Once your loan has been transferred to the U.S. Treasury Department, they will begin aggressive collection efforts under the Treasury Offset Program (TOP). Although it is much more difficult to settle an SBA loan default at this point, the Treasury Department does have a procedure for settlements and the documentation is similar to the SBA forms.
Our legal services include all of the legal work necessary to submit a fully compliant settlement package to the Treasury Department. In addition, we will consult with your regarding applicable laws and regulations regarding the TOP Collection process. We represent both borrowers and guarantors in default.
We provide the following legal services as part of our Treasury Settlement Package:
- Review your Case for Settlement though the Department of Treasury
- Review your original SBA loan documents
- Review current TOP collection actions, if any.
- Work with Treasury to suspend TOP collection actions
- Collect financial documentation, including a complete lists of assets and liabilities
- Notify your the Treasury of your intent to Settle
- Prepare and file a Settlement Package with the Treasury Department
- Negotiate with the Treasury Department
What are my chances?
It is simple impossible to say. Again, once you case is being handled by TOP, the Treasury Department will aggressively attempt to collect the debt and will threaten to garnish wages, seize IRS Refunds and even offset Social Security and Retirement benefits. In some cases, borrowers may feel forced to file bankruptcy. But, despite the harsh collection efforts, borrowers can and do regularly settle with the Treasury Department.
What can I do to help?
Apart from providing us your full cooperation and patience, if you are reading this and have not yet received your 60-day demand notice from the SBA, contact us at once before your file is transferred to the Treasury. This will save you collection fees added by TOP that can increase your loan balance by up to 30%!
How do your legal fees work?
Our legal fees are billed hourly, but we incorporate a fee cap in every case we accept. You will know the maximum amount of legal fees your will incur when hiring us to handle your SBA loan default. We do not charge any additional fee based on the amount we may save you. Whether you owe $25,000 or $2,000,000, our goal is to settle your SBA debt in a prompt, professional and affordable manner.
If you need help with an SBA loan default, contact an SBA loan default attorney with the Perliski Law at (214) 446-3934 for a free phone consultation to see how we can help, or fill out our online contact form.