Confused by all the loan advice out there? You’re not alone. Let’s set the record straight.

Why This Matters

Whether you’re applying for a vehicle loan, equipment finance, or working capital, there’s no shortage of “advice” online. Unfortunately, a lot of it is outdated, misleading—or just plain wrong.

At Thrift Capital, we help business owners and entrepreneurs navigate the finance world with confidence. So today, we’re clearing up five of the most common myths we hear every day—and giving you the facts to make smarter decisions.

Myth 1: “You need perfect credit to get approved.”

Truth: A less-than-perfect score doesn’t disqualify you.

While credit history matters—especially for unsecured loans—it’s only one part of the equation. Lenders also consider:

  • Cash flow or bank statements

  • Business stability

  • Loan purpose and security

  • Industry experience

Plus, we work with specialist lenders who are open to low-doc and new-ABN applicants, even with limited credit history.

Myth 2: “I can only get a loan if my business has been trading for over 2 years.”

Truth: New businesses can get finance too.

Many think they need years of tax returns to qualify. But lenders now offer finance options for:

  • Startups

  • Sole traders with new ABNs

  • Side hustlers going full-time

If you have solid industry experience, a clear loan purpose, or asset security (like a vehicle or machine), you can likely get approved.

Myth 3: “All lenders are the same—just compare rates.”

Truth: Not all loans—or lenders—are created equal.

Rates are important, yes. But so is:

  • The speed of approval

  • Flexibility of repayments

  • Ease of document requirements

  • Pre-approval conditions

  • Balloon options or seasonal structures

Some lenders are better suited for your industry, cash flow, or equipment type. That’s why working with a broker makes a real difference.

Myth 4: “Applying for finance will hurt my credit score.”

Truth: Not always—and not if you do it properly.

Multiple applications with the wrong lenders in a short time can hurt your score. But when you work with a broker:

  • Your application is strategically placed with the right lender

  • We often start with a soft credit check or pre-assessment

  • We avoid unnecessary rejections

Bottom line: one well-placed application is far better than going it alone and hoping for the best.

Myth 5: “If I got rejected before, I won’t get approved now.”

Truth: Rejection isn’t final—and it’s often fixable.

Many applicants get declined simply because they:

  • Applied with the wrong lender

  • Had missing documents

  • Didn’t structure the application clearly

We’ve helped dozens of clients who were previously rejected get approved within days—just by matching them with the right lender and repackaging the deal.

Final Thought: Know the Facts Before You Apply

Finance doesn’t need to be complicated, but it does require clarity.

By knowing what lenders actually look for—and avoiding the common myths—you can make better decisions, access better deals, and save time (and money) in the process.

Need Help Navigating Your Options?

 Talk to a Thrift Capital broker today.

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New ABN? How to Get Approved Even If You’re Just Starting