What “business purpose” means
Federal Reserve Regulation Z (the implementing regulation for the Truth in Lending Act) draws a clear line between consumer-purpose and business-purpose credit. Buckle Up Capital facilitates only the latter. Business-purpose credit is used in connection with the borrower's business or trade — to acquire investment real estate, fund working capital for an active enterprise, finance equipment used in operations, or similar commercial uses.
What it is not
- It is not a personal mortgage on a primary residence.
- It is not a personal car loan or personal credit card.
- It is not a student loan.
- It is not financing for personal, family, or household use.
How we document it
On every transaction we work, the borrower signs a business-purpose certificationconfirming the use of funds. Where the property is residential by structure (e.g., a 1–4 unit rental held for investment), the certification documents the commercial nature of the borrower's relationship to that property. Where applicable, capital sources also collect their own business-purpose attestations.
Why it matters
Business-purpose lending operates under a different regulatory regime than consumer mortgages or consumer credit. It generally does not require a state mortgage license, does not trigger TILA/RESPA consumer-loan disclosures, and is governed instead by commercial contract law and state-specific commercial-financing disclosure laws where they apply.
See our State Disclosures page for commercial-financing disclosure language by state.
If you are seeking consumer credit
We are not a consumer lender. If you need a personal mortgage, a HELOC on your primary residence, a personal loan, or other consumer credit, we cannot help you and will direct you to a licensed consumer lender for those products.
Questions
Email compliance@buckleupcapital.com or see our Terms of Service.