In our data covering every 7(a) loan funded since FY2010, CAPLine delivery methods, the SBA’s revolving working-capital lines, account for 5,732 of 919,729 7(a) loans, about 0.6% of volume as of the March 2026 refresh. Most SBA borrowers who want a revolving line of credit will find one faster at a bank or a top-tier fintech lender than through the SBA’s CAPLine underwriting. The reason to still ask about a CAPLine is cost: a bank’s fixed-rate line for a well-qualified borrower currently runs about 6.99% to 7.38% and a variable-rate line about 7.63% to 7.91%, per the Federal Reserve Bank of Kansas City’s Small Business Lending Survey for Q3 2025, while the online line-of-credit market ranges from competitive fintech pricing near 8% up past 55% APR at higher-cost lenders.
How rare a CAPLine actually is
CAPLines split into four current types under SBA’s operating procedures: Seasonal, Contract, Builders, and Working. See our CAPLines guide for what each one covers. Their combined 0.6% share of 7(a) volume in our data is not a flaw in the program, it reflects that most 7(a) borrowers need a one-time term loan for a purchase, refinance, or buildout, not a revolving line. When the need genuinely is recurring or cyclical, a CAPLine is the SBA-guaranteed way to get one.
What a CAPLine costs, by loan size
A CAPLine is priced under the same 7(a) rate caps as any other 7(a) loan; our published rate data does not break out what borrowers paid by delivery method specifically. At the loan-size tiers most CAPLines fall into, FY2025 7(a) borrowers overall paid a median of 10.5% on loans of $50,001 to $250,000 and 10.25% on loans of $250,001 to $350,000, both below the SBA’s rate ceilings for those tiers. That is the honest range to expect on a CAPLine of comparable size, not a CAPLine-specific figure. See current SBA loan rates for the full tier breakdown and the live rate panel.
How a CAPLine operates differently from a bank line
A CAPLine follows the same guarantee structure as any other 7(a) loan, up to 85% on loans of $150,000 or less and up to 75% above that, per 13 CFR 120.210, with no enhanced or reduced percentage for the line-of-credit structure. See how the SBA guarantee actually works for the fee schedule that comes with that guarantee. Operationally, a Working CAPLine draws against a borrowing base of receivables and inventory that the lender monitors on an ongoing basis, closer to a bank’s asset-based line than to an unsecured fintech line of credit. A Seasonal or Contract CAPLine ties draws to a specific buildup or job rather than a general borrowing base. That monitoring is part of why CAPLines take longer to close and renew than a simple bank line, and part of why not every SBA lender chooses to offer them.
What a conventional line of credit costs
Bank pricing on a business line of credit varies by institution: Bank of America and Wells Fargo both price around 8.25% to 8.50% on their standard lines, and TD Bank around 8.00%, according to Bankrate’s February 2026 rate roundup. Those figures sit close to, and in some cases below, SBA’s rate tiers, without a guaranty fee attached. A bank line also typically closes in days once approved, well ahead of a CAPLine’s SBA-driven timeline.
What an online line of credit can cost, honestly
Fintech pricing spans an unusually wide range, and it is not always expressed as an APR at all. Bluevine’s revolving line starts near 7.80% simple interest, competitive with a bank. Lendio has advertised rates as low as 4.63% on qualifying offers. Fundbox prices its line as a flat fee rather than an interest rate, roughly 4.66% in total fees on a 12-week draw or 8.99% on a 24-week draw, structures that read as small percentages but annualize into a much higher cost than the headline number suggests. At the other end, OnDeck discloses its own average line-of-credit rate at 56.6% APR on the lines it originated in the first half of 2025, and other short-term online lenders price in a similar range. The spread between the cheapest and most expensive online line is larger than the spread between SBA and a bank, so shop specific offers, and convert any fee structure to an annualized rate, rather than assuming “online” means expensive or cheap.
When each one fits
If you can qualify at a bank, a conventional line of credit is usually faster and priced competitively with SBA, without the CAPLine paperwork. A CAPLine is worth asking about specifically when a bank has declined you, when your business is newer or thinner-collateral than a bank wants, or when a fintech quote comes back priced like OnDeck’s disclosed average rather than Bluevine’s. It is also worth asking about when the size of the borrowing base you need is larger than what an unsecured fintech line will extend, since a CAPLine’s asset-based structure can support a bigger revolving limit than a lender relying on cash-flow underwriting alone.
Not every lender that offers 7(a) term loans also offers CAPLines, so confirm directly rather than assuming a familiar SBA lender originates them. Estimate the guaranty fee on a CAPLine with the guaranty fee calculator, compare a CAPLine against a straight SBA term loan in SBA loan vs. conventional loan, and get a shortlist of lenders that actually originate CAPLines in your state and industry, built on funded-loan track records rather than who pays for placement, through get matched.