA fee)|
Unknown (bank fees)
|Collateral:||Commercial real estate, inventory, equipment|
Celtic Bank is one of the biggest originators of SBA 7(a) loans and SBA 504 loans. These loans are still made through private lending institutions like Celtic, but they’re partially guaranteed by the Small Business Administration. This allows businesses to access terms for which they would otherwise be unable to qualify.
Be prepared to make a down payment of around 10 percent for a 7(a) loan, as well as provide assets or real estate for collateral. The length of the SBA loan will vary depending on the purpose of the loan.
Another originator of SBA loans is Smartbiz.
You can apply for term loans online, at which point you’ll be presented with a form that asks you to record the purpose of your request, your name, contact info, business info, credit rating, and annual revenue.
If you’re applying for a line of credit, or just prefer to speak to a representative, you can start your application by phone.
Sales & Advertising Transparency
Celtic Bank’s website is fairly typical for banks, offering some general information about its products but almost nothing about its rates and fees. It’s fairly easy to navigate, at least. Express loans are usually processed within 24 hours. Expect a longer process with other products.
Customer Service & Technical Support
You can contact Celtic Bank by phone, email, or social media at Facebook, Twitter, or LinkedIn.
As is typical for banks, customer reviews run the gamut from satisfaction to deep displeasure. Most of the complaints appear to be credit card related.
Negative Reviews & Complaints
Celtic Bank has a B rating with the BBB, with 35 complaints over the last three years. Here are some issues customers had with Celtic Bank:
- Payment Processing Issues: These are mostly related to credit cards, but several customers have reported problems and delays making payments online.
- Slow Response Times: The number of complaints unaddressed by the bank suggests that it does not consistently and quickly respond to customer issues.
- Limited Unsecured Products: This may not be much of a problem for most businesses, but Celtic requires some form of collateral for most of its products.
Positive Reviews & Testimonials
Celtic Bank offers a number of perks for potential borrowers:
- Lengthy Terms: Celtic Bank gives you a lot of time to pay off your loans.
- Prolific SBA Lender: If you’re looking for an SBA loan, Celtic writes a lot of them.
- Online Applications: You can apply remotely for most of Celtic’s products, which isn’t always possible with banks.
Celtic Bank is one of the more accessible bank lenders out there when it comes to business loans, with less stringent requirements than most of its competitors. This company will be of particular interest to businesses looking for SBA loans. The bank, however, does not disclose its interest rates or fee structure up front, so make sure to ask for those details before you sign any papers.
To learn more about how we score our reviews, see our Business Loan Rating Criteria.