Is loanbud legit? Commercial SBA lender asking for wire.

Commercial Real Estate Investing
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Is loanbud legit? Commercial SBA lender asking for wire.

Ellie Narie
Investor · Ashland, OR · Member since 2018 · 202 posts · 38 votes

I'm curious if this company is legit. They offer SBA financing for 100% (secured by business property), but they want an upfront wire of several thousand. They have their nmls numbers and everything. My real estate agent says they sound legit and their letter of commitment looks official. 

Should I be worried that they're asking for an upfront wire? Is this common in commercial/sba lending? 

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Charity Aslin
Member since 2022 · 2 posts · 1 vote
3y
Quote from @Ellie Narie:
Quote from @Charity Aslin:

Any updates on Loanbud? Did you end up using them? I'm checking them out too.

Update: I ended up using them and they turned out legit. 

 Thanks @Ellie Narie! I just closed a deal with them too and they were legit and great to work with!

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  • Cason Acor
    Real Estate Agent · Salt Lake City, UT · Member since 2018 · 247 posts · 247 votes
    4y

    Without additional information, this just sounds like an initial lender deposit. Very common upon executing a term sheet. 

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  • Dan Wallace
    USA · Member since 2022 · 20 posts · 9 votes
    4y

    I've never heard of this group. If they are not a bank and have a license with the SBA, then they are one of the only 14 non-bank lenders in the US. It may be this group may be just a broker posing as a lender. A NMLS is just for residential lenders so my guess is that they are just brokers. I would recommend caution.

    Can you follow up as to whether this group was legit or not?

    0Reply
  • Chris SeveneyBusiness Member
    Moderator
    Investor · VA · Member since 2015 · 21k+ posts · 19k+ votes
    4y
    Quote from @Ellie Narie:

    I'm curious if this company is legit. They offer SBA financing for 100% (secured by business property), but they want an upfront wire of several thousand. They have their nmls numbers and everything. My real estate agent says they sound legit and their letter of commitment looks official. 

    Should I be worried that they're asking for an upfront wire? Is this common in commercial/sba lending? 


     have you spoken with them? They appear to be legit




    BayFirst Financial Corp. Launches LoanBud, a Nationwide (globenewswire.com)

    7e investments53 Reviews
    WebsiteView Page
    0Reply
  • Charity Aslin
    Member since 2022 · 2 posts · 1 vote
    4y

    Any updates on Loanbud? Did you end up using them? I'm checking them out too.

    0Reply
  • Dave Skow
    Lender · Seattle, WA · Member since 2014 · 2k+ posts · 899 votes
    4y

    @Ellie Narie- be  very  cautious  as   wire fraud  is  rampant ... confirm wire details  verbally  or   with a third  party BEFORE  sending anything 

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  • Ellie Narie
    OP
    Investor · Ashland, OR · Member since 2018 · 202 posts · 38 votes
    3y
    Quote from @Charity Aslin:

    Any updates on Loanbud? Did you end up using them? I'm checking them out too.

    Update: I ended up using them and they turned out legit. 

    0Reply
  • Charity Aslin
    Member since 2022 · 2 posts · 1 vote
    3y
    Quote from @Ellie Narie:
    Quote from @Charity Aslin:

    Any updates on Loanbud? Did you end up using them? I'm checking them out too.

    Update: I ended up using them and they turned out legit. 

     Thanks @Ellie Narie! I just closed a deal with them too and they were legit and great to work with!

    1Reply
  • Michael Gray
    Member since 2022 · 1 post · 0 votes
    3y

    How long did it take to close from start to finish 

    From applying to get in the funds 

    0Reply
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