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Can a bank force payment on business loans, and give one week notice with threat of judgement/ sheriff sale? I think maturity

Langhorne, PA |

date has passed; however, they've never sent warning other than occasional late letter w/ fee. Last Fri. got fed ex letter from atty. stating pymt in full 2 be made by this friday. Do we have any recourse in meantime? They hold mortgage & HELOC. We worked with them 6 months ago, 2 refinance the 4 loans into one; however, they failed 2 consider taxes which were'nt amotorized. Thus, we'd pay the same amt. once/ month rather than 4 pymts & extend the maturity date by 4 years. Simply buying us time 2 pay off rather than decrease monthly payment by $500 which was the original verbal/ draft agreement w/ manager. We declined & countered; requested 20 yr. term & shot down for ? reasons. Mortg.Bal = $55K matures 2014 HELOC = 65K Business = $14K & 3K $135K in equity

Followed up with Hope Line on and spoke to counselor re: HUD help, she refused to believe bank had offered to refi given our neg financial status, and continued asking questions to "build my file" (Credit Counselors of San Fransisco) over a 1 hour conversation. By 7p.m she wanted to phone my mortgagor to engage in consolidation talks and again, I tried to steer her about the re-fi, but she wouldn't listen. I told her we could not speak to anyone since they were closed at that hour. She followed up with a 3 page letter to my lender telling them EVERY detail about our financial status, which I did not give her permission to do, not did I want them to necessarily know about my finances. Some of the information was jumbled and not true. I believe she has them concerned and more or less blew the whistle on us instead of helping us at all. I do not have 17K by friday to pay my lender. Do I have any recourse to her actions in divulging our personal financial information without permission?

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Attorney answers 2

Best Answer

They have to follow procedure which includes serving you with a lawsuit, obtaining a judgement, obtain a writ etc. All that takes time.


If you did not authorize the lender to release information on you account and the lender did it anyway, You may have a claim, but you would have to prove damages.

Mr. Goldstein is a Virginia-licensed attorney only. The information is not, nor is it intended to be, legal advice. You should consult an attorney for individual advice regarding your own situation. Answering this question does not in any way constitute legal representation. Contacting Mitchell Goldstein or the Goldstein Law Group does not constitute legal representation, nor is any information you provide protected by attorney-client privilege until otherwise advised.

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