Lenders – One Payday http://onepayday.com/ Wed, 12 Jan 2022 07:08:17 +0000 en-US hourly 1 https://wordpress.org/?v=5.8.2 https://onepayday.com/wp-content/uploads/2021/11/icon-2-150x150.png Lenders – One Payday http://onepayday.com/ 32 32 Vodafone Idea Dues Conversion Will Free Up Money to Pay Lenders https://onepayday.com/vodafone-idea-dues-conversion-will-free-up-money-to-pay-lenders/ Tue, 11 Jan 2022 19:23:00 +0000 https://onepayday.com/vodafone-idea-dues-conversion-will-free-up-money-to-pay-lenders/ Vodafone Idea (Vi) ‘s decision to convert government dues into equity is beneficial for lenders as its liabilities will shrink and more money will be available to serve the huge pile of loans. However, clarity on the roadmap for the conversion is needed, senior executives at the bank said. Its gross debt stood at Rs […]]]>

Vodafone Idea (Vi) ‘s decision to convert government dues into equity is beneficial for lenders as its liabilities will shrink and more money will be available to serve the huge pile of loans. However, clarity on the roadmap for the conversion is needed, senior executives at the bank said.

Its gross debt stood at Rs 1.93 trillion in September, of which deferred spectrum payment obligations were Rs 1.08 trillion, and bank and financial institution debt of Rs 22,700 crore, according to a presentation to investors.

A senior executive at a private bank said the money that would be used to pay government dues would stay on the books and would have to be used to pay off the loan.

As for granting additional funds, the bankers said some of the bank guarantees would be returned, freeing up space for additional exposure. Converting contributions into equity is only one element and banks will need to assess the plans. Vi has raised around 5,000 crore rupees through short-term loans from lenders including the State Bank of India and Union Bank of India.

A senior official at a public sector bank said it was mostly bridge financing to meet immediate debts.

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Hometown Lenders Adds Branches in North Carolina and Oregon, Continues Strong Growth https://onepayday.com/hometown-lenders-adds-branches-in-north-carolina-and-oregon-continues-strong-growth/ Tue, 11 Jan 2022 17:41:00 +0000 https://onepayday.com/hometown-lenders-adds-branches-in-north-carolina-and-oregon-continues-strong-growth/ HUNTSVILLE, Ala., January 11, 2022 / PRNewswire / – Hometown Lenders (HTL) today announced the addition of two new branches to its growing national footprint. A growing leader in the national mortgage industry, HTL selectively identifies and carefully reviews established and respected mortgage lenders who have earned the trust of families in their respective local […]]]>

HUNTSVILLE, Ala., January 11, 2022 / PRNewswire / – Hometown Lenders (HTL) today announced the addition of two new branches to its growing national footprint.

A growing leader in the national mortgage industry, HTL selectively identifies and carefully reviews established and respected mortgage lenders who have earned the trust of families in their respective local communities. Using this in-depth verification process, HTL decides which existing lenders would be the ideal candidates to join its growing organization.

After the last evaluation, HTL was proud to add new branches in Charlotte, North Carolina, and Clackamas, Oregon. the Charlotte branch will be managed by Rita Hazell, and the Clackamas branch will be managed by Willy roger. This is HTL’s latest strategic acquisition as part of the company’s thriving coast-to-coast team.

“I am honored to announce that Hometown Lenders added two exciting new branches to our national family in December,” said the founder and CEO of HTL. Billy Taylor. “With every significant addition we make to our team, our unwavering commitment to excellence and our dedication to our core business values ​​only grows stronger. I am delighted that HTL continues to strategically grow in our ability to help more and more families live their American Dreams across our great country. We look forward to building on the strong momentum of Hometown Lenders heading into 2022. ”

Situated at Huntsville, Alabama, HTL now has more than 100 branches and operates in more than 40 states.

HTL places great emphasis on providing our guests with the highest quality experience possible, truly striving to embody old-fashioned Southern hospitality, even in the digital age.

HTL firmly believes that its key Three Rs philosophy – recruiting the best, retaining our talent and remembering who brought us here – is the basis for continuing to exceed its lofty goals.

For more information visit www.htlenders.com.

ADVERTISING | 1-888-628-1414 | A division of Hometown Lenders, Inc., a peer-to-peer lender NMLS # 65084 (www.nmlsconsumeraccess.org) | Terms, conditions and restrictions may apply. Loan products are subject to availability and credit approval. Not a commitment to extend credit. Local lenders United States AZ BK-0949142. Licensed by the Department of Financial Protection & Innovation under the California Residential Mortgage Lending Act 41DBO-60614
ADVERTISING | 1-888-628-1414 | A division of Hometown Lenders, Inc., a pretamista de vivienda equitativa NMLS # 65084 (www.nmlsconsumeraccess.org) | Pueden aplicarse términos, condiciones y restricciones. Los productos de Préstamo están subjectsos a disponibilidad y aprobación de crédito. No compromise for extending credit. Local lenders United States AZ BK-0949142. Con licencia del Departamento de Corporaciones bajo the DFPI 41DBO-60614 de California

Home city lenders

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Uncontrolled ambition, lax regulations: the genesis of predatory digital lenders in Nigeria https://onepayday.com/uncontrolled-ambition-lax-regulations-the-genesis-of-predatory-digital-lenders-in-nigeria/ Tue, 11 Jan 2022 08:12:34 +0000 https://onepayday.com/uncontrolled-ambition-lax-regulations-the-genesis-of-predatory-digital-lenders-in-nigeria/

Ebuka Anyaeji thought he had seen it all, so when he first received a threat message that he was guarantor of a runaway debtor, he dismissed it as a joke, a message sent by an angry creditor to the wrong phone number. But the messages (WhatsApp and SMS) kept coming; then Anyaeji found out that his friends also received the same.

Later, the harassment shifted from messages to phone calls – real-time, pre-recorded calls. The content of the messages changed from simply informing him that someone owed the creditor money to threatening to embarrass him if he did not charge the defaulting debtor in question.

“The messages usually followed this line: ‘This person owes us money, and you are one of their guarantors. Tell him to pay or we’ll embarrass you both, ”Anyaeji told TechCabal. “In some cases they mentioned the amount of money owed, which was surprisingly low – around 10,000 ($ 17.8) or 30,000 ($ 53.6) – or in other cases they simply called it the debtor of a chronic debtor or of a fraudulent individual. “

Of the many messages he received, there was only one occasion when he got to know the debtor referred to: a college friend. What did he do about this case? He didn’t bother to inform the person, as they weren’t close.

A screenshot of Anyaeji’s Whatsapp chat.

For Anyaeji, who sometimes gives witty replies to the senders of these messages just for fun, he wonders why the debt collection practices of digital lenders like Soko Loan, LCash, 9Jacash among others use shame tactics and , more importantly, if this new trend would continue unchecked.

it was not always like this

There is no doubt that Africans have adopted lending through digital lending apps. They are discreet, quick to access and do not require any warranty. But it also means that lenders who use users’ repayment habits to assess their creditworthiness – and never physically meet their customers – often struggle to repay their loan.

But this has not always been the case in Nigeria. The loans were mainly issued by traditional banks, which rarely granted loans without the backing of guarantees or guarantors.

In the event of a default, before the collateral of a defaulting debtor is seized, a number of controls are put in place. First, loans are only granted after credit checks have been completed and the customer relationship manager can vouch for a potential borrower. When a borrower defaults, the customer relationship manager first contacts the lender to find out the reason, and even goes to confirm. Guarantors and arbitrators are also contacted, if necessary.

“As long as both sides are open and transparent, the penalties don’t come yet. Until they are past due, which is usually over 90 days, ”a Nigerian bank employee told TechCabal, who spoke on condition of anonymity.

Often times, while the account executive is following up on the defaulting customer, the monitoring team and even bank managers can also check on the defaulting customer. Conversations typically revolve around checking the customer’s repayment capacity, restructuring the loan to extend the term, and possibly removing penalty charges.

If all efforts to reach a reasonable agreement or collect the debt fail, the bank reverts to possession of the item (usually a house or car) used as collateral. This is a last resort that the bank is unwilling to exercise, another banker told TechCabal. “We hate having to own people’s land or houses, which serve as collateral; the bank is not in real estate, ”he said.

How did loan applications come into play?

For a long time, Nigerian banks preferred to lend to businesses and not to individuals. This has led to the rise of new lenders like Carbon (formerly Paylater), Renmoney and Branch who have filled the void by offering fast loans through smartphone apps.

Credit risk analyst Temi Sodipo recalls the early days when there were only a few large Nigerian digital lenders like Renmoney and Paylater. But, over the years, new digital lenders have popped up on different streets. People were skeptical at first, but over time consumer confidence has grown.

“I remember at the end of 2017, when we disbursed 1 billion yen ($ 1.8 million) in loans at Renmoney, we threw a party to celebrate. At the start of 2019, when we issued 4 billion yen ($ 7.3 million) loans, it was just a normal month, ”he said.

With the arrival of more digital lenders in the space, Sodipo believes that despite the fact that many claim to include more people financially, most digital lenders serve the same group of people as the conditions for access to loans are similar. Requirements include a six-month bank statement, verifiable government ID, letter of employment, or business email verification.

He thinks this created an avenue for a few ambitious players who wanted market share to become lax with their rules. Some digital lenders have even started giving loans to people with low ratings on the credit bureau, a clear red flag.

“It’s no wonder they are turning to desperate debt collection measures as they face a high default rate. It’s just bad underwriting and not paying attention to the basics of credit risk, ”Sodipo said.

Commercial banks have also started offering instant loans.

In 2020, at least half of 22 existing Nigerian commercial banks started offering instant unsecured loan products, which was unheard of years ago. What was the driving force behind this movement? A new directive from the Central Bank of Nigeria (CBN).

In July 2019, the CBN announced an increase in the minimum loan-to-deposit ratio (LDR) required of commercial banks to 60% from 57.64%. At the end of September, she further increased the LDR to 65%. LDR stipulates the volume of loans that a bank must grant as a percentage of its total deposit. In the case of the 65% LDR, this meant that if, for example, a bank had 100 billion yen in customer deposits, it had to have at least 65 billion yen issued in the form of loans. The increase was made to encourage commercial banks to issue more loans to individuals and businesses in order to stimulate the economy.

To avoid punishments who came not to meet the LDR, these commercial banks started offering instant unsecured loan products with high risk of default. When debtors defaulted, banks, however, unlike digital lenders, responded to defaults differently.

A source close to the incident told TechCabal that, unlike digital lenders, these large commercial banks can afford to introduce these types of loans and suffer a loss, as they make tens and hundreds of billions. naira of profit.

In addition to being able to absorb the loss, the CBN Posted a directive – the Global Standing Instructions (GSI) Policy– which gave banks the right to deduct the amount owed from the bank account of defaulting debtors at other banks, in order to reduce the amount of non-performing loans – a measure which reduced the risk of defaulting customers while having money with other banks.

Options available for digital lenders

Currently, digital lenders do not have the right to debit defaulting debtors’ accounts at other banks through GSI. But do these methods work?

Julian Flosbach, CEO of BFree, an ethical debt collection company, believes they do if they consider why customers default as well as their current financial situation. According to Flosbach, the majority of borrowers default because they lose their jobs, their business goes bankrupt, or because of health emergencies that affect clients’ affordability. He believes that assessing a client’s new financial capabilities and offering new reimbursement plans through convenient communication channels can then dramatically increase reimbursement rates for those clients.

An employee at a digital loan company explained that sometimes reporting to the credit bureau can be effective. She cited the case of a defaulting debtor whose visa application was refused because he did not repay his loan for more than a year. Credit checks are a prerequisite for issuing visas in some countries.

She also affirms Sodipo’s view of an influx of lenders with lax rules saying, “These are usually companies not registered with the credit bureau that use unethical debt collection practices.”

Slow and steady don’t win this race

It’s clear that digital lenders involved in unethical debt collection practices do so because of their unchecked ambition and the convenience of operating outside the law.

Fortunately, a number of governing bodies are starting to do something about these digital lenders. In August 2021, the National Information Technology Development Agency (NITDA) fined N 10 million ($ 18,000) (a questionable small amount) on Soko Lending Company, one of the digital lenders. who repeatedly contacted Anyaeji.

A few months later, in October, Google removed a number of predatory loan applications of its Play Store for violating its policies. Despite these actions, the pace of response from Nigerian regulators is slow compared to Kenya, where in December, a new law was set up to curb the excesses of digital lenders.

If victims like Anyaeji and her friends were ever to be immune to the disruption and intimidation of these predatory digital lenders, Nigerian regulators should step up the pace of their response.

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Open Lending signs 71 financial institutions into lender protection program in 2021 https://onepayday.com/open-lending-signs-71-financial-institutions-into-lender-protection-program-in-2021/ Mon, 10 Jan 2022 21:05:00 +0000 https://onepayday.com/open-lending-signs-71-financial-institutions-into-lender-protection-program-in-2021/ AUSTIN, Texas, January 10, 2022 (GLOBE NEWSWIRE) – Open Lending Corporation (NASDAQ: LPRO) (“Open Lending” or “the Company”), a leading provider of lending and risk analysis solutions to financial institutions, today announced that it has signed 71 new Lenders Protection ™ accounts in 2021, including 18 since October 1, 2021. “The average size of our […]]]>

AUSTIN, Texas, January 10, 2022 (GLOBE NEWSWIRE) – Open Lending Corporation (NASDAQ: LPRO) (“Open Lending” or “the Company”), a leading provider of lending and risk analysis solutions to financial institutions, today announced that it has signed 71 new Lenders Protection ™ accounts in 2021, including 18 since October 1, 2021.

“The average size of our signed lenders in 2021 exceeded $ 1.2 billion in total assets, demonstrating the value proposition of our platform and our continued momentum as we approach 2022,” said Matt Roe, Revenue Director of Open Lending. “We are excited about these new relationships and are ready to help these lenders serve their communities across the country with fair and competitive rates.”

Lenders Protection, the flagship product of Open Lending, is a risk management program providing default insurance coverage for both near and non-preferred auto loans. This unique auto loan activation platform uses proprietary data and advanced decision analytics to provide lenders with a powerful way to increase auto loan volumes without adding significant risk.

Lender Protection allows auto lenders to model their specific overhead and financing costs and set a target ROA for their insured portfolio. The result is a profitable auto loan portfolio with carefully managed pricing and risk characteristics.

About open loans
Open Lending (NASDAQ: LPRO) provides loan analysis, risk-based pricing, risk modeling, and default insurance to auto lenders across the United States. For more than 20 years, they have enabled financial institutions to build profitable auto loan portfolios by saying “YES” to more auto loans. For more information, please visit www.openlending.com.

Contacts:
Investors
openlending@icrinc.com

Media
Ginny Goertz | ggoertz@openlending.com

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Uplinq launches to improve credit risk ratings for SME lenders https://onepayday.com/uplinq-launches-to-improve-credit-risk-ratings-for-sme-lenders/ Mon, 10 Jan 2022 13:49:09 +0000 https://onepayday.com/uplinq-launches-to-improve-credit-risk-ratings-for-sme-lenders/ Transformational data provider for small businesses, Uplinq Financial Technologies (Uplinq), has now fully launched its service to customers and business partners around the world. The Toronto-based startup promises to revolutionize the credit scoring process for small business lenders with its innovative technology. After a long planning period, Uplinq has now fully launched its innovative service […]]]>

Transformational data provider for small businesses, Uplinq Financial Technologies (Uplinq), has now fully launched its service to customers and business partners around the world.

The Toronto-based startup promises to revolutionize the credit scoring process for small business lenders with its innovative technology.

After a long planning period, Uplinq has now fully launched its innovative service to the market. The company’s solution is the first global credit assessment platform designed to provide small and medium-sized business (SME) lenders with greater confidence in making decisions. The system analyzes billions of unique and validated data signals that go beyond traditional credit metrics to help SME lenders make the most accurate decisions possible.

With Uplinq’s platform, lenders can gain in-depth information about all new loan applicants, as well as SMEs in their existing portfolio, while also being empowered to better support underserved small business owners, unbanked, minority and immigrant.

Uplinq’s launch was bolstered by its recent acquisition of intellectual property (IP) of the AI ​​engine from Verde International. The acquired technology has served as a fundamental building block for over $ 1.4 trillion in loans over the past 15 years. These loan arrangements have amassed billions of data points, which have been scientifically tested and validated by local regulators and now provide Uplinq with in-depth knowledge of key risk and performance indicators for small local businesses.

Uplinq is launched with CEO and founder Ron Benegbi at the helm. With over 25 years of experience as a senior technology executive, Ron understands the potential for new innovations to revolutionize traditional financial processes. He will be supported by Company Co-Founder Pat Reilly, a credit expert with over 30 years of leadership experience in the financial services industry. They will be joined by several other experienced financial services and technology professionals in leadership roles within the company.

Commenting on the launch, Ron Benegbi, Founder and CEO of Uplinq said: “It’s an exciting day for Uplinq and for SME lenders around the world. Uplinq is the first platform of its kind on the market. We’ll give lenders the confidence they need to make the most accurate loan decisions possible. Our goal is to make an impact on the lives of millions of families in underserved and served communities around the world. “
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Installment Lenders Can Be Good For Consumers My opinion https://onepayday.com/installment-lenders-can-be-good-for-consumers-my-opinion/ Sun, 09 Jan 2022 04:00:00 +0000 https://onepayday.com/installment-lenders-can-be-good-for-consumers-my-opinion/ Those calling for a 36% rate cap on most forms of consumer credit here in New Mexico rarely, if ever, cite hard data to support claims that a rate cap will help consumers. Their goal is laudable: to provide greater financial security to all New Mexicans. I also support this goal, but a cap rate […]]]>

Those calling for a 36% rate cap on most forms of consumer credit here in New Mexico rarely, if ever, cite hard data to support claims that a rate cap will help consumers. Their goal is laudable: to provide greater financial security to all New Mexicans. I also support this goal, but a cap rate of 36% is not the way to achieve it.

The point is that a 36% rate cap would be bad for New Mexicans – especially for low-income households with little or no credit who are more likely to use small credit for daily needs, including including car payments, fuel and medical bills. I saw him every day in the service of my district. According to Experian, more than a third of all New Mexico consumers have subprime credit scores, which means they probably wouldn’t qualify for a loan for an amount below a rate cap of 36. %. This would essentially leave them without safe and reliable access to credit.

The 36% cap has failed in other states, the data shows. In states with imposed interest rate caps, there has been a demonstrable reduction in access to credit, affecting poverty levels and financial stability.

According to the New York Fed, in Georgia and North Carolina, people “rejected more checks, complained more about lenders and debt collectors, and filed for Chapter 7 bankruptcy at a higher rate” after that states have imposed rate caps.

In addition, the North Carolina Banking Commissioner found that access to loans under $ 1,000 declined because lenders were withdrawing from the market. Additionally, the Federal Reserve has found that a 36% rate cap is not applicable to reputable lending institutions and hurts the very people those caps were meant to protect.

So why, given what we know, do some in New Mexico continue to focus on a 36% cap as a solution? Partly because they don’t understand how interest rates work. For loans under $ 2,000, the affordability of the loan is best judged by its duration and the monthly amount owed, not by the interest rate. Rates are a function of time rather than a measure of the cost of a loan. Take the example of a consumer who borrows $ 100 today and pays $ 1 in interest. In case of repayment in one year, the APR is 1%. Repaid in one month, the rate is 12%. Repaid one day after the loan is issued, the APR is 365 percent.

It’s the same dollar interest, very different APRs. Consumers must be protected from bad actors, but not with policies that ignore their legitimate need for access to credit and undermine their economic security.

Finally, there have been rumors lately that New Mexico credit unions are going to come to the table this next round and offer small dollar loans to New Mexicans at rates below 175 percent. My former constituents and I have heard that drumbeat before before we saw similar proposals go down the drain. I would applaud their efforts if they bore fruit; Unfortunately, people in and around my district have already been disappointed.

A competitive market for consumers looking for low loan amounts is a good thing. So we should welcome credit unions to help consumers, but we shouldn’t do it in a way that puts their competition – the installment lenders who have served consumers responsibly for decades – out of business.

Richard Martinez d’Española is the former chairman of the State Senate Finance Committee.

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TriMark USA announces resolution of dispute with its lenders https://onepayday.com/trimark-usa-announces-resolution-of-dispute-with-its-lenders/ Fri, 07 Jan 2022 21:40:00 +0000 https://onepayday.com/trimark-usa-announces-resolution-of-dispute-with-its-lenders/ MANSFIELD, Mass., January 7, 2022 / PRNewswire / – TMK Hawk Parent Corp. — Parent of TriMark United States, LLC, one of the nation’s largest providers of design services, equipment, and supplies to the restaurant industry — and some of its lenders who hold its outstanding term loan issued pursuant to its Senior Credit Agreement […]]]>

MANSFIELD, Mass., January 7, 2022 / PRNewswire / – TMK Hawk Parent Corp. — Parent of TriMark United States, LLC, one of the nation’s largest providers of design services, equipment, and supplies to the restaurant industry — and some of its lenders who hold its outstanding term loan issued pursuant to its Senior Credit Agreement (the “First Term Debt Bond”) reached a mutually agreed resolution of a dispute arising out of a September 2020 transaction in which the Company raised $ 120 million new liquidity by issuing two tranches of new priority loans relative to the senior term debt (“Tranche A Loans” and “Tranche B Loans”).

The terms of the resolution are subject to closing conditions and documentation and include an exchange of all outstanding senior term debt on a dollar-for-dollar basis for Tranche B loans in accordance with the credit agreement. super senior of the company. The outstanding Tranche A Loans under the Company’s Super Senior Credit Agreement will retain their position in the Company’s capital structure, in priority to the Tranche B Loans. The Company currently expects to achieve the ‘exchange proposed no later than January 31, 2022, after which the ongoing litigation relating to the September 2020 the transaction would be rejected.

This resolution, taken with the assistance of David Brodsky as a mediator, simplifies the capital structure of the company and creates a solid basis for the company to pursue its business plans for 2022. TriMark United States is happy to have resolved this issue, appreciates the support of its lenders, and looks forward to the new year and its strong portfolio of opportunities.

About TriMark United States

TriMark United States is one of the largest providers of design services, equipment and supplies in the country to the restaurant industry. We pride ourselves on serving our customers by providing design services, commercial equipment and catering supplies across a wide range of industries and lines of business. Based at Massachusetts, we have locations across the country that provide foodservice operators with an unmatched level of service by combining our unique design capabilities and in-depth market knowledge with purchasing strength, delivery, installation and capabilities. after-sales service from a national company. Our employees are focused on creating personalized solutions for our customers to ensure they achieve their culinary goals. For more information, please visit: www.trimarkusa.com.

SOURCE TriMark United States

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TriMark USA Announces Resolution of Litigation With Its Lenders | State https://onepayday.com/trimark-usa-announces-resolution-of-litigation-with-its-lenders-state/ Fri, 07 Jan 2022 21:40:00 +0000 https://onepayday.com/trimark-usa-announces-resolution-of-litigation-with-its-lenders-state/ MANSFIELD, Mass., January 7, 2022 / PRNewswire / – TMK Hawk Parent Corp. — Parent of TriMark United States, LLC, one of the nation’s largest providers of design services, equipment, and supplies to the restaurant industry — and some of its lenders who hold its outstanding term loan issued pursuant to its Senior Credit Agreement […]]]>

MANSFIELD, Mass., January 7, 2022 / PRNewswire / – TMK Hawk Parent Corp. — Parent of TriMark United States, LLC, one of the nation’s largest providers of design services, equipment, and supplies to the restaurant industry — and some of its lenders who hold its outstanding term loan issued pursuant to its Senior Credit Agreement (the “First Term Debt Bond”) reached a mutually agreed resolution of a dispute arising out of a September 2020 transaction in which the Company raised $ 120 million new liquidity by issuing two tranches of new priority loans relative to the senior term debt (“Tranche A Loans” and “Tranche B Loans”).

The terms of the resolution are subject to closing conditions and documentation and include an exchange of all outstanding senior term debt on a dollar-for-dollar basis for Tranche B loans in accordance with the credit agreement. super senior of the company. The outstanding Tranche A Loans under the Company’s Super Senior Credit Agreement will retain their position in the Company’s capital structure, in priority to the Tranche B Loans. The Company currently expects to achieve the ‘exchange proposed no later than January 31, 2022, after which the ongoing litigation relating to the September 2020 the transaction would be rejected.

This resolution, taken with the assistance of David Brodsky as a mediator, simplifies the capital structure of the company and creates a solid basis for the company to pursue its business plans for 2022. TriMark United States is happy to have resolved this issue, appreciates the support of its lenders, and looks forward to the new year and its strong portfolio of opportunities.

About TriMark United States

TriMark United States is one of the largest providers of design services, equipment and supplies in the country to the restaurant industry. We pride ourselves on serving our customers by providing design services, commercial equipment and catering supplies across a wide range of industries and lines of business. Based at Massachusetts, we have locations across the country that provide foodservice operators with an unmatched level of service by combining our unique design capabilities and in-depth market knowledge with purchasing strength, delivery, installation and capabilities. after-sales service from a national company. Our employees are focused on creating personalized solutions for our customers to ensure they achieve their culinary goals. For more information, please visit: www.trimarkusa.com.

Show original content:https://www.prnewswire.com/news-releases/trimark-usa-announces-resolution-of-litigation-with-its-lenders-301456561.html

SOURCE TriMark United States

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State AGs Want FHA to Ensure Lenders Comply with COVID-19 Relief Options | Man’s pepper with trout https://onepayday.com/state-ags-want-fha-to-ensure-lenders-comply-with-covid-19-relief-options-mans-pepper-with-trout/ Fri, 07 Jan 2022 18:37:10 +0000 https://onepayday.com/state-ags-want-fha-to-ensure-lenders-comply-with-covid-19-relief-options-mans-pepper-with-trout/ Twenty-one attorneys general in the Democratic states say many mortgage services approved by the Federal Housing Administration (FHA) have consistently flouted the agency-mandated COVID-19 relief options, including its loan modification program. In a December 21 letter to the FHA , state attorneys general have called on the FHA to ensure that all FHA lenders implement […]]]>

Twenty-one attorneys general in the Democratic states say many mortgage services approved by the Federal Housing Administration (FHA) have consistently flouted the agency-mandated COVID-19 relief options, including its loan modification program. In a December 21 letter to the FHA , state attorneys general have called on the FHA to ensure that all FHA lenders implement and fully comply with required COVID-19 relief options.

Fund

Last summer, the US Department of Housing and Urban Development (HUD) launched several initiatives to help homeowners financially affected by the COVID-19 pandemic with FHA insured mortgages. The changes were a continuation of previous programs that allowed affected borrowers to withhold monthly payments for up to 18 months – through September or October 2021. Fearing that many affected borrowers would start making again. regular payments or to repay arrears accumulated when the previous programs expired, HUD announced new clawback options.

Together the COVID-19 advance loan modification (COVID-19 ALM), Letter from the mortgagee 2021-18, and the Recovery modification allowed borrowers with FHA insured mortgages to extend the terms of their mortgages and lock in lower monthly payments, resulting in a 25% reduction in their principal and interest payments through a loan modification on 30 years.

Under the programs, FHA mortgagees were required to re-examine borrowers for newly announced COVID-19 recovery options by October 22, 2021 if: (1) the mortgagee had not sent final documentation for a COVID-19 home retention option previously available by August 22, 2021; (2) the borrower was not eligible for a COVID-19 home support option; or (3) the borrower became delinquent due to the COVID-19 pandemic after returning to the facility using a COVID-19 home retention option.

Letter to FHA

In the letter to the FHA, state attorneys general say many FHA-approved lenders not only inadequately implemented the new COVID-19 recovery options, but also consistently flouted them. Instead of complying with the requirements, the letter says, lenders routinely sent letters that did not include the COVID-19 recovery modification as an available option and required unnecessary documentation and qualifications. During the calls, they also allegedly informed borrowers that this option did not exist.

The letter outlined the laudable goals of the FHA for creating the loan modification option. The option was designed “to create a sustainable path to recovery for families, and the FHA predicted that it would particularly help low-income households, new homeowners, and households of color that the pandemic has disproportionately affected. “. But until the “implementation failures” of lenders are rectified, state attorneys general believe the goal of helping borrowers cannot be successfully achieved.

As a result, the letter called on the FHA to take immediate action to ensure all lenders fully implement COVID-19 recovery options by requiring FHA lenders to show their loan officers take positive action.

In an accompanying press release, District of Columbia Attorney General Karl Racine said, “The purpose of the federal program is to reduce the displacement of families from their homes. . . [T]too much [FHA-approved mortgage loan servicers] continue to send letters to borrowers that do not provide the information required by law, impose unnecessary burdens, including cumbersome forms and unenforceable legal qualifications, and wrongly deny the existence of applicable programs that protect buyers. These practices are illegal, unacceptable and dangerous, and they discriminate against low-income borrowers and borrowers of color.

It is not without precedent that state attorneys general play this role during emergencies and crises. During the “housing crisis” and its aftermath, state attorneys general were heavily involved in similar efforts regarding loan modifications and other relief efforts to prevent and reduce the displacement of families from their homes. Over the next few months, we expect to see increased involvement of state attorneys general in COVID-19 recovery options, as they continue to scrutinize lenders and real estate agents.

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Lenders brace for defaults as new wave of covid sets in https://onepayday.com/lenders-brace-for-defaults-as-new-wave-of-covid-sets-in/ Wed, 05 Jan 2022 18:42:06 +0000 https://onepayday.com/lenders-brace-for-defaults-as-new-wave-of-covid-sets-in/ MUMBAI : The third wave of the pandemic could degrade bank lending to microfinance institutions, small businesses and unsecured products such as credit cards and personal loans, although material stress will only manifest if restrictions on movement are imposed, experts said. Bad debts in the banking system were starting to decline after the devastating second […]]]>

MUMBAI : The third wave of the pandemic could degrade bank lending to microfinance institutions, small businesses and unsecured products such as credit cards and personal loans, although material stress will only manifest if restrictions on movement are imposed, experts said.

Bad debts in the banking system were starting to decline after the devastating second wave of the pandemic.

Gross non-performing assets (APM) fell to 6.9% as of September 30 from 7.48% in March. However, the Omicron variant of the coronavirus is now infecting faster than its predecessor last year, leaving experts worried about its impact on vulnerable sectors.

“Any serious wave will undoubtedly increase the risks for certain industries, but our position is that there is still an unrecognized risk in the unsecured space of retail and small and medium-sized enterprises (SMEs) due to regulatory forbearance. Microfinance institutions (MFIs) also fall into the high risk category, although the issues in this sector are a bit different given the clientele who are more vulnerable to disruption, ”said Saswata Guha, Senior Director (Banks) , Fitch Ratings.

According to Guha, it is possible that the third wave will increase the risk, which would only manifest itself if it were to cause blockages and disruption in business and economic activity.

“So far, while the number of infections is high, the hospitalization rate is low, which appears to be a key issue for authorities to watch out for this time around and will likely be taken into account before restrictions are imposed. movement are imposed. It could be a silver lining if the current trend in hospitalization remains moderate, ”he added.

Bankers also said collections had not been disrupted so far as local governments failed to impose strict travel restrictions. Blockages, which resulted in restrictions on the movement of goods and services last year and into 2020, were the root of the problems borrowers faced. These restrictions resulted in a loss of income for part of the population, which ended up defaulting on loans.

“Some areas will always be more in demand than others, but so far we are seeing better collections than in the second wave. It’s around 94-95% right now, and our teams in the field tell us borrowers are paying off quietly, ”said a senior private sector banker.

A public sector banker said they are already slowing down loan proposals from microfinance companies as they assess the impact of Wave 3 on the portfolio. “We had to suspend some loan proposals to microfinance institutions (MFIs) as a precaution,” he said.

Comparing the previous wave with the current wave, P. Satish, executive director of Sa-Dhan, an industry body for MFIs, said most staff and borrowers are vaccinated this time around, and the Omicron strain is rated as milder than previous variants in terms of health.

“In addition, big and strict lockdowns are not expected, so the impact on collections would be small,” he said, adding that banks have been cautious about lending to micro-financiers since the start of the year. demonetization, and this is not a new phenomenon. has only worsened since the start of the pandemic, but the government’s credit guarantee program has been a relief for the industry, Satish added.

Analysts have said that while banks will manage the impact of a partial foreclosure, a severe foreclosure could pose challenges to asset quality and growth.

“SMEs / MFIs remain the most vulnerable segments, and therefore banks with relatively higher exposure to these segments like Bandhan Bank, Ujjivan Small Finance Bank, IndusInd Bank, Axis Bank, RBL Bank, City Union Bank and DCB Bank could have relatively higher assets. quality risk, ”Emkay Global Financial Services said in a note to clients on December 30.

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