Guarantees, in good times, enable you to make loans you couldn’t have made,…….as markets weaken – may be critical to recovery of invested funds.
- Is your guarantor really separate from your borrower – or merely “guaranteeing their own debt?”
- Are your guarantees structured correctly? Do they reflect changes from recent developments and case law?
- The loan closes. Will lender/loan servicer actions during the life of the loan “unwind” the guarantor’s obligation(s)?
Guarantors don’t cheerfully “hand over the check” when borrowers default. Build an “airtight” guarantee now – don’t learn what you missed when the chips are down.
Invest 59 minutes with our panel of experts and a practitioner on September 25 at Noon. Find out what changes are surfacing, how to avoid them, and critical factors lenders must consider.
RSVP to MPineda@buchalter.com