Question. Can I Discharge my Defaulted SBA Loan in Bankruptcy? Answer: With the exception of student loans, most government loans including SBA loans are routinely discharged in bankruptcy. Surprisingly, many debtors still believe that government loans cannot be...
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I have an SBA loan. Won’t the Government Guarantee Pay Off the Loan?
Question. I have an SBA loan. Won't the Government Guarantee Pay Off the Loan? Answer.The Small Business Administration (SBA) helps small businesses and entrepreneurs obtain loans. One of the ways it does so is by guaranteeing the loan so that the lender is insulated...
Will the SBA Accept My Offer in Compromise?
Question. Will the SBA Accept My Offer in Compromise? Answer. There is no way to know. Period. There are so many variables: 1. Who handles your file; 2. What SBA office is handling your file; 3. Your level of cooperation with the lender, both real and perceived; 4....
If I want to make offer to settle, do I contact the lender or the SBA?
Question. If I want to make offer to settle, do I contact the lender or the SBA? Answer. In general, you will reach out to the lender first. Even in the event of an SBA loan default, your lender will generally continue to service the loan. If there is some...
Can the SBA Sue More than 6 Years Later?
Question. Can the SBA Bring a Contract Action More than 6 Years After the Default? Answer. 28 U.S.C.§ 2415(a) establishes the federal statute of limitations applicable to SBA actions to recover under contract. Under this statue the SBA has 6-years to file suit to...
My state has a four-year statue of limitations on contract actions. How can the SBA sue after it has expired?
Question.My state has a four-years statue of limitations on contract actions. How can the SBA sue after it has expired? Answer. It is settled law that state limitations statutes are relevant in determining a claim's viability at the time the federal agency acquires...
What is the U.S. Treasury Offset Program?
Question. What is the Treasury Offset Program Answer.The Treasury Offset Program (TOP) is a centralized offset program, administered by the Bureau of the Fiscal Service's Debt Management Services (DMS), to collect delinquent debts owed to federal agencies and states,...
How can I avoid my delinquent disaster loan being referred to the U.S. Treasury for enforced collection?
Question.How can I avoid my delinquent disaster loan being referred to the U.S. Treasury for enforced collection? Answer. You must contact an SBA Treasury Offset Representative prior to your loan being referred to the Department of the Treasury to set up acceptable...