Loans in Singapore

Private Placement Loans - Alternative Mortgage Financing for Buying and Refinancing Properties

admin — Sat, 31 Dec 2011 11:56:05 +0000

With current interest rates hitting historic lows, one would assume it should be easier than ever to obtain a mortgage loan, especially since the mortgage payments are more affordable due to lower interest rates.

However, pretty much 100% of loan products offered by institutional lenders today are strictly “prime” loans and they are available only to the best qualified borrowers with perfect, or nearly perfect credit, income, and employment. In addition, the property, which serves as collateral, must be in top shape as well to qualify.

One of the most significant bi-products of the most recent financial crisis, and the ensuing “great recession,” was effective disappearance of “alternative,” also called “non-prime,” mortgage loan products.

In the past, when borrowers buying or refinancing property did not have a high enough credit score but had solid jobs and incomes, they could qualify for alternative mortgage loans which compensated for the extra risk with higher interest rates.

Lenders which were making these types of loans demanded between one to three percentage points higher interest rates than those on the “prime” loans. The higher rates were deemed sufficient to compensate for the extra lending risk.

In today’s market that would make the interest rates on “non-prime” mortgages around 5% - 7%. However, a plethora of strict financial regulations and the effective disappearance of the private secondary mortgage market virtually eliminated these mortgages.

At the same time, due to the tough economic times, many real estate buyers and owners who have solid down payments or good equity in their properties, cannot qualify for prime mortgages due to lower FICO credit scores or because they are not meeting some other loan qualifying requirement.

In some cases, it is the property, not the borrower, which does not qualify for the financing. This is common in case of purchase or refinance of foreclosure properties or the so-called “fixer-uppers,” which are properties requiring significant repairs.

Private Placement loans, some time called “Bridge Financing” or “Hard Money,” can provide a viable financing alternative for borrowers or properties, which do not qualify for the prime loans.

What is a Private Placement loan? In short, it is a mortgage loan funded through a non-institutional lender such as non-public pension fund, IRA retirement account, hedge fund, investment group, mortgage broker, and/or private lender, which is primarily asset-based.

These loans require higher down payments (purchase), or substantial equity positions (refinancing). In some cases multiple properties can be cross-collateralized as a security for the loan.

Typically, the Private Placement loans are short-term (two to five years) and it they are used as temporary (bridge) financing, not a permanent loan. Here are two real-life examples how this type of financing was used effectively.

Bob (name has been changed) was a real estate investor who wanted to purchase a short-sale condominium property at a substantial discount. Bob was a solid borrower with excellent credit, job, income, and a large down payment. However, the project in which the condo was located had a pending litigation between the Homeowners Association and the developer.

None of the prime lenders would not lend on it, even though the condo unit was not directly involved in the lawsuit. Bob got a really good price on the condo, which was about 30% below the market value.

He put a considerable down payment and our firm obtained for him a Private Placement loan, which funded in about three weeks. Bob thinks will sell, refinance, or pay off the property within three years. In the meantime, this condo is an excellent investment rental for which he paid about 70 cents on a dollar.

The second example illustrates how Private Placement was used to assist property owners with saving their equity through refinancing. Mark and Joan (names have been changed) were successful business owners and operators for over 30 years. They owned a commercial building and several income properties, most of which had significant equities.

After Mark was diagnosed with serious illness and could no longer work, their business deteriorated and eventually had to be closed down. Their primary source of income was gone and so were their savings and good credit rating.

Soon they defaulted on their mortgages and the bank called the loans due and payable. The lender started the foreclosure and Mark and Joan were unable to refinance their properties due to poor credit rating and reduced income. In addition, there was some deferred maintenance on their properties, which made them very difficult to sell in as is condition.

When Joan contacted us, their situation was urgent. They had no funds to cure the defaults and they were about to lose their properties with substantial equities. Our firm was able to arrange a Private Placement Loan with a non-institutional lender, which was funded in about four weeks.

The new mortgage paid off all existing loans and gave Mark and Joan much needed cash reserves, including additional funds to fix up the properties. About one year later, Joan was able to sell their commercial and income properties and cash out their equities. The private placement loan was paid off in full and the borrowers saved hundreds of thousands of dollars in equity.

Here are basic characteristics of Private Placement financing:

Loan must be secured by real estate (all types of properties are considered, cross-collateral can be accepted)
Loan-to-Value (LTV): 50% - 75% of the appraised value (lower in case of vacant land)
Loan amounts range between $100,000 to $5,000,000+
Typical loan term: 2 - 5 years (longer terms are available)
Typical interest rates: 8.9% - 12.9%
Quick funding, usually in 3 - 5 weeks

Obviously, Private Placement loans are not appropriate for every lending situation and seldom are used as permanent or long-term financing. They require solid equity and the interest rates are higher than those of prime loans. However, these kinds of loans can be especially useful when prime lenders are unwilling or unable to lend due to borrower or property requirements and/or when there is a need for a quick funding.

In most cases Private Placement loans are used as “bridge” financing, allowing borrowers to either quickly acquire an attractive property or to refinance their property in order to preserve equity or get a cash-out. The typical exist strategies are refinancing or sale of the property.

Robert W. Dudek is a Chief Lending Officer at Statewide Home Loan Corporation, San Diego, CA, USA. Statewide Home Loan Corp. is a mortgage brokerage company specializing in mortgage planning services and providing real estate financing to purchase and refinance residential and commercial properties located in California and Hawaii. For more information please visit http://www.shlc.com or call 1-800-507-9990.

What Creates A Financial Mess And How To Get Out Of It?

admin — Fri, 30 Dec 2011 11:55:22 +0000

The economy is in an unstable state. Add to it poorly managed finances, and the result is a complete mess. The costs of materials and natural resources are rising, along with continuous rising health plans and taxes. All this as well as other expenses and you have a hugely escalated cost of living. That is why the wrong financial decisions could land anyone with debt and bad credit.

Where is the road to complete financial mess? Well, it is right off the highway of the “got to have it all” attitude! Yes, if you tend to spend on luxuries that are beyond your means and completely unnecessary, then you will soon be over the edge monetarily causing stress for yourself and your family. Debt has become an invisible family member for most American families, as they have been living with it for years now. This is not a healthy practice, but there is no way out, as most live from paycheck to paycheck.

Debt continues to pile up when we are unable to control additional shopping sprees that are put on a credit card and forgotten. If unpaid, the interest on the credit card debt begins to accumulate and before you know, you are paying a huge monthly interest while the principal debt remains the same. As bills accumulate, the financial burden also escalates accordingly, and so does the stress. This stress of facing a huge financial roadblock is near impossible to overcome.

The Road To Recovery

The good news is that you can get control of your finances! The recovery process begins with slowing down and taking stock of what is valuable in your life. Make a note of your assets, income, and the minimum expenditure that you can incur. Understand where your money is going compared to how much is coming in, and simplify your needs.

You have to move forward, and for the same, you need to work on your choices whether it is a debt consolidation agency or the course of filing for bankruptcy. Once you are ready to take control of your money, here is how you can create a smart financial plan:

* Draft a budget based on your income and your debt.

* Cut back on unnecessary spending. If you are not really sure where all the money goes, then make a note of your spending. After a few weeks you will know where your money is going. Save wherever you can by reducing entertainment costs- rent a movie instead of going to the theater, eat at home instead of dining out, etc.

* Pay the debt with the highest interest rate first. Then take up other debts.

* Do away with your credit cards. Do not carry them, as they are a constant temptation to make a purchase.

* Always have a financial backup ready. Start building it now, if you don’t have one. You can do this by putting money aside to cover three to six months of basic expenses.

* Consult a financial expert who can review your finances and plans for the future.

These steps will surely relieve you of financial stress. In the case of a financial emergency, a loan may be turned down by major financial institutions due to poor credit. In this case, you may want to consider a title loan. Many states across the United States offer title loans including California. The name most Californians trust is City Loan Fast Cash is made available to borrowers in as little as 15 minutes.

The writer is a legal consultant with City Loan Long Beach, the leading providers of title loans in the State of California.

How to Get a Loan With a Bad Credit History

admin — Thu, 29 Dec 2011 11:54:54 +0000

What is your credit history? Your credit history refers to any loan payment you did not make, or any late payments, bankruptcies or the loan requests you may have put forward. These are all taken into consideration when someone checks your credit. A bank officer who checks that knows that he is considering a client with an increased risk of not paying back the loan, as these records may indicate high chances of you making late payments or defaulting loans.

Bad Credit Personal Loan Lenders

However, if you are stuck in a similar situation, you do not necessarily have to worry; there are institutions and agencies that cater to people with a less than respectable credit history. But it is very important to be aware of the fact that these institutions will probably charge you an increased interest rate because people with previous problems in paying back a loan are a higher risk. Whatever the conditions are, your credit history will still definitely be looked up and thoroughly scrutinized before you can apply for a loan. However, it is not something to stress about, there are ways for you to up your chances of getting you loan approved even if you have bad financial history.

Bad Credit Secured Personal Loans

If you have a house or any other valuable possession, you can use it as collateral. This way, you can use it to get an unsecured loan. Using this type of a loan, your credit history becomes less of a priority than the value of your assets. This means that if you cannot make the loan, the lender will have a clear right to your possession that you have put up for collateral.

Ensuring the right loan amount

Another great way to make your loan is to decrease the amount you need. The larger your loan, the higher the interest and the less chances of you actually getting the loan. Make sure you ask for only an absolutely necessary loan.

Do not Miss Payments

It is absolutely essential for you to not miss any payments. You have to ensure that you pay all your bills on time, and that your loan installments are always current. Late payments might make it harder for your loan to get approved. Most people miss the significance of this, and often are unable to get a loan because of this.

The Right Type of Lenders

If your credit is not up to par, do not spend too much time visiting banks and other normal alternatives. They are generally unlikely to help you. You should look at institutions that are committed to helping people like you; they are more likely to grant you a loan.

Find an Online Lender

A good tip for you is to look for your lender online. Online lenders are often the best, as they function almost entirely online; they are more likely to have fewer costs, and thus might charge you a significantly lower interest rate. There are also some online businesses who list many lenders in a single website so you do not need to go all over the internet searching for the right lender.

Mary Wise is a personal loan consultant who has been associated with Guaranteed Bad Credit Personal Loans and has more than thirty years of experience in finances. She has helped a lot of people to obtain Bad Credit Home Equity Loan, and many other products regardless of their credit situation. If you want to learn more about Personal Loans you can visit her at BadCreditLoanServices.com

Understanding Chattel Mortgage

admin — Wed, 28 Dec 2011 11:54:23 +0000

A chattel mortgage caters to the various types of companies needing a motor vehicle loan. There are some conditions attached to a chattel which include the vehicle in question must be at least 50% used for the company’s business needs. Other conditions may include no exit fees or early termination fees besides those that are similar to any normal car loan contract.

Operations of loan

Chattel is an ancient English term for fixed items or property. A mortgage allows the repayment of the loan taken out on a business vehicle to be made over the vehicle’s lifespan. This type of loan does not require the business vehicle’s full value to be accorded on the date of purchase; repayments of the vehicle loan are on a monthly basis to allow a deferment of cash outflow to the future. There is a variation period on the chattel depending on the company’s preference.

Many finance companies which offer chattel have a chattel mortgage calculator which computes the estimated amount of repayment on the vehicle loan.

Takers of chattel mortgage

As chattel mortgage caters to business vehicles, most of the takers of chattel would be business corporations with more than one business vehicle. These vehicles need to be renewed or replaced to continue servicing the companies’ operations.

Chattel mortgage is also highly favored by sole traders seeking for new vehicle purchases with an ABN. There are some consumers with good credit scores who would want to consider a as such loans require very little documentation to be approved.

Available Benefits

The many benefits with a chattel mortgage make it favorable to its takers. One of the benefits is that the vehicle is considered the owner’s legal possession even with the mortgage contract. Repayment can be deferred while the business can commence generating income on the said vehicle. Hence, the owner need not foot out a lot of cash to service the repayment so fast.

It is possible to enjoy certain tax benefits as a business vehicle while a 100% loan can be secured. can be taken on new or used vehicles; even privately sold cars can enjoy a mortgage option. Loans from a chattel mortgage can run between $5000 and $1 million.

Many finance companies offer chattel mortgage as this option is a favorite with business companies. Such loans can be processed very quickly within the same business day for the convenience of the company to start generating income from the vehicle.

If you’re looking for affordable caravan loans for your next caravan or motorhome then look no further than GetApproved Finance. We can provide an obligation free pre-approval and a Fantastic Rates on business car loans. Save time when you apply online for a boat loans Australia with Get Approved Finance.

Best Practices When You Go Looking for Bad Credit Loans

admin — Tue, 27 Dec 2011 11:53:54 +0000

How bad does your credit have to be that you would need to go out hunting desperately for bad credit loans? Basically, anything under 620 is considered reasonably bad. Bad credit loans are undesirable of course, because these lenders a look at your credit score, think that if you have trouble paying your credit card bills, you might have trouble paying their loans back too. And so, they charge you extra for the risky business they’re doing with you.

It usually doesn’t come as a surprise to a borrower that he’s considered a high risk bet. People notice right away when their credit score begins to slip below 700. They know that they are going to have trouble qualifying for a personal loan of any kind.

The thing is, perhaps the term “bad credit loan” is a bit misleading. The interest you end up paying on a loan will differ depending on the exact credit score you have. What that means is, if your score is 620, that’s quite a bit better than a credit score of 600. Every point that you manage to pull your credit score up by, you’ll benefit from it.

Anyway, not every lender is in agreement with what exactly to charge someone with a low credit score. You may have to ask more than one lender to find out what they think. In the end, you could find out that you’re working with a whole range of interest rates and not just one fixed rate.

The first thing you want to do before you decide to apply for bad credit loans is to estimate how much exactly you’ll need or can make do with. Remember, borrowing more than you need, even if it’s a reasonable interest rate, will result in your having to pay a lot of money in interest. And if you are borrowing at a relatively high interest rate, all you have to do to subjectively lower the interest for yourself is to just borrow less money. If you could cut down on your needs, even borrowing at a higher rate of interest wouldn’t be so bad. In the end, you wouldn’t end up paying that much in interest.

A secured loan is always a great way of slashing interest rates. When you put up collateral - your home, your car or something - the lender has something to guarantee your loan by. His risk isn’t that high anymore and he’ll lower the interest rate. If you’re on the market for bad credit loans, the first thing you do is to look for something - anything - that you can put up as collateral. Jewelry, a car, music instruments - anything.

And finally, never sign on anything until you ask at least half a dozen lenders what their lowest possible rate is.

How to Refinance a Subprime Mortgage

admin — Mon, 26 Dec 2011 11:53:25 +0000

If you have a subprime mortgage and you want to refinance you will need to read the following instructions. The instructions are a bit challenging, but you will be able to know the process required for you to refinance your mortgage at the end of the steps. You will need to find the following documents to begin these steps:

Most current mortgage statement

Insurance papers

Property taxes for the property

Let’s begin with step 1.

Step 1: You will want to contact a minimum of three lenders to find out what the current offerings for refinance are. Start with your current lender to see if they handle refinancing. If not, you may get a referral list from the lender. You can go on line, contact local banks and credit unions, or try one of the larger banking institutions. You will want to know the current interest offer, the cost of closing, and the new monthly payment for the refinanced loan. Be sure that you ask each lender to send you their offers in writing. You will want to put them side by side to compare the costs of each.

Step 2: Read and evaluate each of the offers from the lenders. You want to make sure which has the lowest interest rate and which has the fewer closing costs. If you find a lender with a lower interest rate, but higher fees associated with closing, you may not benefit as much as with the lender that offers a bit higher interest but lower closing fees. Compare carefully to decide which lender will benefit you the most.

Step 3: You have selected the lender that you want to apply for refinancing with. Speak with the lender about the length of mortgage terms. You may want to go with a slightly higher payment amount that will be paid in 15 years versus a lower interest rate, but payable over a longer period of time.

Step 4: Get an application and fill it out completely and accurately. The lender will ask for documents to verify your income and your liabilities. You will slow down the refinance process if you don’t have the documents ready and the lender must wait for you to get them in one at a time.

Step 5: Once your application has been approved the lender will set a closing date. This is where you meet at the selected location to sign paperwork. This process is like the process that you went through when you made your first mortgage on your home.

If you want to get more information on how to refinance a subprime mortgage, please visit the website of Steven Merkins: How Much is Private Mortgage Insurance and How to Build Equity in Your Home

Outsiders Applying For A Foreigner Loan

admin — Sun, 25 Dec 2011 11:53:00 +0000

There is nothing like being at home! The saying is so true when you are pursuing a loan in a foreign country. Foreigner loans are so hard to come by. It is all about trusting each other and nowadays that is out of the window.

There are numerous cases of people applying for loans and failing to repay. It is something common, even when the lender and borrower are natives. So what do you expect when people are coming from a foreign land and applying for a loan? Lender has to keep track of the borrower during the repayment period. This becomes difficult when it is a foreigner in question. Usually foreigner loan is availed after the borrower provides some security. Well that is not always possible in this case. Or to say the borrower has no option of providing any asset because his assets are most probably back in his hometown. The lenders will have a problem with that, as they will have no intention of running across countries to get their money back. There might be people who have come to settle in another country and acquired assets during their stay. How about now you may ask. Now the query changes to citizenship. If one is not a citizen of that country legal actions cannot be taken if the borrower is to plan a getaway with the loan amount. The complications increase as we go deeper in to the discussion.

Basically we approach the government institutions for the funding. That is where the catch lies. They insist you have citizenship and home grown assets so that they can take control of the situation. The borrower may have no intention of getting away with the foreigner loan amount. But just giving a guarantee of that sort in words or paper doesn’t get you the loan. Formalities are formalities in a government run institution. From a third person perspective, the institution is being cautious and has the right to do so. So unless and until proper documents are set on table the loan stays in your dreams. This can be put right if you have a willing co-signer who is a native. The institution will take into account the native’s assets and that will develop their trust in you. The borrower will then have to show his credit records, current personal income and other track records. If it is deemed satisfactory then you will have the loan even before you know it. Also the assurance to make a down payment can multiply the trust in you.

These formalities can be skipped if you can make a private broker trust you and your financial capabilities. It isn’t compulsory that you have citizenship or assets. It will be enough if you can get the lender to believe you are going to repay. There are a lot of private brokers out in foreign lands who can be contacted via internet. Just send them your financial records and if they find it good you will have your foreigner loan. Down payment is mostly necessary when it comes to approaching a private broker.

So don’t be disheartened when you find a closed door when approaching on a foreigner loan. Look around because you might be standing next to a more welcoming one.

Andy runs a money lending business in Singapore called Gain Credit which specialised in providing various loan solutions such as foreigner loan, personal loan and private property loan to needy businesses and individuals. Check out his website Gain Credit for more information.

Loan Policies, Not So Warm for Foreigners!

admin — Sat, 24 Dec 2011 11:52:35 +0000

You are away from home. You are alone. You need financial support. You turn towards a bank in the foreign land. What do you expect to get? A very big “No” most probably. It should come as no surprise because we would be just as unwilling to lend money to someone who isn’t part of your family or home. Now how do we deal with it?

It is so simple. If you need any sort of help in terms of money, knowing the person whom you are asking, would do you a great deal of good. It is a question of whether the lender believes in you to return his money. Banks and government agencies lending out money have strict guidelines when it comes to dealing with immigrants. The height of strictness varies from country to country. But almost in every country you will be denied a foreigner loan if you are not a hometown lad. Basically any loan procedure involves presenting a security. A security would be your asset or property. But the borrower is unlikely to have any asset in the foreign land. Also the lenders won’t approve of whatever assets that may be available to you back in your homeland. If at all any complications arise with the repayment of the loan amount they won’t be able to seize your asset which is not under their government’s land.

“I have been living here for the past this much years and I own property, here, in your country. Can I get a loan for this much amount?” It is likely that with some banks or financial institutions you may be granted a loan. You may have to also back it up with good personal records, income stream and a bank balance that is capable of making a down payment. Still there is another qualification that most countries demand. They insist that the borrower have the citizenship of their country. Getting a citizenship solves the problem. But as we are talking about foreigner loans that solution doesn’t apply here. Now the borrower may be in that country for studies or other job purposes. The way out would be to find a backer or, in banking terms, a co-signer who is residing in that country. The security will be the native’s assets and any legal action can be taken against the co-signer lest the borrower fails to play by the rules. But getting a co-signer is very difficult and mostly natives don’t put their head into such matters. They always play safe.

But the options don’t end there. There are numerous private financiers who would be willing to help you out. You will just have to give them what they want to see - bank balance, streaming income and good credit statistics. You will get a loan on foreign land in no time at all. In short you will be granted a foreigner loan! Internet can be used to get an insight on the available lenders near your place and they will setup a meeting with you after going through the info that you submitted regarding your financial standings.

So what are you fretting about? There are helping hands all around you. Make sure you poke at the right places. Also be honest about the financial numbers with your lenders and you can be sure that the favour will be returned.

Andy runs a money lending business in Singapore called Gain Credit which specialised in providing various loan solutions such as personal loan, payday loan and private property loan to needy businesses and individuals. Check out his website GainCredit.sg for more information.

Applying For Loans Online - Pros and Cons

admin — Fri, 23 Dec 2011 11:52:10 +0000

Sending emails and going to social networking sites aren’t the only things that you can do with the internet. These days, you can have full access to your bank account. You can send and receive money. You may even apply for a loan online.

However, when you are going to apply through this method, you might experience a few glitches. But, of course, there are also sides that can help your endeavor become successful.

The first thing that will come to your mind when talking about advantages is the convenience of this method. You might already have your computer and access to the internet. The next thing that you just need to do is to look for a bank to transact with.

It is almost as if you will not be putting in any amount of effort. There is no more need to get out of the house or take a leave from the office for a while to go to the bank. You are also saved from having to fall in line and wait for your turn to be served. You can apply anytime that you want, even in the wee hours of the morning.

Most of the loans that are offered online do not require you to have a good credit rating for your application to be approved. They will just require you to show your identification and a proof of income. This can be a good option for those who have bad credit but badly need to borrow some money.

Despite the ease and speed of approval, there can be some things that will make one think twice before applying for a loan online. The most common issue is the high interest rate. The interest rates are significantly higher than in other methods or types of loans. This is why this might only be best for those who urgently need the money. When you can still wait for some time, you should avoid applying online as you might have a hard time trying to pay off the money that you have borrowed together with the interest rate.

Aside from the problem with the interest rate, you might need to pay some fees. More often than not, these fees are of considerable amounts. But then again, as you are able to borrow money from such a short notice and without the need for your credit rating, this can make the fees a little acceptable.

When you have borrowed money from a bank with regular loans and plans, your repayment scheme can be a little less stressful. However, for loans that you applied for online, you might need to make repayments as soon as possible. You will not be given years to pay back what you have borrowed. Most repayment schemes only last a few months.

Applying for a loan online can also be risky. If you are not careful enough, you might be giving your pertinent personal information to the wrong hands. Sometimes, the risk can also be noticed in the terms and conditions that the company have.

Willie Rhoades is a finance analyst who enjoys writing about bad credit credit cards and no credit check credit cards as well as other related topics.

SBA Loan Settlement: What About Your Landlord and Seller Note?

admin — Thu, 22 Dec 2011 11:51:42 +0000

In addition to SBA guaranteed debt, many failing businesses must deal with two other obligations that aren’t discussed too much: landlords and former owners who agreed to finance part of the acquisition cost.

In my experience, the more creditors that a borrower has, the more complicated their situation gets. I always liken trying to settle with multiple banks to herding cats. Their decision making is not always predictable, and the speed at which they make decisions is pretty much impossible to guess. With that said, most of my clients have at least two creditors that need to be dealt with. The two most common creditors are landlords and former business owners. Let’s address the most common questions I get about both of them:

Can my landlord sue me? If you were named as the lessee on the lease, or as a personal guarantor, it’s likely that you are personally liable for the lease payments. In this rough economy, some landlords don’t require personal guarantees in order to entice businesses to rent from them. Obviously, it’s very important to know whether or not you are personally liable.

Will landlords settle? Most will consider a settlement, especially if you lack the resources to pay the lease and the landlord is aware of this fact.

How can I get out of my lease if my business is going to close? The most common method I see is to find someone to buy or take over your business. Even if you don’t get much for the business, convincing the landlord to allow you out of the lease if you can find a replacement can save you hundreds of thousands of dollars that a lease might obligate you to pay.

What does it mean for me if the bank required the seller note to be subordinate to the bank debt? It basically means that the seller has to wait in line to take action against you if you default. In most subordination documentation, it prohibits the seller from taking action against the collateral without the banks approval, and that’s because the bank is first in line in a liquidation situation. The subordination may keep the seller at bay for a bit, but if your business fails, it’s only a matter of time before the seller comes knocking.

The seller refuses to settle. What the heck? Even though you as the business owner think the seller got enough money at closing to be satisfied, that’s not how the seller thinks about it. Unlike banks, for most sellers, this is the one and only time in their lifetime that they will be a creditor. So what happens when you default? They take it very, very personally. As a result, they think of it as “their money” and quite often they will be resistant to a settlement.

Distressed Loan Advisors ( http://www.JasonTees.com ) offers expert advice about dealing with SBA Loan Default, and can be reached at 1-877-436-4533 or loanhelp@jasontees.com.