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TD Bank Review

By
Matt D'Angelo
,
business.com writer
|
Apr 17, 2019
Home
> Finance
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TD Bank is a traditional lender with a good online reputation. Like most traditional lenders, TD Bank provides several different types of loans for small business: lines of credit, commercial mortgages, term loans and SBA loans. It provides tailored applications based on amount and location, and it outlines its financial documentation requirements to give you an idea of what information you need to provide when you apply. As of March 2019, TD Bank featured 15 states on its lending list. The company likely provides funding nationally, but you'll have to speak to your local branch (or contact TD Bank) for more information. You can also apply online up to a certain amount, which is standard for most traditional bank loans.

TD Bank

TD Bank

The Best Business Loan and Financing Options of 2019

The Verdict

TD Bank provides good loan variety and has a solid online reputation, but, as a traditional bank lender, it lacks online price quoting and applications.

To view all our recommendations for small business financing, visit our best picks page.

Rates and Terms

TD Bank's general loan amounts vary based on what you qualify for, but because it's an established bank, expect that it can issue business loans over $100,000. TD Bank has one of the best online reputations of any traditional lender we evaluated.

You'll find some information about its loans on its website. There is a loan calculator where you can input amounts and interest rates to estimate what your monthly payments would be. Below are some of the types of loans you can get. As with any traditional bank, you'll have to visit a local branch to get more info on specific rates for your business.

Lines of Credit

TD's business lines of credit range from $25,000 to $100,000. Rates start as low as the WSJ Prime, which is a national loan rate interpreted by The Wall Street Journal, plus 0.74 percent. Actual rates depend on your business's financial history. These are revolving lines of credit, meaning you pay them off and then draw on them again. TD supports interest-only payments, and payments can automatically be deducted monthly from your account.

Small Business Term Loans

Rates and terms for these loans vary widely based on your business's needs and financial situation. These are more traditional small business loans; therefore, the qualification and application process will likely take longer than if you partnered with an alternative lender.

SBA Loans

TD Bank is a Small Business Administration (SBA) lender, and if you're considering taking out an SBA loan, you can view a list of loans and terms on the website, but there are a few highlights to note. SBA loans may be best for long-term financing agreements. TD participates in three different SBA loan plans: 7(a), 504 and conventional loans. All require a down payment ranging from 10 to 25 percent and include terms that are sometimes close to 20 years. These can be large loans, as some plans support up to $5,000,000.

The payment structure for the majority of TD's loans is on a monthly basis. Overall, TD Bank's loan offering is consistent with other traditional lenders. It provides all the basic types of loans and can offer high capital at decent terms and rates, if your business qualifies for a loan. If you're looking for a quicker loan process at higher rates, we recommend taking a look at our best picks for small business financing.

Features

While there isn't a lot of information on terms and rates, TD provides some loan applications and other details. You can get an idea of what kind of information you'll need to have at the ready when you apply for a loan.

Loan Process

Business owners looking to lend from TD Bank will need to go to a local branch to start the loan process. This is consistent with other traditional lenders we reviewed. TD Bank provides various applications on its website, though, so you can speed the loan process along by having the right information available when you meet with a representative. Applications ask for basic business information, like location, business finances, collateral options and a credit application. You'll also have to submit a personal financial statement, which asks for business and financial information, such as your stock and bond holdings and the number of credit cards in each business owner's name.

Terms

Terms depend on your business's financial situation and the type of loan you are seeking.

Qualifications

Like terms, qualifications vary with each application. TD is a traditional bank, so its requirements are much higher than those of alternative lenders. Expect TD Bank to do a credit check and require financial documentation to verify that your business is not only able to handle a loan but profitable as well.

Collateral

TD Bank will require collateral to secure the loan. This is typical; of the traditional lenders we reviewed, only Wells Fargo offers unsecured loan options. TD Bank provides basic collateral requirements on its loan applications. These include blanket liens, equipment, vehicles and real estate.

Special Documentation

TD Bank provides applications on its website. If you already bank with TD Bank, loan specialists can view your accounts and monthly statements to determine if you qualify. Otherwise, the loan application asks for extensive financial information, like credit history.

When to Use This Type of Loan

The variety of TD Bank's business loans makes it a good option for any small business purchase. Lines of credit can help with cash management, while the term loans are good for long-term purchases. You can also use TD's loans for financing equipment or expanding your business.

Reputation and Customer Reviews

TD Bank has the best reputation with the Better Business Bureau (BBB) of any traditional bank we reviewed. As of March 2019, the BBB rates TD Bank as an A+ company, but it only scores one out of five stars in customer reviews. There are roughly 900 customer complaints, which pales in comparison to the standard 2,000 complaints on other lenders' BBB pages. As with the other companies, however, this score encompasses TD Bank's entire service offering and may not directly reflect its small business loan department.

Limitations

TD Bank provides solid funding options for businesses that can qualify with the traditional lender. This is the only drawback for TD – businesses need outstanding finances to qualify for a loan. The loan process may also take longer than it would with an alternative lender.

Editor's note: Need a business loan? Click the Compare Quotes button below to have our sister site BuyerZone connect you with vendors that can help.

 

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TD Bank

TD Bank

The Best Business Loan and Financing Options of 2019

The Verdict

TD Bank provides good loan variety and has a solid online reputation, but, as a traditional bank lender, it lacks online price quoting and applications.

Matt D'Angelo
Matt D'Angelo
Matt D'Angelo is a staff writer covering small business for Business.com and Business News Daily. After graduating from James Madison University with a degree in journalism, Matt gained experience as a copy editor and writer for newspapers and various online publications. In addition to his writing and reporting, Matt edits articles. He reviews small business services, including PEOs, small business loans and GPS fleet tracking services. He's been with Business.com and Business News Daily since 2017.