Evergreen Loan Servicing Team provides a long-term partnership to Third Party Lenders

Last month Edna Peterson, our Closing and Servicing Manager and Patti Kibbe, our Chief Operations Officer met with lenders in Oregon to answer questions about a current hot topic-SBA 504 loan servicing. 

Lenders should know that Evergreen Business Capital (Evergreen), is committed to partnering with them on behalf of the  borrowers and will do all we can to assist with their servicing needs. After SBA loan funding, our Loan Servicing Department manages our portfolio, currently just fewer than 1,000 loans, until the loan matures or is paid off.

To accommodate the many servicing action requests we receive there are many routine requests that Evergreen has the authority to implement such as ACH (automatic debit) changes and releasing collateral when a loan is paid off. 

Additionally, Evergreen can make recommendations to the SBA for the more complex actions requests, which include:

• Change in the borrower's form of organization
• Assumptions
• Deferments and catch-up plans
• Release of Guarantors
• Release of secondary collateral
• Sale of business
• Subordination to prior lien with increase (in cash-out situations, additional funds must be used to improve project property or purchase equipment)
• Subordination to third party senior lien with no increase to loan amount
• Substitute secondary collateral of equal value

An end to the recession is in our future, but many businesses are and will continue to be challenged for some time. Evergreen will do all we can to help these business owners. Many times we can give options and be more flexible on the SBA portion - helping the borrower to re-group and getting back on track. Whenever feasible, we will work with the lenders and borrowers to avoid loan defaults and liquidation.  

Very Important:  It is very important for Lender and any CDC to work together. As part of the standard Third Party Lenders Agreement, which all lending partners have signed, the lender must give notice of default to the CDC within 30 days of the event and must give notice 60 days prior to foreclosure upon any common collateral. The best practice is to communicate with us as soon as possible and don't hesitate to ask questions or get our Loan Servicing Team involved at the earliest sign of a challenge or problem. WE ARE HERE TO HELP!

Edna Peterson, AVP, Closing & Servicing Manager,
206.577.1437, edna.peterson@evergreen504.com

Kathy Austin, Senior Servicing Specialist/Team Leader
206.577.1423, kathy.austin@evergreen504.com

Cathy "CJ" Johnson, Servicing Specialist
206.577.1430, cathy.johnson@evergreen504.com

Jeanne McDonald, Servicing Specialist
206.577.1425, jeanne.mcdonald@evergreen504.com

With a greater number of staff specifically dedicated to SBA 504 Loan Servicing than any other CDC in the Northwest, you can trust Evergreen Business Capital to be your loan-term partner.