Credit/Funding Criteria

General Information

  • We want your "A" credits.
  • Our transaction sizes range from $3,000 - $50,000 and range from 12 – 60 months.
  • We will review your documents for approval – EFA and Lease Documents.
  • We will also fund Municipal transactions for city, county and state entities. We do not do Federal financing.
  • We bill and collect for all transactions.

Credit Criteria

  • App only to $50,000.00 -- again “A” credits are our market.
  • All transactions are reviewed individually.
  • Competitive pricing based on our special profit sharing model
  • Target Scores: 700 Fico and above; 67 Paydex and above
  • No private party sales or sale lease backs
  • Minimum Time In Business – 3 years under current ownership
  • Personal Guarantees for owners are required on every transaction unless qualifying financials and history are provided.
  • ACH is mandatory, using a form that we will provide you to add to your doc package.
We email out an approval or decline notice within 24 hours. All approvals are good for 90 days unless adverse information is received. Credit extensions are available upon request, but updated information may be required.

Application packets should include:
  • Complete credit application signed by the owner(s)/guarantor(s)
  • Home and cell phone numbers and email addresses for each guarantor
  • Transaction write-up
  • CBR on owner(s)/guarantor(s)
  • Detailed vendor invoice/quote/sales order
  • The three (3) most recent months of complete bank statements are required.
  • We may also pull additional business and/or personal credit reports.

Equipment and Location Criteria

  • We will consider a wide range of equipment and fund in all 50 states.
  • Partial prefunding will be considered with prior vendor qualification and approval.
  • We will do new and used titled vehicles, with all titlework handled by a dealer or a 3rd party title service.
  • For used equipment, we require an independent condition report or comps.
  • No foreign vendors
Equipment/Industry Restrictions:
  • Restricted equipment types include: ATMs, Gambling Machines, HVAC, POS Systems, Web Sites, Metal Buildings, Signage, Dry Cleaners, Amusement and Recreation, Gas Pumps and Dispensers, and Furniture.
  • Restricted industries include: Agriculture, Restaurants, Chiropractors, Lumber/Logging, Owner/Operator Trucking, Livery, Auto Repair and Body Shops, Beauty and Tanning, and Home based businesses.

Documentation and Funding Requirements

  • Broker document packets must be approved prior to initial submission.
  • Venue or assignment of venue should read State of Illinois, Cook County.
In addition to standard documentation, we will need:
  • Copies of driver’s Licenses for all contract signors/guarantors in lieu of notarization of signatures
  • Insurance Certificates with Padco Financial Services, Inc. as Certificate Holder and Loss Payee (as well as Additional Insured for liability for lease contracts)
  • Broker Invoice and Assignment Form to Padco Financial Services, Inc.
  • Copy of commitment/cover letter or invoice to customer outlining the terms and advance payments
  • Copy of the Advance Payment check and/or Security Deposit
  • Notice of Assignment Letter to Lessee to be provided on your letterhead and signed by the customer in acknowledgement
  • Site inspections may be required – you will be notified upon approval.
  • Faxed or emailed copies of executed documents will speed up the funding process, but original documents are required prior to funding.
  • We will do verbal verifications with each guarantor prior to funding.

Collections and Defaults

  • We make every attempt to process all collection issues internally, but any assistance you can provide is always appreciated.
  • We provide monthly status reports to show how your portfolio is performing.
  • In the event of a default and repo situation, we will likely expect your involvement and assistance.

Benefits to Funding with Padco Financial Services

  • Personalized service
  • Flexible rates
  • Quick turn-around

We encourage you to contact us with any questions!