WSFS Financial Corp. in Wilmington, Del., said Thursday that it has created a loan program in which it will offer discounted rates to small businesses that use the funds to create jobs.
Businesses with annual revenues of up to $10 million will be eligible for loans of up to $500,000 at a fixed rate with no closing costs or other banks fees under the bank's Small Business Loans-for-Job Creation Program. Borrowers will be able to receive up to a 100-basis point discount on a standard small-business loan, provided that they can confirm that the loan helped create or retain jobs, according to a company spokesperson.
The program is similar to one JPMorgan Chase & Co. offered to small businesses last year in which it reduced the interest rate on loans by a half a percentage point with each new hire, up to three, over the life of the loan.
The $4.2 billion-asset company WSFS has set aside $25 million for its program, which will run through the end of the year.
"In supporting our mission to strengthen our communities, the WSFS Small Business Loans-for-Job Creation Program will provide loans to help small businesses grow immediately and help fuel the broader economy," Mark A. Turner, WSFS president and chief executive, said in a press release.