Ask Terry Questions SBA loan default

SBA loan default

By Terry Savage on March 15, 2024 | Wild Card

Hi Terry,
My wife had a home daycare business for 20yrs. Then Covid hit and we took a SBA loan. The Daycare business ended up closing eventually. So we were making some payments in 21-22. But now our loan is in Charge off status. We owe 17,000 plus interest that wasn’t paid roughly $1500. What is your advice to do with this loan?

Terry Says

Whew, I’m not an expert in this, but here’s some interesting things I found in a search:
First, there’s a great article on Nerd Wallet on this very subject.

And this was interesting. this article, from a former SBA loan collector who is now “helping” small businesses.

I was actually shocked to learn that an SBA loan default can lead to a home foreclosure!
It’s in this article.

Which leads me to tell you that you should IMMEDIATELY search on the internet for an attorney near you who specializes in SBA loan defaults so you can protect your other assets!



a personal
finance question