Sept 25, 2013 (Wed): PayPal on Tuesday unveiled PayPal Working Capital, an innovative way for PayPal customers to fund their growing businesses easily. In collaboration with WebBank, Select PayPal businesses in the U.S. able to apply business loan online and they can get funding in minutes once they apply, review and agree to terms.
PayPal Working Capital allows the borrowers to repay the loan with a share of their PayPal sales, so there are no minimum monthly payments. The loan is available for a single, fixed fee that is displayed to a business before signing up. There are no periodic interest charges, late fees, pre-payment fees, or any other fees, so a merchant knows what they’ll pay, down to the penny. Under the program, WebBank will use PayPal sales history to extend credit, so no credit check is required and the loan does not affect a business’s credit score.