Last quarterly update:
We have crunched the numbers and are pleased report the lowest cost Small Business Administration (SBA) lenders so far this year. Many of the names on the list aren’t the high volume SBA banks that are household names, so many of these are banks off the beaten path but they may you save thousands. The maximum rate a bank can charge for an SBA loan is mandated by the SBA, and the those rates are determined by the principal and the term of the loan. We won’t bore you with all the details here but if curious about learning more about SBA loan rates check out our post at https://www.sbalenders.com/sba-loan-rates/.
Lowest Cost SBA Banks – Large Loans and Long Maturities
(Loans over $50,000 with terms of 7 years or longer)
SBA lenders could charge a maximum interest rate of 9.4% for their large loans in 2017. So far this year 66% of all SBA loans are over $50,000 and over 90% of the loans over $50,000 are term loans of seven years or longer. These top 25 banks are well under that rate.
| 2020 Rank* | Bank | City | ST | Avg Int | Avg Loan |
|---|---|---|---|---|---|
| 1 | Bank of America | Charlotte | NC | 4.74% | $658,189 |
| 2 | Camden National Bank | Camden | ME | 4.93% | $168,333 |
| 3 | Southern Bank and Trust | Mount Olive | NC | 5.48% | $221,707 |
| 4 | UMB Bank | Kansas City | MO | 5.50% | $581,344 |
| 5 | Republic Bank & Trust | Louisville | KY | 5.51% | $347,920 |
| 6 | BOKF | Tulsa | OK | 5.59% | $574,535 |
| 7 | City National Bank | Los Angeles | CA | 5.62% | $879,858 |
| 8 | Sunflower Bank | Denver | CO | 5.65% | $783,188 |
| 9 | MVB Bank | Fairmont | WV | 5.66% | $162,023 |
| 10 | Mountain America FCU | Sandy | UT | 5.66% | $478,398 |
| 11 | MUFG Union Bank | San Francisco | CA | 5.71% | $1,185,153 |
| 12 | The State Bank | Fenton | MI | 5.72% | $649,571 |
| 13 | Bangor Savings Bank | Bangor | ME | 5.73% | $198,253 |
| 14 | Lake City Bank | Warsaw | IN | 5.77% | $297,227 |
| 15 | MidFirst Bank | Oklahoma City | OK | 5.77% | $1,702,846 |
| 16 | Union Bank and Trust Company | Lincoln | NE | 5.78% | $298,194 |
| 17 | Emprise Bank | Wichita | KS | 5.81% | $742,407 |
| 18 | Stock Yards Bank & Trust | Louisville | KY | 5.82% | $530,621 |
| 19 | Community Trust Bank | Pikeville | KY | 5.86% | $297,371 |
| 20 | Washington Trust Bank | Spokane | WA | 5.94% | $564,996 |
| 21 | Independent Bank | Mckinney | TX | 6.04% | $926,709 |
| 22 | Five Star Bank | Warsaw | NY | 6.06% | $345,083 |
| 23 | First Financial Bank | Cincinnati | OH | 6.07% | $581,171 |
| 24 | Capital One | Mclean | VA | 6.07% | $1,077,020 |
| 25 | TCF National Bank | Sioux Falls | SD | 6.09% | $741,427 |
Lowest Cost SBA Banks – Large Loan and Shorter Maturities
(Loans over $50,000 with terms of less than 7 years)
SBA lenders can charge a maximum interest rate of 8.9% for their large loans. These top 15 banks are well under that rate, so consider these lenders to save money if you need a small SBA loan.
| 2020 Rank* | Bank | City | ST | Avg Int | Avg Loan |
|---|---|---|---|---|---|
| 1 | Commerce Bank | Kansas City | MO | 5.73% | $1,119,720 |
| 2 | Cambridge Savings Bank | Cambridge | MA | 5.91% | $305,861 |
| 3 | Arvest Bank | Fayetteville | AR | 5.92% | $102,769 |
| 4 | Republic Bank & Trust | Louisville | KY | 6.03% | $276,347 |
| 5 | BB&T | Winston Salem | NC | 6.22% | $541,596 |
| 6 | First National Bank of Omaha | Omaha | NE | 6.23% | $303,683 |
| 7 | Huntington National Bank | Columbus | OH | 6.24% | $89,460 |
| 8 | Citibank | Sioux Falls | SD | 6.25% | $1,354,444 |
| 9 | NCF National Bank | Sioux Falls | SD | 6.25% | $359,557 |
| 10 | BancFirst | Oklahoma City | OK | 6.41% | $260,491 |
| 11 | Regions Bank | Birmingham | AL | 6.46% | $1,965,385 |
| 12 | First Financial Bank | Cincinnati | OH | 6.46% | $365,047 |
| 13 | First American Bank< | Elk Grove Village | IL | 6.48% | $784,286 |
| 14 | U.S. Bank | Cincinnati | OH | 6.49% | $114,030 |
| 15 | Wells Fargo | Sioux Falls | SD | 6.50% | $215,727 |
| 16 | Independent Bank | Mckinney | TX | 6.60% | $182,092 |
| 17 | Berkshire Bank | Pittsfield | MA | 6.95% | $314,082 |
| 18 | Capital Bank | Rockville | MD | 7.02% | $474,167 |
| 19 | Central Bank | Provo | UT | 7.03% | $368,718 |