Upstart Holdings announced that its subsidiary, Upstart Network, Inc., has entered into a new credit agreement for a senior secured revolving credit facility of up to $200 million. The facility is intended to provide financing flexibility for the establishment and initial capitalization of the planned Upstart Bank, N.A.
Key Details
- Agreement: A credit agreement for a $200 million senior secured revolving credit facility entered into on October 16, 2026, with MUFG Bank, Ltd. as administrative agent.
- Purpose: To fund general corporate purposes and the initial capitalization of the forthcoming Upstart Bank, N.A., which is still subject to regulatory approvals.
- Key Terms: The facility matures in 364 days or 45 days after the bank's initial capitalization, whichever is earlier. Borrowings bear interest at Term SOFR plus an initial margin of 3.00%.
- Covenants & Repayment: The agreement includes financial covenants requiring minimum liquidity of $100 million and a maximum secured leverage ratio. The facility is expected to be repaid with proceeds from affiliate loan sales to Upstart Bank shortly after it opens.