Lead and Loan Statuses

Reference guide for all possible OnboardingState and loan status values throughout the business funding lifecycle.

Lead and Loan Statuses

This reference covers the full set of status values returned across two stages of the business funding lifecycle: the loan application (lead) stage, tracked via the OnboardingState parameter, and the post-funding loan stage, tracked via the status parameter on the loans model. Understanding these statuses allows partners to build accurate UI flows, trigger appropriate notifications, and handle edge cases such as expired offers or defaults.

When to Use

Use this reference whenever your integration polls or receives webhook events for a business customer's funding application or active loan. Map each status to the appropriate action in your product — for example, prompting the customer to complete a Stage 1 application when OnboardingState is stage1incomplete, or flagging an account for review when status is Defaulted.

Application (Lead) Statuses

The OnboardingState parameter reflects the current stage of a loan application. It is returned on lead and application objects retrieved via the business funding endpoints.

Status	Description
`stage1incomplete`	The customer has started the application but has not yet completed it.
`stage1submitted`	The customer has submitted the loan application for review; it is currently under review by the loan provider.
`stage1rejected`	The application has been reviewed and rejected.
`ineligible`	The customer does not meet the eligibility criteria and the application has been rejected.
`rescinded`	The loan offer has expired and no further action can be taken.
`offersProvided`	Loan offers have been provided to the customer; the system is awaiting their response.
`offerAccepted`	The customer has accepted the loan offer.
`offersExpired`	The loan offer expired before the customer could take action.
`contractGenerated`	The loan contract has been generated and will soon be sent to the customer for signing.
`contractsent`	The contract has been sent to the customer for their signature.
`contractsigned`	The customer has signed the contract, completing this stage of the loan process.
`readytofund`	All checks have passed and the lead is ready to be funded.

Typical Application Flow

stage1incomplete
    └─> stage1submitted
            ├─> stage1rejected   (terminal)
            ├─> ineligible       (terminal)
            └─> offersProvided
                    ├─> offersExpired    (terminal)
                    ├─> rescinded        (terminal)
                    └─> offerAccepted
                            └─> contractGenerated
                                    └─> contractsent
                                            └─> contractsigned
                                                    └─> readytofund

Loan (Post-Funding) Statuses

After a loan has been funded, the status field on the loans model reflects the current repayment and lifecycle state. Always check this field (rather than OnboardingState) for funded loans.

Status	Description
`Unfunded`	The financing has been set up but the transfer has not yet been requested.
`Requested Funding`	Funding is in progress; the money will soon be deposited into the customer's account.
`Partially Funded`	Part of the funding has been sent. This state is used only for specific merchants that have requested disbursement in multiple amounts.
`Funded`	The loan amount has been successfully funded and is currently in the customer's financial account.
`Funded (Pending Settlement)`	The loan amount is in the customer's financial account but is awaiting final settlement.
`Deleted`	The financing has been deleted.
`Pending Repaid`	The final payment has been requested and will mark the loan as Repaid, but the payment has not yet been received. Used only for financings repaying via Direct Debit.
`Repaid`	The loan has been fully repaid and no further payments are due.
`Discounted Settlement`	The loan has been settled for less than the full amount owed, typically through a lender-borrower agreement to resolve the debt at a reduced amount.
`Defaulted`	The borrower has failed to make payments as agreed, resulting in the loan being classified as non-performing and potentially triggering collection actions.
`Written Off`	The lender has determined the loan is unlikely to be recovered and has recorded it as a loss. Collection efforts may still continue.

Typical Loan Lifecycle

Unfunded
    └─> Requested Funding
            └─> Partially Funded (specific merchants only)
            └─> Funded
                    └─> Funded (Pending Settlement)
                            └─> Repaid          (terminal — good standing)
                            └─> Pending Repaid  (Direct Debit only)
                                    └─> Repaid
                            └─> Discounted Settlement  (terminal)
                            └─> Defaulted
                                    └─> Written Off    (terminal)
Deleted  (terminal — removed before funding)

Common Mistakes

Treating stage1rejected and ineligible as the same state — stage1rejected means the application was reviewed and denied on its merits, while ineligible means the customer failed pre-qualification criteria before full review.
Polling OnboardingState after a loan is funded — once a lead reaches readytofund and transitions to a loan object, use the status field on the loans model instead.
Assuming offersExpired and rescinded are equivalent — offersExpired means the offer window lapsed without customer action, while rescinded means the offer was actively withdrawn.
Not handling Partially Funded in disbursement logic — this state only applies to select merchants and should not be treated as an error condition.
Marking an account closed when status is Written Off — collection efforts may still continue after write-off.

Related Endpoints

POST /api/business-funding/v1/leads — Create a new business funding lead
GET /api/business-funding/v1/leads/{leadId} — Retrieve lead details including OnboardingState
GET /api/business-funding/v1/loans/{loanId} — Retrieve loan details including status
GET /api/business-funding/v1/loans — List all loans for a business customer