Wells Fargo, JP Morgan Chase, Bank Of America Small Business Loans—Will Lenders Do More In 2010?

Small businesses need access to capital to expand, grow, and hire new employees.  Also, small businesses are said to be the factor that can turn the unemployment situation around, but many are wondering if the three biggest lenders to small businesses, Wells Fargo, Bank of America, and JP Morgan Chase are going to offer those loans in 2010.

Wells Fargo, Bank of America, and JP Morgan Chase have been crucial in the beginning and survival of many small businesses in the past but reports of lenders tightening their lending practices have many worried that doing so is going to hinder economic growth and job creation.

Obviously, lenders like Wells Fargo, Bank of America, and JP Morgan Chase are looking out for their customers and investors when they tighten their lending practices.  Banks are concerned over just how stable the economy is and worried about defaults from lending to businesses that either may be struggling or haven’t even begun yet.

However, small businesses have the potential to grow in size, providing more jobs, but lenders like Wells Fargo, Bank of America, and JP Morgan Chase will have to begin lending more to small businesses.

The economy is seemingly on stable ground but problems in housing, which are a result of unemployment, are the biggest, if not the only, thing keeping our economy from growing again.  Hopefully, Wells Fargo, Bank of America, and JP Morgan Chase, along with other banks like CitiGroup, will begin lending again and the unemployment and housing problems will begin to mend.