Important 504 Loan Servicing Changes

If you have an SBA 504 Loan, please take note of this important 504 Loan Servicing change regarding the ACH debit transactions for monthly SBA 504 loan payments. The File ID/Company ID associated with the ACH debit will be updated to SBA504LOAN effective with the May 2023 payment.

Please note that no changes will need to be made to the ACH account that you currently on file. However, if your bank has a fraud filter based on a File ID/Company ID in the ACH file, that filter should be updated to accept the new ID of SBA504LOAN in order to avoid having your payment returned.

Please don’t hesitate to contact our Loan Servicing team at (217) 241-3000 if you have any questions.


Effective May 1, 2023 – Please note that no changes will need to be made to the ACH account that you currently on file. However, if your bank has a fraud filter based on a File ID/Company ID in the ACH file, that filter should be updated to accept the new ID of SBA504LOAN in order to avoid having your payment returned.



504 Loan Servicing FAQ’s

How can I find out my loan balance?
In the funding packet provided after funding, you will find an amortization schedule. This schedule indicates how much of your loan’s principle, interest and fees are paid off with each loan payment. You can always call our Servicing Department at 217-241-3000 if you have questions about your balance.


How will I know what interest I’ve paid?
An annual Interest Statement will be mailed to you by January 31st of each year.


Is the ACH debit required? Or optional?
It is required.


Can I change the account my 504 loan payment is deducted from?
Yes. You’ll simply fill out a new “ACH Debit Authorization” form.  Please call our Servicing Department and we will send it to you. Account changes must be made by the 15th of the month to take effect in time for the next month’s payment.  If the 15th falls on a weekend, it must be received before the end of the prior business day.


What if I want to expand my existing building? Can I apply for additional financing if I haven’t paid off my existing 504?
It’s quite possible that you are eligible for additional SBA loans. The 504 maximum lending limit is currently $5 million ($5.5 million for manufacturers), so most existing customers are eligible for multiple 504 loans.  The funds available to you can be used to expand an existing building or purchase equipment and the 504 loan application process is typically easier the second time around.  Contact a Loan Officer for more information or read about what other small businesses use simultaneous loans for.


Can I pay off my loan early? Are there prepayment penalties?
Yes and yes.  However, typically the rate on your first mortgage loan is adjustable and higher than the 504 rate, so it’s to your advantage to make additional payments on the first mortgage loan rather than pay off the 504 loan.If you choose to pay off your 504 loan early, the duration of the prepayment penalty depends on the term of the loan. Typically, 504 loans are 20-year loans, which carry a 10-year prepayment penalty. The amount of the penalty depends on the debenture rate assigned to your loan. For instance, if the debenture rate was 2.5%, it would decline 10% every year for ten years. After 10 years there would no longer be a prepayment penalty.In addition to the prepayment penalty, interest and servicing fees (not the CDC servicing fee), through the next semi-annual debenture date are included in the payoff.  The debenture dates are based on the funding date of your loan.  Our Servicing Department can walk you through the details.


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About Growth Corp

Growth Corp is the largest provider of SBA 504 commercial real estate financing in Illinois. 

Growth Corp is a non-profit development company certified by the U.S. Small Business Administration (SBA) to originate SBA 504 loans in Illinois and its surrounding areas.  Driven by a passion for helping small businesses grow, Growth Corp is the largest SBA 504 Lender in Illinois and one of the top ten Certified Development Companies in the country.  With a current portfolio in excess of $850 million, Growth Corp has helped thousands of small and medium-sized businesses get the financing they need.

We know your success depends on having access to expansion capital.  We offer affordable and accessible expansion capital to grow your business.  Our experienced staff takes pride in making a difference in the lives of small business owners and their employees.  Start-ups to seasoned businesses and everything in between can benefit from working with Growth Corp.  Here’s why:

  • We’re the #1 SBA 504 Lender in Chicago and Illinois.  Growth Corp also consistently ranks as one of the top ten SBA 504 Lenders nationwide.
  • SBA recognized Growth Corp as an Accredited Lender after a thorough review of its policies, procedures and prior performance.  The prestigious ALP status grants Growth Corp increased authority to process and close 504 loans, which provides expedited processing of loan approvals and closings.
  • We simplify the loan approval process.  Our team coordinates the entire process from application through closing, funding and servicing, making it seamless for you and your bank lender.
  • We are SBA 504 Experts.  Our responsive and educated staff focuses almost exclusively on SBA 504 loans.  We’ve got the process down to a science!
  • We’ve worked with thousands of businesses, spanning various industries.  That means, there’s not much we haven’t seen.  Your goals, project structure and business type will likely be familiar to us and we’ll understand your unique situation.
  • Our mission is to advocate for small business.  We love our communities and believe small business is the foundation of their economic prosperity.  We will do all we can to support you and your business goals.

If you run a small to medium sized business in and need financing to buy or construct a building or to purchase machinery/equipment, Growth Corp’s team of professionals will work with you directly to provide the best financing strategy for reaching your goal.  Contact any member of our Lending Team today!