What interest rate does Headway Capital charge?

Your rate depends on your application. Its calculator assumes 3.3% a month, which is 39.6% a year before any draw fee [1].

Does Headway Capital charge a prepayment penalty?

No. You can repay your outstanding balance at any time without an additional fee [2].

Does Headway Capital charge a draw fee in New Jersey?

No. Draws may carry a 2% fee depending on the state, but there is no draw fee in Colorado, Georgia, Indiana, New Jersey or Oklahoma [9][14].

What do you need to qualify for Headway Capital?

At least $50,000 in annual revenue and time in business of one year per its Rates and Terms page (six months per its FAQ) [6][7]. Applying uses a soft credit pull [2].

Is Headway Capital legit?

Yes. It is part of Enova International, a publicly traded company, and BBB lists 6 complaints in the last three years [5][11]. Its organic reviews are mixed, mostly over cost.

Headway Capital review 2026: line of credit cost, draw fees and our score

Item: Headway Capital
Rating: 3.0
Author: Business Funders

Headway Capital review: a small-business credit line that is easy to get and costly to carry

Headway Capital scores 3.0 out of 5 on our method: a quick line of credit up to $100,000 for firms with $50,000 in yearly revenue, but its own example prices draws near 40% a year [1][7].

By Business Funders editorial teamUpdated Oct 21, 2026

Advertiser disclosure

Batch Capital and BatchOut are affiliated with Business Funders and appear on this site. We earn money when you get funded or sign up through them. How we make money

Wondering what a Headway line will really cost you each month?

That is the question most of its unhappy customers say they wish they had asked. In the newest reviews we read, about four in ten organic reviewers brought up the price, quoting APRs from about 44% to over 80% [10].

Here is the reassuring part, and it is true: Headway lets you repay the whole balance at any time without an extra fee, and interest does not compound [2]. If you draw only what you need and pay it down fast, you control most of the cost. The sections below show the math, so you can decide before you draw a dollar.

Criterion	Weight	Score	Why
Cost disclosure	20%	4.0	Headway publishes its credit limits, terms, payment choices, the 2% draw fee by state and the 3.3% monthly rate its calculator assumes [1][9][14]. It does not publish an APR range, so this is starting cost info plus schedule, a 4.
Contract matches the quote	15%	2.0	Six of 56 organic Trustpilot reviews in our sample said the rate or fees were not what they understood, including an undisclosed fee and a promised rate cut that never came [10]. A BBB complaint said the cost far exceeded what was described [11].
Post-signing conduct	25%	2.5	Seven of 56 organic reviews (12.5 per 100) described a debit after payoff, a slow refund, a refused hardship request or a frozen line [10]. BBB complaints are few, 6 in three years [11], and the FAQ only says to call if you will miss a payment [2].
Payoff treatment	10%	4.0	You can repay the full balance at any time with no added fee, and interest does not compound, so paying early cuts the cost [2]. Some BBB reviewers said the payoff math was confusing [12].
Total cost	15%	3.0	The calculator's 3.3% a month works out to 39.6% a year before any draw fee [1]. That sits in the middle of the 10% to 99% APR range for business lines of credit [15], which scores 3.
Customer evidence	10%	2.5	Trustpilot shows 3.9 from 2,274 reviews [10]; our sample was only 11% invited, and the 56 organic reviews averaged 3.1 stars. BBB reviews average 2.09 [12]. We take 0.5 off for the CFPB's 2023 order against parent Enova over its consumer loans [13].
Lead handling and support	5%	4.0	The privacy policy lists sharing with Enova companies and vendors, not outside lenders or brokers [5]. Customer service and collections each have a phone line, weekdays until 5:00 p.m. Central [4].

Criterion

Weight

Score

Why

Cost disclosure

20%

4.0

Headway publishes its credit limits, terms, payment choices, the 2% draw fee by state and the 3.3% monthly rate its calculator assumes [1][9][14]. It does not publish an APR range, so this is starting cost info plus schedule, a 4.

Contract matches the quote

15%

2.0

Six of 56 organic Trustpilot reviews in our sample said the rate or fees were not what they understood, including an undisclosed fee and a promised rate cut that never came [10]. A BBB complaint said the cost far exceeded what was described [11].

Post-signing conduct

25%

2.5

Seven of 56 organic reviews (12.5 per 100) described a debit after payoff, a slow refund, a refused hardship request or a frozen line [10]. BBB complaints are few, 6 in three years [11], and the FAQ only says to call if you will miss a payment [2].

Payoff treatment

10%

4.0

You can repay the full balance at any time with no added fee, and interest does not compound, so paying early cuts the cost [2]. Some BBB reviewers said the payoff math was confusing [12].

Total cost

15%

3.0

The calculator's 3.3% a month works out to 39.6% a year before any draw fee [1]. That sits in the middle of the 10% to 99% APR range for business lines of credit [15], which scores 3.

Customer evidence

10%

2.5

Trustpilot shows 3.9 from 2,274 reviews [10]; our sample was only 11% invited, and the 56 organic reviews averaged 3.1 stars. BBB reviews average 2.09 [12]. We take 0.5 off for the CFPB's 2023 order against parent Enova over its consumer loans [13].

Lead handling and support

4.0

The privacy policy lists sharing with Enova companies and vendors, not outside lenders or brokers [5]. Customer service and collections each have a phone line, weekdays until 5:00 p.m. Central [4].

Is it a fit for you?

It fits when

You have $50,000 or more in yearly revenue and a year or more in business [6][7].
Your costs come in bursts, like a large inventory order or a slow month, and you can pay each draw back within months.
You are in New Jersey, where Headway charges no draw fee [14].
You want weekly or monthly payments and a 12, 18 or 24 month term per draw [3].

Look elsewhere when

You need more than $100,000, the most Headway offers [8].
You plan to carry a balance for two years; at a 3.3% monthly rate that gets expensive [1].
You qualify for a bank line or SBA working capital, which usually cost far less [15].
Your business is in a state Headway does not serve; check its Rates and Terms page first [6].

Our verdict: a fair, flexible product with a price you need to manage

Headway Capital scores 3.0 out of 5 on our funder method. It offers one product, a revolving business line of credit from $5,000 to $100,000 [8]. You draw what you need, pay interest only on what you draw, and borrow again as you pay principal down. It is a subsidiary of Enova International, a publicly traded company [5].

This is a loan, so the cost is interest, and Headway is open about the basics: interest does not compound, there is no annual or monthly service fee, and you can pay off at any time without a fee [2]. The catch is the level. Its own calculator assumes 3.3% a month [1], and organic reviewers quote APRs well above that [10].

Three things decide it. First, how long you will carry the balance, since every month at 3.3% adds up. Second, how each new draw works: your whole balance is re-amortized over a new term [2], which can stretch a debt you meant to clear. Third, payoff handling, which is where most after-signing complaints land.

Pros

Repay the whole balance any time with no fee
Interest does not compound; no annual or monthly fee
No draw fee in New Jersey
Funds usually sent the next business day
Shares data within Enova only, not a lender network

Cons

Calculator assumes 3.3% a month, about 39.6% a year
Up to a 2% fee on every draw in most states
Each draw re-amortizes the whole balance on a new term
Reviewers report payoff and refund problems

What a Headway draw costs, with the math

Headway does not post an APR range. What it does publish is the assumption behind its payment calculator: a monthly interest rate of 3.3% and a 2% draw fee, with no draw fee in Colorado, Georgia, Indiana, New Jersey or Oklahoma [1][14]. Your own rate depends on your application [1].

Headway Capital line of credit terms (read Oct 21, 2026)
Item	What Headway publishes
Credit limit	$5,000 to $100,000 [8]
Unsecured vs secured	Unsecured up to $50,000; secured up to $100,000 [8]
Term per draw	12, 18 or 24 months [3]
Payments	Weekly or monthly, auto-debited by ACH [2][3]
Rate in its calculator	3.3% a month [1]
Draw fee	Up to 2% by state; none in New Jersey [9][14]
Other fees	Late fee possible; no annual or monthly service fee [2]
Early payoff	Any time, no added fee [2]
New Jersey first draw	At least $500 [3]

Our arithmetic on a $26,000 draw, the calculator's starting amount, at 3.3% a month repaid in 12 equal monthly payments: about $2,659 a month and about $5,908 in interest. That is a 39.6% yearly rate (3.3% x 12). Outside New Jersey, add a 2% draw fee of $520, which lifts our APR estimate to about 44%. Stretch the same draw to 24 months and the interest roughly doubles. Try your own numbers in the line of credit calculator.

How fast is it? Funds are typically sent within one business day after approval [14], and the line is available around the clock through your online account [3].

Requirements and how the application works

What Headway asks for
Requirement	Headway Capital
Time in business	One year on the Rates and Terms page [6]; six months in the FAQ [7]
Annual revenue	$50,000 or more [7]
Minimum credit score	None published; soft pull to apply [2]
Location	One of the states and D.C. listed on its site, New Jersey included [6]

Headway's own pages disagree on time in business: the Rates and Terms page says one year, while the FAQ says six months [6][7]. Plan on a year unless a rep confirms otherwise in writing.

The order of steps is unusual. You apply online and may get an instant prequalified offer, choose a term and first draw, and sign the contract. Only after signing are you asked for three recent months of business bank statements for more underwriting [8]. Read the full agreement before you sign, not after the statements are in.

After you sign: payoffs, refunds and the record

We read three pages of Headway's newest Trustpilot reviews: 63 in all. Only seven carried an Invited or Verified label, so 56 were organic [10]. Seven of those 56 described trouble after signing. Two said they paid off early by wire or lump sum and were debited again anyway, one said an overpayment refund was still not back after three months, one said a hardship request was refused after on-time payments, one said the line was frozen without explanation, and others described payments taken on the wrong dates or a promised rate cut that never came [10].

BBB shows far fewer formal complaints: 6 in the last three years [11]. They include a disputed $3,048.79 payoff check and owners contesting how a defaulted account was reported under the personal guaranty [11].

On the regulator side, we found no action naming Headway Capital itself in our search of FTC, CFPB, New York AG and New Jersey AG sites. Its parent, Enova, was ordered by the CFPB in November 2023 to pay a $15 million penalty for debiting consumers' accounts without authorization on its CashNetUSA and NetCredit loans [13]. Those were consumer loans, not Headway lines, but the issue is close to what some Headway reviewers describe.

Before paying off, call 866.698.8494 and get the exact payoff amount and date in writing [2].
Pay off a few days ahead of the next scheduled debit, then watch your account until the next due date passes.
If a debit lands after payoff, dispute it with your bank and email support@headwaycapital.com the same day [2].
If you will miss a payment, call before the due date to ask about options [2].

Reviews, support and your data

Headway Capital review evidence, read Oct 21, 2026
Source	What we found
Trustpilot headline	3.9, 2,274 reviews, 84% five-star [10]
Our Trustpilot sample	63 reviews; 7 Invited or Verified (11%); 56 organic
Organic average	3.1 stars (27 five-star, 22 one-star)
Organic reviews citing high cost	22 of 56 (39%)
BBB complaints	6 in 3 years [11]
BBB reviews	2.09 stars across 11 reviews [12]

Headway's reviews split in two. Organic five-star reviewers praise fast draws and helpful reps, and a few still say the rate is too high. One-star reviewers almost all lead with cost, citing APRs from about 44% to over 80% [10]. Because so few of these reviews were invited, the 3.9 headline is a fairer picture than most funders' scores.

Support runs by phone at 866.698.8494, Monday to Friday, until 5:00 p.m. Central time, with a separate collections line at 866.698.9938 [4]. Headway says its customer service team is U.S. based [16]. Its privacy policy lists sharing with Enova and its affiliates, vendors, legal processes and business sales, not with outside lenders or brokers [5].

Alternatives to Headway Capital

OnDeck: also owned by Enova, and it publishes average APRs you can compare against.
Bluevine and Fundbox: other online lines of credit worth pricing against a Headway offer.
Best business lines of credit: our scored list.
Business line of credit guide: bank, online and SBA lines side by side.

In New Jersey, our list of New Jersey business lenders shows banks and state programs to try first, and Batch Capital, our funding team, can compare a Headway offer with others in dollars.

Frequently asked questions