Critical Questions You Should Inquire About SBA Loans
What’s the worst thing that can happen in case of an SBA loan default?
It is not advisable to default on SBA loans because of the severe consequences involved. They can foreclosure your home if it has equity in it. Your business can be closed down and all of your office items sold. They can find a personal judgment against you and serve you with a subpoena of which you will need to explain and respond on time before they send the police to arrest you. In short, SBA loan default is bad, and you should be proactive in settling.
Does my settlement offer go through my lender or directly to the SBA?
It relies on if your lender has referred the matter to the SBA. In cases of SBA loan default, the creditor continues handling the matter until they feel that …