Quick response and good service but interest rates are high
Customer service was very good and friendly.
However, an indicative quote was provided with the following details
Loan amount: $15,375 – 12 months
Origination Fee: $375
Weekly Repayments: $365 to $385 (depending on the strength of your business)
This means that the total repayment would be respectively $18,980 and 20,020 This means that the interest rate would be 23.4% (strong business) and 30.2% (weak business) over the full amount. As the full amount reduces over the year the actual interest rates are even higher. So shortly, this may work for very short and quick coverage of A/P gaps or WCR dips but please do your calculations. There are far better offers out there.
Best avoid unless you are desperate AND have a means to pay it back
I took a short term loan with Prospa as I needed funds quick and knew I could pay it back so in that sense it was helpful.
- However, the interest rate is very high so you are likely to pay half your loan back again unless you pay early
- the load it up with fees, we changed our bank accounts around and two payments were day late - $100 each time plus extra interest.
- staff seem to turnover too
Avoid these guys - talk to a fiance or mortgage broker as there are much better and cheaper options. If you are desparate you definitley need to avoid these guys. Look around.
Questions & Answers
I only want a small loan to help start my business off but I really don't want any huge interest fees...how high on average is the interest rate on small loans?
Hi Leah, Prospa’s rate varies based on your industry, how long you have been in business, the health of your cash flow and other factors. As such, we are unable to confirm your rate until you have been through the application process. But feel free to call us on 1300 882 867 and one of our loan specialists can talk you through how it works. Thanks!
Just a small enquirey. I am looking at a possible loan of around $40,000.00. Can you tell me what interest rate this would be over 12 months?
No idea sorry, it takes about 10 - 15 mins on the phone to have a complete offer ready for you. You should just give them a call.
Hi Maggie, Thank you for your enquiry. Could you please provide me with your phone number or email address and I'll ask one of our loan consultants to give you a call this morning. If you would rather call, our number is 1300 882 867. Kind regards, the team at Prospa.
ProductReview.com.au has affiliate partnerships. These do not influence our content moderation policies in any way, though ProductReview.com.au may earn commissions for products/services purchased via affiliate links.