SBA EIDL default, needs SBA Microloan for start up
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  1. #1
    Senior Member Reputation points: 111969 Olderguy's Avatar
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    SBA EIDL default, needs SBA Microloan for start up

    Broker reached out with a desperate scenario....lady gets a program approval where she needs needs a SBA microloan to get started.

    Told her to reach out to SBA EIDL and declare uncollectable. They removed her default and cut her payments WAY down.

    She now has the way cleared to submit for a SBA microloan.

    The government can help sometimes - all you have to do is ask.

    And if we can't get a Microloan, we told her to put together a pitch deck to present to some investor groups we know.
    Last edited by Olderguy; 01-18-2025 at 10:00 AM.
    Steve Benjamin
    Professional Business Loans

    522 Contessa
    Irvine, CA 92620
    steveprobiz@gmail.com
    https://probizloans.net/
    Broker, Underwriter, general business loan expert
    949.228.1050


    @ 24 hour funding working capital loans
    @ Term loans from 3 years to 10 years at 9.5% and up
    @ Equipment financing up to 7 years
    @ Property loans - Hard Money and traditional - Primary, Investment, commercial, land, fix and flip, construction.
    @ SBA loans - 7A and 504.
    @ Private money equity and debt for major investments
    @ Personal Loans up to gross income from personal tax return.

  2. #2
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    So she applied for HAP?

  3. #3
    Senior Member Reputation points: 111969 Olderguy's Avatar
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    Quote Originally Posted by diditevenfund View Post
    So she applied for HAP?
    Hardship Accommodation Plan.

    SBA is offering a Hardship Accommodation Plan (HAP) for COVID-19 EIDL borrowers experiencing short-term financial challenges.

    Borrowers eligible for this plan may pay 10% of their usual payments for six months, without first catching up on missed payments.


    FYI - this was the original hardship program that was to last two years....it adjusted (and had to be renewed) every 6 months. 10%, then 25%, then 50% then 75% I believe.

    But I am finding out even after two years you can CONTINUE to request hardship accomodation and it's usually granted. The amount deferred is added to the back of the loan.
    Last edited by Olderguy; 01-21-2025 at 01:16 PM.
    Steve Benjamin
    Professional Business Loans

    522 Contessa
    Irvine, CA 92620
    steveprobiz@gmail.com
    https://probizloans.net/
    Broker, Underwriter, general business loan expert
    949.228.1050


    @ 24 hour funding working capital loans
    @ Term loans from 3 years to 10 years at 9.5% and up
    @ Equipment financing up to 7 years
    @ Property loans - Hard Money and traditional - Primary, Investment, commercial, land, fix and flip, construction.
    @ SBA loans - 7A and 504.
    @ Private money equity and debt for major investments
    @ Personal Loans up to gross income from personal tax return.

  4. #4
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    Quote Originally Posted by Olderguy View Post
    Hardship Accommodation Plan.

    SBA is offering a Hardship Accommodation Plan (HAP) for COVID-19 EIDL borrowers experiencing short-term financial challenges.

    Borrowers eligible for this plan may pay 10% of their usual payments for six months, without first catching up on missed payments.


    FYI - this was the original hardship program that was to last two years....it adjusted (and had to be renewed) every 6 months. 10%, then 25%, then 50% then 75% I believe.

    But I am finding out even after two years you can CONTINUE to request hardship accomodation and it's usually granted. The amount deferred is added to the back of the loan.
    Fall off point for many is when it hits 50% payments, believe thats where many defaults happen.

  5. #5
    Senior Member Reputation points: 111969 Olderguy's Avatar
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    Quote Originally Posted by diditevenfund View Post
    Fall off point for many is when it hits 50% payments, believe thats where many defaults happen.
    If that's they can make the call and request a reduced hardship payment after this one needs renewal.
    Last edited by Olderguy; 01-21-2025 at 09:23 PM.
    Steve Benjamin
    Professional Business Loans

    522 Contessa
    Irvine, CA 92620
    steveprobiz@gmail.com
    https://probizloans.net/
    Broker, Underwriter, general business loan expert
    949.228.1050


    @ 24 hour funding working capital loans
    @ Term loans from 3 years to 10 years at 9.5% and up
    @ Equipment financing up to 7 years
    @ Property loans - Hard Money and traditional - Primary, Investment, commercial, land, fix and flip, construction.
    @ SBA loans - 7A and 504.
    @ Private money equity and debt for major investments
    @ Personal Loans up to gross income from personal tax return.

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