Loan Company made a mistake, what to do?

Question

Hi everyone, I was notified by my loan company that they made an issue 4 months ago when closing and they put down my personal name instead of my business name for the signature. They would like me to sign a new document to update this so they can sell the loan to an investor. How should I proceed if the terms will remain the same?

Kevin Sobilo · Answer

I don't understand why you mention them "calling the note". Unless you have defaulted in some way that isn't something they could do.

That said, if you don't sign it, they will probably sign it for you. Most loan packages include something you sign that says that you will cooperate with them to correct any technical errors like this and I believe it also includes the ability for them to sign for you if you don't but obviously they prefer to have clean paperwork where you have signed it.

Chris Seveney · Answer

@Jimmy Sont

Well if you signed your name vs your business now you may have easily pierced the LLC if it’s deed as one and loaned as another

If the intention was to do this then why not sign it

I would not ask for anything as why have your hand out - someone made an error and it does not cost you anything to fix it so fix it.

Benjamin Aaker · Answer

Go ahead and sign. You will have agreed to cooperate with them when you originally signed. It's not a big deal.

Rick Pozos · Answer

I have purchased and sold properties where the wrong lot description was put on the deed. I basically bought or sold the wrong property. Mistakes happen. They found the mistake. Go fix it with or for them. It is your obligation!!

I am sure you signed papers that say that you will fix any errors that were made, just like this case. I am sure you were joking, but they do not owe you anything to fix mistakes that were made in paperwork.

Karma baby!! Smile, fix it, keep going.

Jimmy Sont · Answer

Thank you! Technically if they called the note, would I be able to get a better rate on the next loan?

Brandon Croucier · Answer

Just do it, tell them to send you some gift cards for the inconvenience lol otherwise they might have to call your note if its in their legal reach.

I've had a lender do this before to a borrower of mine and it just becomes a headache getting their calls and emails everyday for weeks.

Loan Company made a mistake, what to do?

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