After an SBA loan default, the SBA must take certain collection actions, the most common of which is referring the debt to the Department of Treasury for collection. However, in certain circumstances, the debt can be terminated or cancelled.
Resolving your SBA loan problem is not an easy road. But with proper legal representation, it can be accomplished. The following video explains termination of collection actions, write-offs and cancellation of debt. These are separate concepts in the SBA context. The SBA has the affirmative responsibility to try to collect delinquent debts that are owed to the agency, or referred to the
agency for collection. However, at some point in the collection process it may become evident that a debt is “uncollectible,” and it may be appropriate to terminate collection action, and/or write off
If you are facing an SBA loan default, contact us today for a FREE initial consultation with an experienced SBA workout attorney at 888-756-9969 or find us at www.sba-attorneys.com.
We will analyze your SBA loan problems and advise you on potential solutions such as an SBA offer in compromise for your SBA loan default.