5 Powerful Debt Relief Alternatives for SBA Loan Defaulters
In case you are struggling to keep up with your finances and the chances to repay SBA loan appears bleak, you must take immediate legal help. It is good to hire a lawyer who specializes in SBA loan and debt relief.
Several debt relief alternatives are available for SBA loans in Maryland. A competent lawyer can help you choose an alternative that best suits your case and work upon it.
Alternatives are discussed briefly below:
1. Deferment of payments
Deferment is postponing your scheduled payments for the loan for a fixed period. This option is best suited for businesspeople undergoing temporary cash crisis. You must show that your company is unable to pay now, but can pay later. Different loans have different deferment guidelines. Your attorney will help you in this regard.
2. Restructuring repayment plans
If you are lagging behind in payments, but now are able to pay, SBA loan lawyers can work towards lowering your monthly payment amount. This helps you save thousands of dollars. This alternative suits best for people facing a long-term financial crisis. The lowering of the amount can give you some relief. In addition, your lawyer can negotiate to wipe off any extra fee or penalty due to missed payments. They will help create a payment plan that fits your new budget.
3. Debt settlement
Debt settlement is an offer and compromise negotiation wherein your lawyer works towards settling your loan for an amount lesser than your current outstanding balance. This helps you save bundles of dollars.
Debt settlement of SBA loans in Maryland gives you the following benefits:
- Gives you a chance to restructure your payments that suit your budget.
- Provides flexible payment structures.
- Thousands of dollars get wiped off from your balance owed, saving you lots.
- You save thousands in future interest.
- You become free of SBA loan debt quicker than what you could have normally.
- Prevents bankruptcy.
4. Lawsuit defense litigation
In case you have received a complaint or summons from the office of the US District Attorney, please contact your lawyer fast. He/she is the only person who can defend your rights – personal and business. Remember, never let a summons go unanswered. If you fail to file an answer, you lose the case by default. Avoid this happening to you. The best SBA loan lawyers can come to your rescue in this case.
This is the last resort. File for bankruptcy. SBA loans get discharged and you are, no longer, liable to repay. However, please remember that once you declare yourselves bankrupt and discharge your SBA loan, you cannot apply for another SBA loan in the future. Yet, if nothing else seems to work for you, this might be a well-suited alternative.
Please discuss thoroughly with your SBA loan lawyer and then choose an alternative. Your lawyer will analyze your financial situation and help you decide your next best move.
Lawyers specializing in debt relief are committed to providing excellent legal advice and assistance so that their clients have a brighter financial future.