Local Relationships Result in Lower SBA Loan Default Rates
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.
We Provide Nationwide Representation of Small Business Owners, Personal Guarantors, and Federal Debtors before the SBA and Treasury Department's Bureau of Fiscal Service
Book a Consultation CallOne strategy you may have chosen to address your SBA debt was to file for bankruptcy. You received your discharge, which absolved you of any personal liability for the SBA debt under your personal guarantee but you pledged your home as additional collateral for the SBA guaranteed loan. Unfortunately, the bankruptcy did not eliminate the lien on your home.
Many times, SBA debtors are under the mistaken belief that the bankruptcy discharges the lien or maybe the SBA debtors were otherwise unaware of the SBA lien. Other situations where an SBA lien release for consideration may arise include the death of a spouse, who was the sole personal guarantor on an SBA guaranteed loan leaving the surviving spouse to try and resolve the SBA lien; or a divorce wherein the non-liable spouse not only inherits the home, but also the SBA lien that runs with it.
Under certain circumstances, you may have the opportunity to negotiate a release of the SBA lien for consideration. In other words, you can offer to buy out the SBA lien. Several factors may go into what the amount of consideration will be, but the most important factor will be how much “equity” in the home is covered by the SBA lien. The SBA and/or third-party lender will analyze the value of your home, the amount of any senior liens, and the likely recovery in a forced sale. Our SBA Attorneys possess the knowledge and experience to negotiate SBA lien releases for consideration in these scenarios.
Naturally, the SBA and/or the third-party lender will want to extract as much money as possible from you. It’s best to have experienced SBA Attorneys on your side to help protect your interests and try to prevent the SBA or the bank from taking advantage of you and foreclosing the SBA lien they hold against your home.
If you are faced with an SBA lien on your home, contact Protect Law Group today for a Case Evaluation.
Under certain circumstances, you may have the opportunity to negotiate a release of the SBA lien for consideration. In other words, you can offer to buy out the SBA lien. Several factors may go into what the amount of consideration will be, but the most important factor will be how much “equity” in the home is covered by the SBA lien. The SBA and/or third-party lender will analyze the value of your home, the amount of any senior liens, and the likely recovery in a forced sale. Our SBA Attorneys possess the knowledge and experience to negotiate SBA lien releases for consideration in these scenarios.
Naturally, the SBA and/or the third-party lender will want to extract as much money as possible from you. It’s best to have experienced SBA Attorneys on your side to help protect your interests and try to prevent the SBA or the bank from taking advantage of you and foreclosing the SBA lien they hold against your home.
If you are faced with an SBA lien on your home, contact Protect Law Group today for a Case Evaluation.
Clients personally guaranteed an SBA 7(a) loan that was referred to the Department of Treasury for collection. Treasury claimed our clients owed over $220,000 once it added its statutory collection fees and interest. We were able to negotiate a significant reduction of the total claimed amount from $220,000 to $119,000, saving the clients over $100,000 by arguing for a waiver of the statutory 28%-30% administrative fees and costs.
Clients personally guaranteed SBA 504 loan balance of $337,000. The Third Party Lender had obtained a Judgment against the clients. We represented clients before the SBA and negotiated an SBA OIC that was accepted for $30,000.
Clients borrowed and personally guaranteed an SBA 7a loan. Clients defaulted on the SBA loan and were sued in federal district court for breach of contract. The SBA lender demanded the Client pledge several personal real estate properties as collateral to reinstate and secure the defaulted SBA loan. We were subsequently hired to intervene and aggressively defend the lawsuit. After several months of litigation, our attorneys negotiated a reinstatement of the SBA loan and a structured workout that did not involve any liens against the Client's personal real estate holdings.
.jpg)
