Salem Five Cents Savings Bank
SBA Preferred Lender in MA: SBA 7(a) and Express up to $5M, 8.75% median rate (last 12 months), no published credit minimum, collateral required. Best for established MA firms.
Rates & Cost
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Repayment Terms
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Eligibility & Access
Who qualifies and what you have to put on the line.
Speed & Service
How fast you get funded and how the lender treats you.
Company Verification
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Best for: Established Massachusetts businesses that want an SBA Express loan or line of $25,000 to $360,000 from a local bank.
Not for: Unopened startups (despite the bank's early-stage pitch, approvals skew established), borrowers outside MA and NH, or anyone needing posted rates.
Lender List verdict: Salem Five Bank approved 36 SBA 7(a) loans worth $9.2 million in the year to June 2026, at an 8.75% median starting rate, with zero charge-offs since FY2020. A solid pick for established firms wanting a sub-$500K Express line backed by collateral.
Salem Five Bank reviews: at a glance
| Salem Five | |
|---|---|
| Lender type | FDIC-insured mutual savings bank (cert 23296); SBA Preferred Lender |
| Founded / HQ | 1855 / Salem, Massachusetts |
| Products | SBA 7(a) and Express up to $5 million; mostly 10-year terms |
| Cost | 8.75% median starting rate (last 12 months) |
| Funding speed | About 30 days (Express) to 60 to 90 days (standard 7(a)) |
| Status | Active |
What is Salem Five Cents Savings Bank?
Salem Five Cents Savings Bank is a Salem, Massachusetts mutual bank, founded 1855, with $8.82 billion in assets and 34 offices at June 30, 2026. It has no stockholders; its holding company is Salem Five Bancorp.
How Salem Five's SBA loans work
Salem Five made 26 SBA Express, 8 Preferred Lender and 2 working-capital 7(a) loans in the year to June 2026, averaging $255,528. FY2025 brought 75 approvals ($14.1 million); FY2026 through June, 23 ($7.14 million).
- SBA Express: typically $100,000, from $25,000 to $360,000
- Preferred Lender 7(a): typically $150,000; one reached $5 million since FY2020
- Lines: 22 of 36 were revolving
- Terms: 120 months on 24 of 36 loans
Source: SBA 7(a) FOIA data, FY2020–present, as of June 30, 2026 (data.sba.gov)
Salem Five SBA rates and fees
Salem Five's median SBA starting rate was 8.75% on loans approved July 2025 to June 2026, 1.75 points over today's 7.00% Prime; the bank posts no rates. Add the SBA guaranty fee: 3% of the guaranteed share on $150,001 to $700,000.
Worked example: a $350,000, 10-year 7(a) at 8.75% costs $4,386.44 a month, or $176,372.35 in interest. The $7,875 guaranty fee lifts the APR to about 9.28%, under the SBA's 11.5% variable ceiling here.
Salem Five requirements
Salem Five publishes no credit or revenue minimum.
| Requirement | Salem Five minimum |
|---|---|
| Size | Small under SBA size standards |
| Credit score | Lender does not publish |
| Equity injection | 10%+ for startups and business purchases |
| Collateral / guarantee | Collateral on all 36 recent loans; guarantee from 20%+ owners |
Browse SBA Express and SBA 7(a) lenders, or compare New England peers Liberty Bank (more startup-friendly) and Bankwell Bank (larger loans).
Frequently asked questions about Salem Five
Is Salem Five a Good Bank? Yes, for SBA borrowers. Salem Five has operated since 1855, is FDIC-insured, held $8.82 billion in assets at June 30, 2026, and is an SBA Preferred Lender. SBA data shows zero charge-offs among its 291 7(a) loans since FY2020.
Does Salem Five Offer SBA Express Loans? Yes. SBA Express made up 26 of Salem Five's 36 SBA approvals in the year to June 2026, from $25,000 to $360,000, at a median 8.75%. Express is capped at $500,000 with a 50% SBA guaranty; bigger requests go through Preferred Lender 7(a).
How Long Does Salem Five Take to Close an SBA Loan? Plan on roughly 30 days for SBA Express and often 60 to 90 days to funding for a standard 7(a). As a Preferred Lender, Salem Five approves in-house without waiting for SBA review. Call (800) 850-5000 to reach a business banker.
Does Salem Five Lend to Startups? Rarely. None of its 36 SBA loans in the year to June 2026 funded a business not yet open, and 5 went to firms two years old or younger. Since FY2020, just 5 of 291 were true startups. Its SBA page courts early-stage firms; the data favor established ones.
Last verified 2026-10-27. Pricing and terms are provider-stated or third-party-reported and vary by offer; confirm with the lender before applying.
Best for: Established Massachusetts businesses that want an SBA Express loan or line of $25,000 to $360,000 from a local bank.
Not for: Unopened startups (despite the bank's early-stage pitch, approvals skew established), borrowers outside MA and NH, or anyone needing posted rates.
Lender List verdict: Salem Five Bank approved 36 SBA 7(a) loans worth $9.2 million in the year to June 2026, at an 8.75% median starting rate, with zero charge-offs since FY2020. A solid pick for established firms wanting a sub-$500K Express line backed by collateral.
Salem Five Bank reviews: at a glance
| Salem Five | |
|---|---|
| Lender type | FDIC-insured mutual savings bank (cert 23296); SBA Preferred Lender |
| Founded / HQ | 1855 / Salem, Massachusetts |
| Products | SBA 7(a) and Express up to $5 million; mostly 10-year terms |
| Cost | 8.75% median starting rate (last 12 months) |
| Funding speed | About 30 days (Express) to 60 to 90 days (standard 7(a)) |
| Status | Active |
What is Salem Five Cents Savings Bank?
Salem Five Cents Savings Bank is a Salem, Massachusetts mutual bank, founded 1855, with $8.82 billion in assets and 34 offices at June 30, 2026. It has no stockholders; its holding company is Salem Five Bancorp.
How Salem Five's SBA loans work
Salem Five made 26 SBA Express, 8 Preferred Lender and 2 working-capital 7(a) loans in the year to June 2026, averaging $255,528. FY2025 brought 75 approvals ($14.1 million); FY2026 through June, 23 ($7.14 million).
- SBA Express: typically $100,000, from $25,000 to $360,000
- Preferred Lender 7(a): typically $150,000; one reached $5 million since FY2020
- Lines: 22 of 36 were revolving
- Terms: 120 months on 24 of 36 loans
Source: SBA 7(a) FOIA data, FY2020–present, as of June 30, 2026 (data.sba.gov)
Salem Five SBA rates and fees
Salem Five's median SBA starting rate was 8.75% on loans approved July 2025 to June 2026, 1.75 points over today's 7.00% Prime; the bank posts no rates. Add the SBA guaranty fee: 3% of the guaranteed share on $150,001 to $700,000.
Worked example: a $350,000, 10-year 7(a) at 8.75% costs $4,386.44 a month, or $176,372.35 in interest. The $7,875 guaranty fee lifts the APR to about 9.28%, under the SBA's 11.5% variable ceiling here.
Salem Five requirements
Salem Five publishes no credit or revenue minimum.
| Requirement | Salem Five minimum |
|---|---|
| Size | Small under SBA size standards |
| Credit score | Lender does not publish |
| Equity injection | 10%+ for startups and business purchases |
| Collateral / guarantee | Collateral on all 36 recent loans; guarantee from 20%+ owners |
Browse SBA Express and SBA 7(a) lenders, or compare New England peers Liberty Bank (more startup-friendly) and Bankwell Bank (larger loans).
Frequently asked questions about Salem Five
Is Salem Five a Good Bank? Yes, for SBA borrowers. Salem Five has operated since 1855, is FDIC-insured, held $8.82 billion in assets at June 30, 2026, and is an SBA Preferred Lender. SBA data shows zero charge-offs among its 291 7(a) loans since FY2020.
Does Salem Five Offer SBA Express Loans? Yes. SBA Express made up 26 of Salem Five's 36 SBA approvals in the year to June 2026, from $25,000 to $360,000, at a median 8.75%. Express is capped at $500,000 with a 50% SBA guaranty; bigger requests go through Preferred Lender 7(a).
How Long Does Salem Five Take to Close an SBA Loan? Plan on roughly 30 days for SBA Express and often 60 to 90 days to funding for a standard 7(a). As a Preferred Lender, Salem Five approves in-house without waiting for SBA review. Call (800) 850-5000 to reach a business banker.
Does Salem Five Lend to Startups? Rarely. None of its 36 SBA loans in the year to June 2026 funded a business not yet open, and 5 went to firms two years old or younger. Since FY2020, just 5 of 291 were true startups. Its SBA page courts early-stage firms; the data favor established ones.
Last verified 2026-10-27. Pricing and terms are provider-stated or third-party-reported and vary by offer; confirm with the lender before applying.
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