All Forum Posts by: Mark S.

@Anna Sagatelova

Thanks, Anna. I know rental histories with pst applicants were also an issue. Trying to find out more info.

With all that aside, would you approve or deny this applicant?

@Ujwal Velagapudi

Hey, thanks for responding. I get what you’re saying. It’s a smaller house (just over 1,100 sq ft). My thought is why aren’t they getting an apartment? Is it because no one else will rent to them?

Am I able to ask the PM for more details on the credit report? Applicant’s age? Is that “allowed?”

Got email from PM stating they have an application on my 4/1 SFR in Memphis, TN. They want to know my thoughts on whether or not I want to approve applicant (they've since denied 3 other applicants for poor credit and bad rental history).

Applicant makes 3x the monthly rent. Works in healthcare as billing representative and has been working there for 3 years. No verifiable rental history and presently living at home (and has been for a year). Single individual, no pets. Credit score below 575.

Rent is $950/month.

Would you approve this application?

I asked the PM and they said they normally would not approve it (but it looks like they’re reaching out to me to see if I want to make an exception).

@Jonathan Allen, not yet.  I have a call with my tax team on Friday.  I let them know this is one of the items I’d like to revisit.  

I agree with @Nicholas Gessner.  Set for Life by @Scott Trench is fantastic.  That book would have likely saved me from making my “biggest financial mistake” of buying an expensive vehicle straight out of college (and so much more).

@Donna Pattani, sounds like you took an amount over $25K?  Are you at all concerned about the other terms and requirements?  Did they give you the entire amount in a lump sum or over several disbursements?

@James Allen

I am wondering the exact same things as you. I just watched the video that @Natalie Kolodij mentioned and it was somewhat helpful but I’m still torn.

Great financial loan terms vs hefty ongoing documentation requirements and other concerns.

At this particular moment, as much as I’d love to borrow money at 3.75% fixed for 30 years with no payments for 12 months, I’m leaning towards not taking it for peace of mind (that the govt isn’t “all up in my biz,” literally).

@Holly Qu

Was your amount over or under $25K? If over, are you concerned about any of the collateral language? What is your interpretation on how you’re able to use the funds?

So I got an email for EIDL today prompting me to create an SBA account. I did that, logged in, saw what they offered for max loan amount, and indicated I’d like the max amount. I was under the impression I would have to fill out a bunch of documents and go through underwriting for final approval, but a couple hours later, I received another email stating it was approved. When I logged back in, the closing documents are now available for e-signature. Almost seems “too easy.” In reading through the documents, I’m not so sure I like what I’m reading. Definitely don’t like the collateral part, the fact that I have to submit documentation to them upon request (I think for up to 3-5 years or something even afterwards), it says I have to furnish evidence of property insurance with a certain time period (for which property? all of them?), etc. Maybe these are just standard loan terms and I am overreacting, but I’m a little hesitant to e-sign. It also has some language about possibly disbursing the loan in phases. Has anyone received their EIDL loan proceeds yet? Was it lump sum or in phases? I’m pretty sure I’ll be just fine without this loan, but I did have a tenant move out and another one starting to fall behind on rent. I have some reserves for a while but not forever. I think this thing gets a whole lot worse before it gets better. My plan would be to leave the funds in my business checking account and use for intended purpose of working capital and I’d rather have and not need than need and not have. I feel crazy NOT to take the money at these terms (3.75% interest for 30 years with no payments for first 12 months), but I’m not so sure about all the strings and collateral nonsense. I went back in to try to reduce the amount below $25,000 to not have the collateral language, but it seems like I’m “locked out” from doing that and the amount I accepted is the amount that’s locked in that field. I’m sure I could call or email to change the amount, but I’m not trying to have everything get delayed forever again or raise any red flags.

@Jarrod Murrell

So I got an email for EIDL today prompting me to create an SBA account. I did that, logged in, saw what they offered for max loan amount, and indicated I’d like the max amount. I was under the impression I would have to fill out a bunch of documents and go through underwriting for final approval, but a couple hours later, I received another email stating it was approved. When I logged back in, the closing documents are now available for e-signature. Almost seems “too easy.” In reading through the documents, I’m not so sure I like what I’m reading. Definitely don’t like the collateral part, the fact that I have to submit documentation to them upon request (I think for up to 3-5 years or something even afterwards), it says I have to furnish evidence of property insurance with a certain time period (for which property? all of them?), etc. Maybe these are just standard loan terms and I am overreacting, but I’m a little hesitant to e-sign. It also has some language about possibly disbursing the loan in phases. Has anyone received their EIDL loan proceeds yet? Was it lump sum or in phases? I’m pretty sure I’ll be just fine without this loan, but I did have a tenant move out and another one starting to fall behind on rent. I have some reserves for a while but not forever. I think this thing gets a whole lot worse before it gets better. My plan would be to leave the funds in my business checking account and use for intended purpose of working capital and I’d rather have and not need than need and not have. I feel crazy NOT to take the money at these terms (3.75% interest for 30 years with no payments for first 12 months), but I’m not so sure about all the strings and collateral nonsense. I went back in to try to reduce the amount below $25,000 to not have the collateral language, but it seems like I’m “locked out” from doing that and the amount I accepted is the amount that’s locked in that field. I’m sure I could call or email to change the amount, but I’m not trying to have everything get delayed forever again or raise any red flags.