OUR BLOG

Collateral Oversight and the Cost of Missed Recoveries When a Borrower’s loan is in trouble, collateral is a whole lot more than a checkbox on your to-do list. It’s a foundational element in SBA’s expectation that you, as a Lender, will take appropriate action to maximize recovery and minimize loss. If you’re not careful to safeguard collateral and manage liquidation, you risk losing out on expected financial recovery. And when SBA reviews your servicing practices and decides

As an SBA lender, the SBA guaranty offers essential protection supporting your institution’s willingness to extend credit to small businesses. But that protection comes with responsibilities, not the least of which is the duty to act in a timely manner throughout the life of the loan – and especially when the loan is in distress.

Too often, loan changes occur—whether minor borrower updates or significant structural modifications—without being fully reflected in E-Tran. That oversight can result in servicing issues, audit flags, or worse: denial of the SBA guarantee. Here’s why every lender should treat E-Tran updates as an important part of their SBA loan servicing workflow.

Back in December, we believed FTA’s SBA training looked reasonably well done and complete. While there have been many opportunities for training sessions, there’s still confusion surrounding error codes and exactly how to fix them. We can offer Lender consulting services to support your team while they work their way through these issues.

We often see Lenders forget to take advantage of the support a Lender Service Provider (LSP) can offer. So, when should you lean on an...

SBA is releasing what they’re referring to as a “modernized” Form 1502 and filing process – and yes, it’s a definite improvement over the...

We’ve been covering questions about deferrals in several recent articles. And our clients continue seeing a rise in Borrowers’ requests...

Your Borrowers don’t always experience smooth sailing. Sometimes they get stuck, run into difficulties, and end up with what everyone...

Our friend and colleague Doug Hood has been an SBA consultant and small-business advocate for over 27 years and has won many awards and...

It’s been a lot these last few months. Three new SOPs from SBA ( 50 10 7 , 50 57 3 , and the updates in 50 10 7.1 ). Inflation...

Our last article discussed Post-Purchase Packages – the documentation required from Lenders by SBA for loans sold on the secondary market...

We’ve written before about the importance of staying on top of your 1502 reporting to the SBA. There have been a few recent updates, so...

You knew it was coming – and yes, it’s here: Prime rate increases have been on the rise. On March 15th of 2020, the Prime rate went back...

Economic downturn. Changes to interest rates. You know what’s coming, right? An increase in troubled loans. Which means an increase in...

You’re drowning in details and SBA paperwork. Interest-rate changes are creating a deluge of SBA Servicing Actions. The economic slowdown...

Sixty days goes by fast. And suddenly you have an SBA loan, or even several SBA loans, that are 60 days past due. What now? Everything...

Do you have a list of all the SBA deadlines for your Standard 7a and Small SBA 7a loans? They’re essential to protect the guaranty,...

(and what to do about them) Your SBA loan guarantee may be at risk during the eligibility, closing and funding stages if not documented...

Do you have FTA sync issues that you may not be aware of? If any of your 7(a) loans have gotten out of sync with the FTA (Fiscal Transfer...

Screenouts! Such a dreaded word in the world of SBA lending! They always come at the most inopportune time, are a total surprise...