Are Commercial Banks Bankrupting Small Businesses?

Small Business Owner Alert! Your commercial bank could be putting you out of business unless you are prepared for the worst case scenario; your note is due and payable now! What are you going to do if this happen to you?Ulysses Sanchez, senior vice president of Real Estate Commercial Group, said “it’s clear that commercial lenders may have been holding off on foreclosing and might be working with business owners with a commercial loan modification but lately we are seeing business owners who are current with their commercial mortgage loan, and some even have lots of equity still in today’s real estate market are having their mortgage notes called due”. Why?Federal banking regulators may be encouraging loan extensions and a forget policy for notes that are ballooning but if you have personal credit issues for any reason, it could be reason enough for the bank to call your mortgage loan due and payable upon demand. Some commercial banks recently are calling their notes due and payable even though you may be current and cash flowing.A scenario of a commercial bank calling the note due and payable is a Jane Doe of Illinois, who has inherited and owned her three commercial building for over 70 years. Jane Doe had some medial issues but for some reason her medical insurance failed to pay her medical bills and her personal credit score was adversely affected. Now her bank is calling her mortgage due and payable. Why, if she is never been late, why, if she has so much equity even in today’s real estate climate, why if she is cash flowing great and rely on here investments for part of her income? The answer: The bank can call the note for “any adverse change” in her financial profile even if she has never been late.How about John Doe in Virginia who owns an office condo and as part of his loan program he provides quarterly financials to his bank. John Doe’s recent quarterly report is showing decline in his sales which is connected to our current US economy. John Doe is current with his mortgage and never been late and in fact, the loan payment was automatically drawn from his account on a monthly basis. Now his commercial bank is calling his note due and payable because his financials are showing decline in sales. Why? The bank call accelerate the note if “there is any adverse financial change” to his business.Arizona has about $1.3 trillion dollars in foreclosure right now and this is does not account for SBA 7a loans. “Banks could be getting pressure from regulators to get bad loans off their books” Mr. Sanchez reports but in the reality if a loan is current and performing why are commercial banks creating problems? With a tight commercial lending market it will be difficult for the John Doe’s and Jane Doe’s in America to get a new loan. Some will close their business, unemployment will continue to increase, and with a few getting some will be able to get an interim loan which could be delaying the inevitable.”Small business owners need to get prepared with a plan B, an exit strategy “says Ulysses of Real Estate Commercial Group, who specializes in SBA loans, commercial loans and commercial loan modifications. If Arizona has $1.3 trillion in foreclosure, that could be good for investors who are waiting to start buying but for the small business owner, the backbone of America, it could turn a recession into a depression unless we work together to create the solutions that work.

Bad Credit, No Problem With High Risk Loans From Specialized Lenders Online

If you know your credit score stinks, then choosing one of the high-risk loans can help you get the cash you need in your pocket fast. When you know you need a little financial assistance, you can turn to online lenders to help you in a pinch. These lenders can help you with many different types of loans and you can get cash in your bank account the same day, if necessary. The best part is they specialize in bad credit, so you don’t have to worry about what your report looks like. Some of these lenders don’t even check your credit, which can be very helpful.Fast Cash Bad Credit LoansThe easiest type of high-risk loan to get is going to put up to $1,500 in your pocket with 24 hours. Most know this type of loan as a cash advance or payday loan. These fall in the personal loan and signature loan categories and they won’t require a credit check. If you need cash fast, this is the type of loan you want to consider because you can put cash in your pocket within a few hours, in most cases. Simply apply online, become approved, fax in any necessary documents (usually pay stub, copy of ID, and a utility bill), electronically sign your loan documents and get your money.Unsecured High Risk Personal LoansAnother type of loan you can get if your credit is ugly comes in the form of an unsecured high-risk loan. These loans don’t require collateral, but they will not be all that easy to get. They are often reserved for those with good credit, but some lenders will work with bad credit, as well. It may take up to a week to become approved and get your money, but you can get much more with this type of loan. These personal loans can give you up to $25,000 and often will have a much longer term than other loans. You may get up to 5 years to pay the loan back and this can really help when you need money in a crisis and a few hundred dollars won’t cut it.Peer 2 Peer or Person 2 Person LoansAnother online loan you can use if you have bad credit is known as a P2P loan. This type of loan website actually connects individual investors with those seeking loans. They can help you get the cash you need very fast and this can really make a difference. Most of the time you can get your loan within a week and the individual investors won’t look too closely at your credit rating. They base the loan on what you have to say and how equipped you are to pay the loan back.Co-Signer LoansIf you cannot become approved for the loan you need, don’t have any collateral to secure it, and need more than a cash advance offers, then a co-signer may be necessary. You will need someone with good credit that can vouch for you by signing the loan documents, as well. They will be at risk if you don’t pay the loan back and it may be hard to find a co-signer, but you might not have any other option.Pawnshop LoansHowever, if you cannot find a co-signer and the other options above don’t work for you; it is possible to get a pawnshop loan. This is a very easy loan to get, but you will need collateral. The good news is they don’t require the collateral to be a property you own or a vehicle. They will accept jewelry, electronics and pretty much anything of value. Most of the time you will get about half or a little more of the actual value of the item, as the loan amount. You will have 90 days to pay the loan back and get your item out of pawn, in most cases.When you have bad credit, it can be difficult to get a loan, but if you get creative, you can find the money you need. If all else fails, you can go right back up to option #1 and get a cash advance online. This is probably the most popular type of online high-risk loan out there because of the quick turnaround. The good news is some companies actually give you up to 100 days to pay your cash advance back and they will give you lower payments because of the longer amount of time.