# Non-bank lender

An SBA lender that lends its own capital and takes no deposits.

It is one of the four kinds of lender the Lender Match shelf files, and the one worth knowing about when a bank says no. Without depositors it answers to its own investors, which usually means a wider [credit box](https://searchspheresource.com/glossary/credit-box), a faster answer, and a higher rate for the same paper. The license is the thing to check, because only a limited number of these hold the SBA authority to make [7(a)](https://searchspheresource.com/glossary/sba-7a) loans at all. Ask whether the firm lends or brokers before you send a file. The two answers mean completely different things about who is deciding.

In numbers: A non-bank lender funded by its own capital can hold a $4.5M acquisition loan a deposit-funded bank turns down, and it prices the risk accordingly.

Source: https://searchspheresource.com/glossary/non-bank-lender
Not dated: A definition is editorial: what a term means, why it matters, and an example. None of it reads a source that can go stale, so there is no date to take and a stamped one would be the build time wearing a costume.

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