Lender REFUSES mortgage payments from LLC business account
My lender is warning its clients that it will no longer accept payments from a business bank account, which is how I’ve been paying the loan since its inception many years ago. They insist I must pay using a personal account starting next month.
If we don't accommodate the demand, they're warning its clients the consequences will be as follows;
1) Reject all payments 2) Add a late fee 3) Report non-payment to the credit reporting agencies
To require this of me would force me to be in violation of the legal requirements regarding LLC’s mixing of funds between personal and the LLC business accounts. Thus, they are exposing me to liability.
I feel the lender may be in violation of the law for the above-mentioned reason. Furthermore, my loan was conventional and sourced from Fannie Mae which recognizes the legitimacy of a Quitclaim between the mortgage holders (me and my wife) and the LLC; so long as the LLC is controlled by me and my wife . In other words, Fannie Mae views the legitimacy of the LLC as a legal entity and I don't feel Fannie Mae would agree with this demand of the lender.
It seems to me that I can challenge the lender advising that I’m not obligated to honor their demand, and to force me to do so would empower me to file a formal complaint with the state Attorney Generals Office.
Any thoughts or advice?