J.R. from Monroe County, Florida writes:
Dear Mister Condo,
SBA loan for Hurricane Irma. We have received $50,000 from a 600,000 entitlement after Hurricane Irma but we are now paying $2,000 a month interest. Can you help me?
Mister Condo replies:
J.R., I am not sure what type of loan you agreed to but surely the terms were known when the loan was accepted. $2,000 per month seems awfully high to me, especially if you have only drawn $50,000. That being said, without reviewing the loan documents, it is impossible for me to offer too much of an opinion on the current loan. It would be wise for you to shop diligently for a new loan, provided you can pay off the current one with no penalties. Rates are pretty good right now and I would think you wouldn’t have too much trouble finding a better loan arrangement. Be sure you review all of the terms before deciding. Consult with an attorney before signing the loan deal if you fell you need legal advice as well. All the best!