Workout & Liquidation of an SBA Loan

The detailed, complex procedures for servicing and liquidating SBA loans can be unwieldy. Lenders may be required to take steps they don’t ordinarily take with conventional loans to ensure the validity of the government guaranty. Even when lenders have made all the right decisions regarding the servicing and liquidation of a loan in default, their documentation may be insufficient and not in accordance with SBA requirements. Often these mistakes don’t come to light until the SBA denies a guaranty purchase request or penalizes a lender with a repair to its guaranty. From the post-default site visit, through the wrap-up report and charge off, this webinar will explore how to properly handle a workout or liquidation of an SBA loan in default.